Patterson-UTI Energy Inc (PTEN)
Pretax margin
| 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 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | -958,581 | -815,644 | 189,296 | 258,813 | 307,444 | 322,553 | 390,287 | 315,574 | 167,862 | -310,470 | -474,765 | -617,713 | -717,247 | -478,679 | -503,142 | -553,509 | -931,018 | -908,998 | -1,110,126 | -1,000,052 |
| Revenue (ttm) | US$ in thousands | 5,377,910 | 5,800,090 | 5,454,320 | 4,865,015 | 4,146,457 | 3,344,072 | 3,049,150 | 2,901,845 | 2,609,966 | 2,279,773 | 1,910,447 | 1,579,937 | 1,311,774 | 1,080,833 | 929,484 | 887,810 | 1,091,992 | 1,363,488 | 1,745,348 | 2,168,419 |
| Pretax margin | -17.82% | -14.06% | 3.47% | 5.32% | 7.41% | 9.65% | 12.80% | 10.87% | 6.43% | -13.62% | -24.85% | -39.10% | -54.68% | -44.29% | -54.13% | -62.35% | -85.26% | -66.67% | -63.60% | -46.12% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $-958,581K ÷ $5,377,910K
= -17.82%
Patterson-UTI Energy Inc's pre-tax margin experienced significant fluctuations during the analyzed period. The company faced challenges in generating profits before taxes in the first half of the observation timeframe, with margins deteriorating from negative values of around -46% in March 2020 to a low of -85.26% in December 2020.
However, there was a notable improvement in the pre-tax margin starting from the first quarter of 2023. The company managed to turn around its profitability, with the margin turning positive in the second half of 2022. By the end of December 2023, the pre-tax margin reached 7.41%, indicating a positive trend in the company's financial performance.
Although there were some fluctuations in the pre-tax margin in subsequent quarters, overall, the company maintained a positive pre-tax margin of around 5% in the following periods up until the third quarter of 2024. However, by the end of December 2024, the pre-tax margin declined to around -17.82%, potentially signaling some challenges in profitability towards the end of the analyzed period.
Overall, the analysis suggests that Patterson-UTI Energy Inc experienced a turnaround in profitability from negative pre-tax margins to positive margins in the latter part of the observed period. However, the sharp decline in the pre-tax margin by the end of 2024 indicates a need for further monitoring of the company's financial performance and potential challenges in sustaining profitability.
Peer comparison
Dec 31, 2024