PepsiCo Inc (PEP)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 11,898,000 | 11,336,000 | 10,637,000 | 9,760,000 | 9,014,000 |
| Revenue | US$ in thousands | 91,854,000 | 91,471,000 | 86,392,000 | 79,474,000 | 70,372,000 |
| Pretax margin | 12.95% | 12.39% | 12.31% | 12.28% | 12.81% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $11,898,000K ÷ $91,854,000K
= 12.95%
PepsiCo Inc's pretax margin, which indicates the proportion of revenue that translates to pre-tax profit, has shown consistency in recent years. The trend reveals a gradual increase from 12.81% in December 2020 to 12.95% by December 2024. This implies that the company has been effective in managing its operating expenses and generating profits before taxes over this period. Although there was a slight dip to 12.28% in December 2021, the pretax margin remained relatively stable, hovering around the 12% mark. Overall, the upward movement in the pretax margin signifies PepsiCo's ability to maintain profitability while managing costs, which is a positive indicator of its financial performance and operational efficiency.
Peer comparison
Dec 31, 2024