Pursuit Attractions and Hospitality, Inc. (PRSU)

Pretax margin

		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	Jun 30, 2020
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	-53,233	-45,435	66,284	58,774	39,694	43,073	42,513	34,229	40,949	29,659	14,556	-11,257	-79,797	-95,081	-126,554	-178,415	-305,565	-360,859	-317,871	-244,368
Revenue (ttm)	US$ in thousands	130,570	366,488	1,399,418	1,309,613	1,251,386	1,238,680	1,195,028	1,211,850	1,210,742	1,127,311	1,062,857	913,735	655,765	507,340	349,339	178,547	147,381	413,104	708,866	999,802
Pretax margin		-40.77%	-12.40%	4.74%	4.49%	3.17%	3.48%	3.56%	2.82%	3.38%	2.63%	1.37%	-1.23%	-12.17%	-18.74%	-36.23%	-99.93%	-207.33%	-87.35%	-44.84%	-24.44%

March 31, 2025 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $-53,233K ÷ $130,570K
= -40.77%

The pretax margin of Pursuit Attractions and Hospitality, Inc. exhibits a significant variation over the specified period. In the fiscal quarters ending June 30, 2020, through March 31, 2021, the company experienced substantial negative pretax margins, with the lowest point recorded at -207.33% on March 31, 2021. This indicates that during this period, the company's losses far exceeded its revenues, reflecting operational and possibly financial challenges likely attributable to the effects of the COVID-19 pandemic on the leisure and hospitality industry.

Following this peak of negative margin, there is a gradual improvement observed from late 2021 onward. The pretax margin moves from -18.74% at December 31, 2021, to near breakeven and modest positive levels, reaching 3.38% on March 31, 2023. This trend suggests a recovery phase where revenues are increasingly covering costs, and profitability margins are stabilizing at relatively modest, yet sustained, levels.

Between March 31, 2023, and June 30, 2024, the pretax margin continues to improve, reaching a peak of 4.74% on September 30, 2024. However, this positive trend is not maintained, as the data indicates a decline thereafter, with the margin ending at -12.40% on December 31, 2024, and further deteriorating to -40.77% by March 31, 2025. This downturn implies a resurgence of losses relative to revenues, which could be attributed to increased operating expenses, reduced sales, or other adverse factors impacting profitability.

Overall, the company's pretax margin demonstrates a trajectory from severe losses during 2020 and early 2021 toward initial recovery and modest profitability, followed by a notable decline in late 2024 and early 2025. These fluctuations point to periods of operational hardship, recovery efforts, and subsequent challenges that have significant implications for the company's profit-generating capabilities and financial stability over the analyzed time frame.