SkyWest Inc (SKYW)
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 | 432,143 | 40,309 | 92,583 | 150,610 | -7,327 |
| Revenue | US$ in thousands | 3,629,780 | 2,890,360 | 2,963,230 | 2,652,290 | 2,033,210 |
| Pretax margin | 11.91% | 1.39% | 3.12% | 5.68% | -0.36% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $432,143K ÷ $3,629,780K
= 11.91%
SkyWest Inc's pre-tax margin has fluctuated over the past five years. In December 2020, the pre-tax margin was negative at -0.36%, suggesting that the company incurred pre-tax losses. However, there was a significant improvement in December 2021, with the pre-tax margin increasing to 5.68%, indicating better operational efficiency and profitability.
In December 2022, the pre-tax margin dropped to 3.12%, reflecting a slight decline in profitability compared to the previous year. This was followed by a further decrease in December 2023, where the pre-tax margin stood at 1.39%.
The most notable change occurred in December 2024, with the pre-tax margin surging to 11.91%, marking a substantial improvement in profitability compared to the previous years. This significant increase suggests that SkyWest Inc may have implemented strategic initiatives to enhance its operational efficiency, reduce costs, or increase revenues.
Overall, the trend in SkyWest Inc's pre-tax margin indicates fluctuating profitability levels over the years, with the company experiencing both improvements and declines. It is essential for the company to continue monitoring and managing its pre-tax margin to ensure sustained profitability and financial health.
Peer comparison
Dec 31, 2024