Tennant Company (TNC)
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 | 123,800 | 79,500 | 74,100 | 41,100 | 53,900 |
| Revenue | US$ in thousands | 1,243,900 | 1,094,700 | 1,081,300 | 975,000 | 1,137,600 |
| Pretax margin | 9.95% | 7.26% | 6.85% | 4.22% | 4.74% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $123,800K ÷ $1,243,900K
= 9.95%
Tennant Co.'s pretax margin has shown a positive trend over the past five years, increasing from 4.75% in 2019 to 9.95% in 2023. This indicates that the company has been able to efficiently control its operating expenses and generate a higher level of pre-tax income in relation to its revenue. The consistent improvement in pretax margin reflects potentially better operational efficiency and profitability in recent years. The upward trajectory of this ratio suggests that Tennant Co. has been successful in managing its costs and maximizing its profitability.
Peer comparison
Dec 31, 2023
Company name
Symbol
Pretax margin
Tennant Company
TNC
9.95%
Hayward Holdings Inc
HAYW
11.01%
Middleby Corp
MIDD
12.84%
Standex International Corporation
SXI
13.12%