Progress Software Corporation (PRGS)

Pretax margin

		Nov 30, 2024	Aug 31, 2024	May 31, 2024	Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	May 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	94,264	96,186	82,859	77,340	79,657	92,261	98,991	121,227	117,255	104,678	116,503	96,722	95,534	97,962	88,686	94,084	96,635	70,431	52,442	42,404
Revenue (ttm)	US$ in thousands	753,409	715,418	711,724	714,898	694,439	674,596	650,821	621,317	602,013	585,014	581,214	554,955	531,313	513,570	475,852	453,747	442,150	436,803	433,820	433,432
Pretax margin		12.51%	13.44%	11.64%	10.82%	11.47%	13.68%	15.21%	19.51%	19.48%	17.89%	20.04%	17.43%	17.98%	19.07%	18.64%	20.73%	21.86%	16.12%	12.09%	9.78%

November 30, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $94,264K ÷ $753,409K
= 12.51%

Progress Software Corporation's pretax margin has shown fluctuations over the period from February 29, 2020, to November 30, 2024. The pretax margin started at 9.78% on February 29, 2020, and experienced increases and decreases along the way. Notably, there was a significant upward trend from May 31, 2020 (12.09%) to November 30, 2020 (21.86%), indicating an improvement in the company's profitability before taxes.

However, the pretax margin began to show some volatility in the following periods, with fluctuations between 17.43% on February 28, 2022, and 11.47% on November 30, 2023. Despite some ups and downs, the pretax margin remained above 10% during most of the period, which generally indicates a decent level of profitability before accounting for taxes.

The pretax margin saw a slight recovery towards the end of the period, with a rise to 13.44% on August 31, 2024, after hitting a low point of 10.82% on February 29, 2024. This improvement suggests that the company may have implemented strategies to enhance its operational efficiency and profitability.

Overall, the analysis of Progress Software Corporation's pretax margin reveals both positive and challenging trends in its financial performance over the specified period, indicating the company's ability to navigate through changing market conditions and economic challenges.