PPG Industries Inc (PPG)
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 | 1,852,000 | 1,748,000 | 1,381,000 | 1,815,000 | 1,362,000 |
| Revenue | US$ in thousands | 15,845,000 | 18,246,000 | 17,652,000 | 16,802,000 | 13,834,000 |
| Pretax margin | 11.69% | 9.58% | 7.82% | 10.80% | 9.85% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $1,852,000K ÷ $15,845,000K
= 11.69%
Based on the data provided, PPG Industries Inc's pretax margin has shown fluctuation over the years. The pretax margin increased from 9.85% in December 2020 to 10.80% in December 2021, indicating improved profitability before accounting for taxes. However, this trend reversed in December 2022, with the pretax margin decreasing to 7.82%.
Subsequently, there was a recovery as the pretax margin increased to 9.58% in December 2023 and further improved to 11.69% in December 2024. The upward trend in pretax margin in the latter years suggests that PPG Industries Inc managed to control costs effectively, increase operational efficiency, or optimize its revenue mix, resulting in a higher profitability margin before taxes.
It is important to monitor the pretax margin trend over time to assess the company's ability to generate profits from its operations and manage expenses effectively. fluctuations in the pretax margin could indicate fluctuations in the company's performance, highlighting the need for further analysis of the underlying factors driving these changes.
Peer comparison
Dec 31, 2024