PACCAR Inc (PCAR)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 5,718,200 | 3,848,700 | 2,396,300 | 1,661,600 | 3,099,200 |
| Revenue | US$ in thousands | 35,127,400 | 28,819,700 | 23,522,300 | 18,728,500 | 25,599,700 |
| Pretax margin | 16.28% | 13.35% | 10.19% | 8.87% | 12.11% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $5,718,200K ÷ $35,127,400K
= 16.28%
Paccar Inc.'s pretax margin has shown a generally positive trend over the last five years, with an upward trajectory from 8.85% in 2020 to 16.28% in 2023. This indicates that the company has been able to effectively manage its expenses relative to its revenue before accounting for taxes. The 2023 pretax margin of 16.28% reflects that for every dollar of revenue generated, the company is able to retain approximately 16.28 cents as profit before taxes. This improvement suggests enhanced operational efficiency and cost control measures by Paccar Inc., leading to stronger profitability. It is essential for investors and stakeholders to closely monitor this trend as it can provide insights into the company's financial health and performance over time.
Peer comparison
Dec 31, 2023