Pacira Pharmaceuticals Inc (PCRX)

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	61,701	9,913	-4,619	-20,466	13,302	25,172	47,334	50,975	56,450	75,341	57,229	24,270	20,058	3,845	-8,061	380	-10,695	1,148	6,233	7,702
Revenue (ttm)	US$ in thousands	638,707	621,403	618,553	613,360	627,091	646,604	609,214	577,203	541,534	491,997	489,092	436,030	429,647	421,097	408,298	435,397	421,026	393,717	372,480	353,983
Pretax margin		9.66%	1.60%	-0.75%	-3.34%	2.12%	3.89%	7.77%	8.83%	10.42%	15.31%	11.70%	5.57%	4.67%	0.91%	-1.97%	0.09%	-2.54%	0.29%	1.67%	2.18%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $61,701K ÷ $638,707K
= 9.66%

Pacira BioSciences Inc's pretax margin has displayed fluctuations in recent quarters. In Q4 2023, the pretax margin improved significantly to 9.14%, representing a strong profitability level compared to the previous quarters. This increase may indicate improved operational efficiency, cost management, or revenue growth. However, in Q3 2023, the pretax margin was relatively low at 1.49%, suggesting possible challenges in generating profits before accounting for taxes.

In Q2 2023 and Q1 2023, the company experienced negative pretax margins of -0.69% and -3.06%, respectively, indicating that Pacira BioSciences Inc incurred losses before tax in these periods. These negative margins could be attributed to one-time expenses, declining revenues, or inefficiencies impacting the company's financial performance.

Comparing the pretax margins to the same periods in the previous year, Q4 2023 showed improvement compared to Q4 2022, where the pretax margin was 1.99%. However, Q4 2023 was still lower than the pretax margins in Q3 2022 (3.85%), Q2 2022 (7.70%), and Q1 2022 (8.78%), indicating that Pacira BioSciences Inc may have faced challenges in maintaining consistent profitability levels throughout the quarters.

Overall, it is essential for Pacira BioSciences Inc to analyze the factors influencing these fluctuations in pretax margin and implement strategies to sustain profitability levels and drive long-term financial success.