Sonic Automotive Inc (SAH)

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	241,900	190,000	458,200	-35,500	199,200
Revenue	US$ in thousands	14,238,800	13,905,900	12,344,200	9,728,520	10,454,300
Pretax margin		1.70%	1.37%	3.71%	-0.36%	1.91%

December 31, 2023 calculation

Pretax margin = EBT ÷ Revenue
= $241,900K ÷ $14,238,800K
= 1.70%

The pretax margin of Sonic Automotive, Inc. has fluctuated over the past five years. In 2023, the pretax margin improved to 1.68% from 1.36% in 2022. However, this is lower compared to 3.70% in 2021. Notably, in 2020, the company reported a negative pretax margin of -0.36%, suggesting a loss before taxes. In 2019, the pretax margin was higher at 1.91%. The trend indicates variability in the company's ability to generate profits before taxes, reflecting changing operational efficiencies and cost management strategies over the years.