Procter & Gamble Company (PG)
Pretax margin
| Jun 30, 2025 | Mar 31, 2025 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 20,167,000 | 19,516,000 | 19,447,000 | 18,098,000 | 18,760,000 | 19,123,000 | 18,819,000 | 19,158,000 | 18,353,000 | 17,770,000 | 17,553,000 | 17,957,000 | 17,995,000 | 17,909,000 | 17,715,000 | 17,353,000 | 17,615,000 | 17,512,000 | 17,133,000 | 16,788,000 |
| Revenue (ttm) | US$ in thousands | 84,284,000 | 83,927,000 | 84,346,000 | 83,905,000 | 84,039,000 | 84,060,000 | 83,933,000 | 83,265,000 | 82,006,000 | 80,968,000 | 80,281,000 | 80,461,000 | 80,187,000 | 79,618,000 | 78,346,000 | 77,138,000 | 76,118,000 | 74,870,000 | 73,975,000 | 72,470,000 |
| Pretax margin | 23.93% | 23.25% | 23.06% | 21.57% | 22.32% | 22.75% | 22.42% | 23.01% | 22.38% | 21.95% | 21.86% | 22.32% | 22.44% | 22.49% | 22.61% | 22.50% | 23.14% | 23.39% | 23.16% | 23.17% |
June 30, 2025 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $20,167,000K ÷ $84,284,000K
= 23.93%
The pretax margin of Procter & Gamble demonstrates notable stability and minor fluctuations over the analyzed period. From September 30, 2020, to June 30, 2021, the pretax margin remained consistently above 23%, with values ranging narrowly between 23.14% and 23.39%. This indicates effective control over costs relative to revenues during that interval.
In the subsequent quarters through September 2021, a slight decline is observed, with the margin decreasing to 22.50%, suggesting some compression in profitability before slightly recovering to 22.61% by the end of 2021. The margins in 2022 display a gradual downward trend, dropping from approximately 22.49% in March to 21.86% in December, reflecting continued pressure possibly attributable to rising costs, competitive dynamics, or changes in product mix.
In 2023, the pretax margin exhibits minor variability around the low 22% range, with marginal increases observed toward the middle of the year, reaching approximately 22.75% in March and 23.01% in September, before retreating somewhat to 22.42% in December. The overall trend suggests relative stability with slight fluctuations rather than significant swings.
Forecasting into 2024 and 2025, the pretax margins tend to hover in the mid-22% to low 23% range. Notably, the projection for September 2024 is at 21.57%, followed by an increase to 23.06% in December 2024, and further upward movement to 23.25% in March 2025, culminating at 23.93% in June 2025. These movements could imply anticipated improvements in operational efficiency or favorable changes in product pricing strategies.
In summary, Procter & Gamble’s pretax margin has historically maintained a stable yet slightly decreasing trajectory from the high 23% levels in 2020-2021 to the low 22% levels in 2022 and 2023, with an expected modest rebound and upward trend projected into 2025. This pattern reflects a combination of resilient profitability amid competitive pressures and potential strategic adjustments aimed at restoring margin levels in the near future.