Synopsys Inc (SNPS)
Pretax margin
| Oct 31, 2023 | Oct 31, 2022 | Oct 31, 2021 | Oct 31, 2020 | Oct 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 1,313,540 | 1,121,670 | 806,671 | 639,059 | 545,506 |
| Revenue | US$ in thousands | 5,842,620 | 5,081,540 | 4,204,190 | 3,685,280 | 3,360,690 |
| Pretax margin | 22.48% | 22.07% | 19.19% | 17.34% | 16.23% |
October 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $1,313,540K ÷ $5,842,620K
= 22.48%
The pretax margin of Synopsys, Inc. has shown a consistent upward trend over the past five years, indicating an improved ability to generate profits before accounting for taxes. In the most recent fiscal year ending on October 31, 2023, the pretax margin reached 22.28%, reflecting a notable increase from 21.95% in the prior year. This improvement suggests that the company has effectively managed its operating expenses and cost of goods sold, resulting in a higher proportion of pre-tax income relative to total revenue. The steady growth in pretax margin demonstrates Synopsys' enhanced profitability and operational efficiency, which may be seen as a positive indicator of the company's financial health and management effectiveness.
Peer comparison
Oct 31, 2023