Terex Corporation (TEX)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 581,000 | 366,400 | 267,200 | -8,600 | 92,200 |
| Revenue | US$ in thousands | 5,151,500 | 4,417,700 | 3,886,800 | 3,076,400 | 4,353,100 |
| Pretax margin | 11.28% | 8.29% | 6.87% | -0.28% | 2.12% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $581,000K ÷ $5,151,500K
= 11.28%
The pretax margin for Terex Corp. has shown a fluctuating trend over the past five years, ranging from 0.36% in 2020 to 11.25% in 2023. This indicates that the company's ability to generate profits before taxes has varied significantly during this period. The pretax margin improved significantly from 2020 to 2023, suggesting that the company has been able to enhance its operational efficiency and/or control costs to boost profitability. However, there was a notable decline in 2022 compared to 2023, but the overall trend shows an upward trajectory in recent years. Further analysis of the underlying reasons for these fluctuations could provide valuable insights into the company's financial performance and strategic decisions.