Southwest Gas Holdings Inc (SWX)
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 | 241,296 | 197,349 | -273,337 | 246,850 | 304,738 |
| Revenue | US$ in thousands | 5,112,440 | 5,433,970 | 4,960,010 | 3,680,450 | 3,298,870 |
| Pretax margin | 4.72% | 3.63% | -5.51% | 6.71% | 9.24% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $241,296K ÷ $5,112,440K
= 4.72%
Southwest Gas Holdings Inc's pretax margin has shown fluctuation over the years based on the provided data. In December 31, 2020, the pretax margin was at a solid 9.24%, indicating that the company was generating a healthy level of profit before taxes. However, by December 31, 2022, the pretax margin significantly declined to -5.51%, indicating that the company was facing challenges in generating profits and may have incurred losses before taxes during that period.
Subsequently, there was a recovery as the pretax margin improved to 3.63% by December 31, 2023, and further increased to 4.72% by December 31, 2024. These improvements suggest that Southwest Gas Holdings Inc managed to enhance its operational efficiency and profitability in the later years, although the pretax margin remained below the initial levels observed in 2020.
Overall, the fluctuations in the pretax margin indicate both challenges and improvements in Southwest Gas Holdings Inc's ability to generate profits before taxes over the years covered in the data. Keeping a close eye on this metric will be crucial for stakeholders to assess the company's financial performance and stability.
Peer comparison
Dec 31, 2024