Pilgrims Pride Corp (PPC)
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 | 1,411,480 | 364,479 | 1,024,860 | 92,122 | 161,512 |
| Revenue | US$ in thousands | 17,897,700 | 17,112,600 | 17,295,900 | 14,639,400 | 11,996,600 |
| Pretax margin | 7.89% | 2.13% | 5.93% | 0.63% | 1.35% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $1,411,480K ÷ $17,897,700K
= 7.89%
The pretax margin of Pilgrims Pride Corp has exhibited variation over the years as reflected in the financial data. In December 2020, the pretax margin was relatively low at 1.35%, indicating that for every dollar of revenue generated, only 1.35 cents was retained as pre-tax profit. By December 2021, the pretax margin decreased further to 0.63%, potentially highlighting increased operating expenses or lower revenue generation efficiency.
There was a significant improvement in December 2022, with the pretax margin rising to 5.93%, suggesting enhanced operational efficiency, cost management, or possibly increased revenue relative to costs. The trend continued in December 2023, albeit at a lower increase, as the pretax margin reached 2.13%.
Notably, by December 2024, Pilgrims Pride Corp achieved a substantial pretax margin of 7.89%, indicating a more robust profitability position compared to the previous years. This remarkable improvement could be attributed to strategic business decisions, effective cost controls, revenue growth, or a combination of these factors.
Overall, the fluctuation in Pilgrims Pride Corp's pretax margin over the years underscores the company's ability to navigate through operational challenges, optimize its financial performance, and adapt to changing market conditions.
Peer comparison
Dec 31, 2024