PepsiCo Inc (PEP)
Pretax margin
| Dec 31, 2024 | Sep 7, 2024 | Jun 15, 2024 | Mar 23, 2024 | Dec 31, 2023 | Sep 9, 2023 | Jun 17, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 3, 2022 | Jun 11, 2022 | Mar 19, 2022 | Dec 31, 2021 | Sep 4, 2021 | Jun 12, 2021 | Mar 20, 2021 | Dec 31, 2020 | Sep 5, 2020 | Jun 13, 2020 | Mar 21, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 11,898,000 | 11,611,000 | 11,784,000 | 11,420,000 | 11,336,000 | 10,314,000 | 9,639,000 | 7,966,000 | 10,637,000 | 11,717,000 | 11,566,000 | 12,744,000 | 9,760,000 | 10,534,000 | 10,325,000 | 9,481,000 | 9,014,000 | 8,867,000 | 8,709,000 | 8,412,000 |
| Revenue (ttm) | US$ in thousands | 91,854,000 | 91,920,000 | 92,054,000 | 91,875,000 | 91,471,000 | 91,617,000 | 90,135,000 | 88,038,000 | 86,392,000 | 83,644,000 | 81,862,000 | 80,854,000 | 79,474,000 | 76,681,000 | 74,583,000 | 71,311,000 | 70,372,000 | 68,557,000 | 67,654,000 | 64,593,000 |
| Pretax margin | 12.95% | 12.63% | 12.80% | 12.43% | 12.39% | 11.26% | 10.69% | 9.05% | 12.31% | 14.01% | 14.13% | 15.76% | 12.28% | 13.74% | 13.84% | 13.30% | 12.81% | 12.93% | 12.87% | 13.02% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $11,898,000K ÷ $91,854,000K
= 12.95%
PepsiCo Inc's pretax margin has fluctuated over the past few quarters, as indicated by the data provided. The pretax margin, which is a measure of a company's profitability before taxes are deducted, is an important indicator of its operational efficiency and cost management.
From March 2021 to June 2022, PepsiCo experienced an upward trend in pretax margin, reaching a peak of 15.76% in March 2022. This indicates that during this period, the company was able to generate more earnings before taxes relative to its revenue.
However, starting from March 2023, there was a significant decline in the pretax margin, dropping to 9.05% in March 2023. This could suggest that PepsiCo faced challenges in controlling costs or generating sufficient profits during that period.
Subsequently, there was a gradual recovery in the pretax margin from June 2023 to December 2024, with the margin stabilizing around the range of 12.39% to 12.95%. This indicates that PepsiCo managed to improve its profitability before taxes and potentially implemented strategies to enhance operational efficiency.
Overall, analyzing PepsiCo's pretax margin over these periods provides insights into the company's financial performance and its ability to manage costs and generate earnings before accounting for tax implications.
Peer comparison
Dec 31, 2024