Ralph Lauren Corp Class A (RL)

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	950,700	899,900	846,000	823,400	777,400	715,100	665,700	700,300	691,900	672,000	668,800	706,800	754,600	690,000	575,000	307,800	-74,800	-326,700	-258,500	7,200
Revenue (ttm)	US$ in thousands	7,079,000	6,949,600	6,740,100	6,647,100	6,631,400	6,604,300	6,502,600	6,449,500	6,443,600	6,425,500	6,408,600	6,332,800	6,218,500	5,982,800	5,600,200	5,289,600	4,400,800	4,387,900	4,705,800	5,218,500
Pretax margin		13.43%	12.95%	12.55%	12.39%	11.72%	10.83%	10.24%	10.86%	10.74%	10.46%	10.44%	11.16%	12.13%	11.53%	10.27%	5.82%	-1.70%	-7.45%	-5.49%	0.14%

March 31, 2025 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $950,700K ÷ $7,079,000K
= 13.43%

Ralph Lauren Corp Class A has shown fluctuations in its pretax margin over the periods provided. The pretax margin was consistently negative from September 2020 to March 2021, indicating that the company was incurring more expenses than generating pre-tax profits during that time.

However, the company's financial performance improved significantly from June 2021 onwards, with the pretax margin turning positive and showing a generally increasing trend. This positive trend continued throughout the following quarters, reaching its peak at 13.43% as of March 31, 2025.

Overall, the increasing pretax margin indicates that Ralph Lauren Corp Class A has been able to control its expenses better and generate higher pre-tax profits over time, reflecting improved operational efficiency and potentially stronger financial performance.