ON Semiconductor Corporation (ON)

Pretax margin

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	2,533,900	2,687,000	2,396,500	2,278,700	2,360,600	2,063,000	2,027,700	1,686,500	1,156,200	810,200	516,200	293,600	174,400	137,000	-25,800	99,900	274,400	380,400	681,500	748,800
Revenue (ttm)	US$ in thousands	8,253,000	8,338,500	8,350,300	8,340,900	8,326,200	8,068,700	7,618,200	7,203,100	6,739,800	6,340,000	5,915,200	5,458,800	5,255,000	5,210,500	5,275,000	5,409,200	5,517,900	5,619,200	5,779,100	5,887,300
Pretax margin		30.70%	32.22%	28.70%	27.32%	28.35%	25.57%	26.62%	23.41%	17.15%	12.78%	8.73%	5.38%	3.32%	2.63%	-0.49%	1.85%	4.97%	6.77%	11.79%	12.72%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $2,533,900K ÷ $8,253,000K
= 30.70%

ON Semiconductor Corp.'s pretax margin has shown fluctuations over the past eight quarters, ranging from 23.44% in Q1 2022 to 32.24% in Q3 2023. The pretax margin indicates the company's efficiency in generating profits before accounting for taxes. Generally, higher pretax margins reflect better operational efficiency and cost management.

The company has experienced an increasing trend in pretax margin from Q1 2023 to Q3 2023, reaching its peak in Q3 2023. This improvement may suggest enhanced profitability and operational effectiveness during this period. However, in Q4 2023, the pretax margin declined slightly to 30.73%, though it remained relatively high compared to previous quarters.

It is essential for investors and stakeholders to monitor ON Semiconductor Corp.'s pretax margin closely in conjunction with other financial metrics to assess the company's overall financial health and performance. fluctuations in pretax margin could be indicative of changes in business operations, costs, or revenue generation strategies.