Starbucks Corporation (SBUX)
Pretax margin
| Sep 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 | Dec 31, 2019 | Sep 30, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 4,968,200 | 5,428,600 | 5,645,900 | 5,401,800 | 4,909,600 | 4,636,900 | 4,302,900 | 4,230,100 | 5,376,600 | 5,595,700 | 5,610,000 | 5,356,100 | 3,551,000 | 1,328,200 | 832,100 | 1,168,000 | 1,730,100 | 4,218,900 | 4,649,500 | 4,471,000 |
| Revenue (ttm) | US$ in thousands | 36,176,200 | 36,530,200 | 36,687,000 | 35,975,600 | 35,016,200 | 33,998,000 | 32,913,800 | 32,250,300 | 31,982,800 | 31,329,200 | 30,361,600 | 29,060,600 | 27,117,000 | 23,842,600 | 23,170,300 | 23,518,000 | 24,061,900 | 26,662,800 | 26,973,000 | 26,508,600 |
| Pretax margin | 13.73% | 14.86% | 15.39% | 15.02% | 14.02% | 13.64% | 13.07% | 13.12% | 16.81% | 17.86% | 18.48% | 18.43% | 13.10% | 5.57% | 3.59% | 4.97% | 7.19% | 15.82% | 17.24% | 16.87% |
September 30, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $4,968,200K ÷ $36,176,200K
= 13.73%
The pretax margin of Starbucks Corporation has shown some fluctuations over the past few quarters. In the latest quarter ending September 30, 2024, the pretax margin was 13.73%, a slight decrease from the previous quarter's 14.86%. Looking back over the last few quarters, there has been some variability in the pretax margin, with peaks around 18% in the first half of 2022 and troughs around 3-5% in early 2021.
Overall, the pretax margin has generally trended downwards since the beginning of 2022, when it was around 18%. This downward trend may indicate increasing costs or other factors affecting profitability before accounting for taxes.
It is important for Starbucks Corporation to closely monitor and manage its pretax margin to ensure sustainable profitability and financial health. Leaders may want to investigate the reasons behind the fluctuations in the pretax margin and implement strategies to improve profitability in the long term.
Peer comparison
Sep 30, 2024