Schrodinger Inc (SDGR)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | -185,711 | 42,919 | -149,126 | -100,808 | -26,292 |
| Revenue | US$ in thousands | 207,539 | 216,666 | 180,955 | 137,931 | 108,095 |
| Pretax margin | -89.48% | 19.81% | -82.41% | -73.09% | -24.32% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-185,711K ÷ $207,539K
= -89.48%
Schrodinger Inc's pretax margin has shown significant fluctuations over the years, as per the provided data. In December 2020, the pretax margin was -24.32%, indicating that the company was operating at a loss before taxes. This loss widened substantially in December 2021 to -73.09% and further deteriorated to -82.41% by December 2022, signifying increasing financial challenges.
However, there was a notable positive turnaround in December 2023, with the pretax margin improving to 19.81%. This improvement suggests that the company effectively managed its expenses or potentially saw an increase in revenue relative to costs. Unfortunately, this positive momentum was not sustained, as evidenced by a significant drop in the pretax margin to -89.48% by December 2024, indicating a return to significant losses.
The inconsistent performance of the pretax margin raises concerns about the company's overall financial health and operational efficiency. Schrodinger Inc may need to assess and address the factors contributing to these fluctuations to ensure sustainable profitability in the long term.
Peer comparison
Dec 31, 2024