Synnex Corporation (SNX)

Pretax margin

		Feb 29, 2024	Nov 30, 2023	Aug 31, 2023	Feb 28, 2023	Nov 30, 2022	Aug 31, 2022	May 31, 2022	Feb 28, 2022	Nov 30, 2021	Aug 31, 2021	May 31, 2021	Feb 28, 2021	Nov 30, 2020	Aug 31, 2020	May 31, 2020	Feb 29, 2020	Nov 30, 2019	Aug 31, 2019	May 31, 2019	Feb 28, 2019
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	838,871	880,298	840,752	869,107	827,130	659,598	598,671	524,740	466,487	629,533	664,314	613,477	630,769	544,314	547,720	627,031	611,825	602,159	530,249	483,373
Revenue (ttm)	US$ in thousands	57,468,600	59,741,300	60,690,100	61,999,300	62,343,900	61,707,200	51,558,160	42,145,180	31,614,190	22,121,730	22,221,030	20,835,140	19,977,150	20,391,740	21,244,640	22,452,530	23,576,000	22,664,770	21,412,120	20,685,810
Pretax margin		1.46%	1.47%	1.39%	1.40%	1.33%	1.07%	1.16%	1.25%	1.48%	2.85%	2.99%	2.94%	3.16%	2.67%	2.58%	2.79%	2.60%	2.66%	2.48%	2.34%

February 29, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $838,871K ÷ $57,468,600K
= 1.46%

The pretax margin of Synnex Corporation has shown slight fluctuations over the past couple of years. In the most recent period, ending on February 29, 2024, the pretax margin was 1.46%, which is relatively consistent with the previous quarter at 1.47%. However, these values are lower compared to the pretax margins seen in the same periods of the prior years.

Looking at the trend, the pretax margin has generally been on a declining path since August 2021 when it stood at 2.85%. This decreasing trend continued until the most recent period, indicating potential challenges in maintaining profitability levels. The company experienced a notable drop in pretax margin between May 2022 and August 2022, with the margin decreasing from 1.16% to 1.07%.

It is important for Synnex Corporation to closely monitor and address any factors contributing to the decline in pretax margin to ensure sustainable profitability moving forward. These factors could include cost management, revenue generation strategies, and operational efficiencies to enhance overall financial performance.