PACCAR Inc (PCAR)

Pretax margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	5,400,900	5,892,900	6,226,000	6,333,700	5,718,200	5,252,400	4,642,700	3,996,300	3,848,700	3,333,700	2,841,200	2,559,400	2,396,300	2,258,500	2,261,200	1,804,900	1,658,800	1,823,900	2,111,600	2,742,000
Revenue (ttm)	US$ in thousands	33,663,800	34,832,900	35,289,400	35,398,400	35,127,400	34,180,300	32,542,800	30,820,400	28,819,700	27,376,300	25,464,200	24,149,400	23,522,300	22,404,800	22,194,000	19,412,300	18,728,500	19,277,100	20,708,100	24,273,800
Pretax margin		16.04%	16.92%	17.64%	17.89%	16.28%	15.37%	14.27%	12.97%	13.35%	12.18%	11.16%	10.60%	10.19%	10.08%	10.19%	9.30%	8.86%	9.46%	10.20%	11.30%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $5,400,900K ÷ $33,663,800K
= 16.04%

PACCAR Inc's pretax margin has shown a generally positive trend over the period from March 31, 2020, to December 31, 2024. The pretax margin started at 11.30% in March 2020, decreased to 8.86% by December 2020, and then began to steadily increase. By December 2024, the pretax margin stood at 16.04%.

The trend demonstrates that PACCAR Inc's ability to generate profits before accounting for taxes improved over the period. This improvement indicates effective cost management or revenue growth strategies implemented by the company. The peak pretax margin of 17.89% in March 2024 suggests a period of strong profitability for the company.

It is essential for investors and stakeholders to monitor pretax margin trends as it reflects the company's operational efficiency and profitability. PACCAR Inc's consistent improvement in pretax margin signals positive performance and financial health within the analyzed period.