Transdigm Group Incorporated (TDG)

Pretax margin

Sep 30, 2024 Sep 30, 2023 Sep 30, 2022 Sep 30, 2021 Sep 30, 2020
Earnings before tax but after interest (EBT) US$ in thousands 2,214,000 1,715,000 1,127,000 714,000 786,000
Revenue US$ in thousands 7,940,000 6,585,000 5,429,000 4,798,000 5,103,000
Pretax margin 27.88% 26.04% 20.76% 14.88% 15.40%

September 30, 2024 calculation

Pretax margin = EBT ÷ Revenue
= $2,214,000K ÷ $7,940,000K
= 27.88%

Transdigm Group Incorporated has shown a consistent improvement in its pretax margin over the past five years. The pretax margin for the latest fiscal year ending on September 30, 2024, stood at 27.88%, reflecting a steady increase from the previous years. The company's ability to generate higher pre-tax profits relative to its revenue has strengthened over time. This upward trend indicates operational efficiency, cost control, and potential pricing power. The firm has effectively managed its expenses and operating costs, resulting in a healthier bottom line. Overall, the improving pretax margin demonstrates Transdigm Group's strong financial performance and sustainable profitability over the years.