Sonic Automotive Inc (SAH)
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 | 256,100 | 228,600 | 259,000 | 235,800 | 241,900 | 4,800 | 30,000 | 124,700 | 190,000 | 494,700 | 490,300 | 513,900 | 458,100 | 426,119 | 394,622 | 281,050 | -35,500 | -64,742 | -104,863 | -105,421 |
| Revenue (ttm) | US$ in thousands | 14,235,900 | 13,767,300 | 13,925,100 | 14,125,400 | 14,233,200 | 14,269,000 | 14,074,700 | 13,935,600 | 13,908,700 | 13,509,270 | 13,147,070 | 13,004,340 | 12,345,730 | 11,969,180 | 11,445,730 | 10,207,390 | 9,729,990 | 9,690,070 | 9,853,240 | 10,363,490 |
| Pretax margin | 1.80% | 1.66% | 1.86% | 1.67% | 1.70% | 0.03% | 0.21% | 0.89% | 1.37% | 3.66% | 3.73% | 3.95% | 3.71% | 3.56% | 3.45% | 2.75% | -0.36% | -0.67% | -1.06% | -1.02% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $256,100K ÷ $14,235,900K
= 1.80%
Sonic Automotive Inc's pre-tax margin has shown a fluctuating trend over the past few years starting from negative percentages in 2020 to positive percentages in the most recent quarters of 2024. The company experienced negative pre-tax margins in the fiscal year 2020 and early 2021, indicating that its pre-tax earnings were inadequate to cover its operating expenses and taxes.
However, starting from March 31, 2021, Sonic Automotive Inc's pre-tax margin turned positive and has been on an upward trajectory. The company managed to improve its profitability, reaching a pre-tax margin of 3.73% as of June 30, 2022, which demonstrated better control over its costs and higher revenue generation compared to previous periods.
Despite some fluctuations in the following quarters, Sonic Automotive Inc sustained its positive pre-tax margin, indicating improved financial performance and efficiency in managing its operations. The company's ability to maintain a positive pre-tax margin over the years reflects its efforts to enhance profitability and strengthen its financial position.
Peer comparison
Dec 31, 2024