RH (RH)
Pretax margin
| Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Feb 3, 2024 | Jan 31, 2024 | Oct 31, 2023 | Oct 28, 2023 | Jul 31, 2023 | Jul 29, 2023 | Apr 30, 2023 | Apr 29, 2023 | Jan 31, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 31, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 31, 2022 | Jan 29, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 88,591 | 83,132 | 47,506 | 1,269 | -6,859 | 95,218 | 190,715 | 259,501 | 329,793 | 305,031 | 287,714 | 362,559 | 485,162 | 581,492 | 533,747 | 581,624 | 581,610 | 643,741 | 843,571 | 893,013 |
| Revenue (ttm) | US$ in thousands | 3,180,753 | 3,048,367 | 2,974,895 | 2,896,465 | 2,867,490 | 2,987,949 | 3,007,166 | 2,995,103 | 2,998,010 | 2,970,030 | 3,176,231 | 3,276,578 | 3,567,306 | 3,737,786 | 3,731,400 | 3,794,632 | 3,674,241 | 3,737,692 | 3,756,281 | 3,842,399 |
| Pretax margin | 2.79% | 2.73% | 1.60% | 0.04% | -0.24% | 3.19% | 6.34% | 8.66% | 11.00% | 10.27% | 9.06% | 11.07% | 13.60% | 15.56% | 14.30% | 15.33% | 15.83% | 17.22% | 22.46% | 23.24% |
January 31, 2025 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $88,591K ÷ $3,180,753K
= 2.79%
The pretax margin of RH has exhibited a declining trend from January 29, 2022, at 23.24% to January 31, 2025, at 2.79%. This decline indicates a decrease in the company's ability to generate profits before accounting for taxes relative to its revenue over the period under review. The pretax margin reached its lowest point on February 3, 2024, at -0.24%, indicating that the company incurred a pre-tax loss during that period. The fluctuation in the pretax margin over time may suggest challenges RH faced in managing costs, pricing strategies, or generating revenue efficiently. This trend requires monitoring and further investigation to identify the underlying factors impacting RH's profitability performance.