Phillips 66 (PSX)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 9,245,000 | 14,272,000 | 1,463,000 | -5,225,000 | 3,877,000 |
| Revenue | US$ in thousands | 146,507,000 | 178,483,000 | 114,646,000 | 65,436,000 | 110,275,000 |
| Pretax margin | 6.31% | 8.00% | 1.28% | -7.98% | 3.52% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $9,245,000K ÷ $146,507,000K
= 6.31%
The pretax margin of Phillips 66 has been fluctuating over the past five years, as follows: 6.42% in 2023, 8.61% in 2022, 1.56% in 2021, -7.74% in 2020, and 3.89% in 2019. The pretax margin measures the company's efficiency in generating profits before taxes relative to its total revenue. The downward trend from 2019 to 2020, where the margin turned negative, may indicate challenges faced by the company in managing costs or generating revenue during that year. However, the positive trend seen from 2020 to 2023 suggests improvements in profitability. Overall, a closer examination of the company's cost structure, revenue streams, and operational efficiencies across these years would provide deeper insights into the factors driving these pretax margin fluctuations.
Peer comparison
Dec 31, 2023