Repligen Corporation (RGEN)

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	64,132	219,140	153,543	59,217	26,151
Revenue	US$ in thousands	624,137	800,374	657,807	354,127	255,303
Pretax margin		10.28%	27.38%	23.34%	16.72%	10.24%

December 31, 2023 calculation

Pretax margin = EBT ÷ Revenue
= $64,132K ÷ $624,137K
= 10.28%

The pretax margin, which measures the efficiency of Repligen Corp. in generating profits before taxes from its revenue, has shown fluctuations over the past five years. In 2023, the pretax margin decreased to 10.04% from 27.34% in 2022. This significant decline indicates a substantial decrease in the company's profitability relative to the previous year.

Comparing the pretax margin to the earlier years, it is evident that Repligen Corp. experienced a peak in profitability in 2022 with a pretax margin of 27.34%, which then dropped to 22.90% in 2021, and further declined to 16.17% in 2020. The pretax margin in 2023 (10.04%) is also higher than that of 2019 (9.68%), indicating a slight improvement over the five-year period.

The declining trend in the pretax margin from 2022 to 2023 suggests potential challenges in managing costs and generating profits. Further analysis of the factors contributing to this decline, such as changes in revenue, costs, or operating efficiency, would be necessary to understand the underlying reasons for the fluctuation in profitability.