Parker-Hannifin Corporation (PH)
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 | 4,106,860 | 4,021,820 | 3,947,049 | 3,649,354 | 3,594,603 | 3,511,838 | 3,348,176 | 2,996,754 | 2,679,664 | 1,894,637 | 1,572,245 | 1,545,826 | 1,614,226 | 2,153,856 | 2,317,219 | 2,404,787 | 2,246,216 | 1,958,986 | 1,815,791 | 1,492,645 |
| Revenue (ttm) | US$ in thousands | 19,849,920 | 19,793,740 | 19,907,750 | 19,986,110 | 19,929,620 | 19,838,740 | 19,826,040 | 19,679,900 | 19,065,190 | 18,157,080 | 17,181,810 | 16,331,580 | 15,861,610 | 15,632,650 | 15,292,590 | 14,879,910 | 14,347,640 | 13,549,370 | 13,505,470 | 13,591,540 |
| Pretax margin | 20.69% | 20.32% | 19.83% | 18.26% | 18.04% | 17.70% | 16.89% | 15.23% | 14.06% | 10.43% | 9.15% | 9.47% | 10.18% | 13.78% | 15.15% | 16.16% | 15.66% | 14.46% | 13.44% | 10.98% |
June 30, 2025 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $4,106,860K ÷ $19,849,920K
= 20.69%
The pretax margin of Parker-Hannifin Corporation demonstrates a general upward trend over the analyzed period, reflecting improvements in operational efficiency and profitability. Beginning at 10.98% as of September 30, 2020, the margin gradually increased through successive quarters, reaching notable peaks.
Throughout 2021, the pretax margin exhibited steady growth, advancing from 13.44% in December 2020 to a high of 16.16% in September 2021. This indicates an enhancement in profit generating capacity relative to revenue, possibly driven by operational efficiencies, product mix improvements, or favorable market conditions.
In 2022, the pretax margin experienced some contraction, descending from 15.15% at the end of December 2021 to a low of 9.15% by the end of the year. The decline continued into early 2023, reaching a low of 9.47% in September 2022, before gradually recovering.
The recovery phase is apparent starting in 2023, with the pretax margin increasing from 10.43% in March 2023 to 14.06% in June 2023 and further to 15.23% in September 2023. This upward trend persisted into 2024, reaching 16.89% at the end of December 2023, and continued through the next quarters, culminating in 20.69% in June 2025.
The overall pattern suggests periods of margin compression followed by phases of expansion. The margin expansion in recent periods indicates improving profitability, potentially driven by cost management, revenue growth, or pricing strategies. Conversely, the earlier decline points to periods of margin compression, which may have been influenced by increased costs, competitive pressures, or macroeconomic factors.
In conclusion, Parker-Hannifin's pretax margin has exhibited resilience and a positive trajectory in recent years, reflecting strengthening profitability dynamics, while experiencing cyclical fluctuations over the analyzed timeframe.
Peer comparison
Jun 30, 2025