Timken Company (TKR)
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 | 516,600 | 541,300 | 464,200 | 388,400 | 459,800 |
| Revenue | US$ in thousands | 4,645,100 | 4,435,900 | 4,063,400 | 3,454,700 | 3,732,400 |
| Pretax margin | 11.12% | 12.20% | 11.42% | 11.24% | 12.32% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $516,600K ÷ $4,645,100K
= 11.12%
The pretax margin of Timken Co. has exhibited variability over the past five years, ranging from a low of 11.12% in 2023 to a high of 12.46% in 2019. Despite this fluctuation, the company has generally maintained a pretax margin above 10% in each of the years analyzed, indicating efficient cost management and revenue generation strategies. The slight decrease in the pretax margin from 2022 to 2023 may warrant further investigation to understand the factors driving this trend and whether it aligns with broader industry or economic conditions. Overall, Timken Co. has demonstrated consistent profitability before accounting for taxes, albeit with some fluctuations in recent years.
Peer comparison
Dec 31, 2023