Travel + Leisure Co (TNL)

Pretax margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Earnings before tax but after interest (EBT) (ttm)	US$ in thousands	545,000	514,000	532,000	497,000	491,000	484,000	498,000	500,000	488,000	515,000	493,000	464,000	425,000	311,000	190,000	-66,000	-279,000	-74,000	88,000	409,000
Revenue (ttm)	US$ in thousands	3,865,000	3,830,000	3,823,000	3,787,000	3,750,000	3,713,000	3,664,000	3,637,000	3,567,000	3,538,000	3,440,000	3,315,000	3,134,000	2,909,000	2,684,000	2,230,000	2,160,000	2,688,000	3,107,000	3,735,000
Pretax margin		14.10%	13.42%	13.92%	13.12%	13.09%	13.04%	13.59%	13.75%	13.68%	14.56%	14.33%	14.00%	13.56%	10.69%	7.08%	-2.96%	-12.92%	-2.75%	2.83%	10.95%

December 31, 2024 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $545,000K ÷ $3,865,000K
= 14.10%

The pretax margin of Travel + Leisure Co has shown fluctuations over the analyzed period. Starting at 10.95% in March 2020, the pretax margin decreased significantly by December 2020 to -12.92%. This negative trend continued until March 2021 with a pretax margin of -2.96%. However, there was a turnaround in the subsequent quarters with an upward trend observed. By December 2021, the pretax margin improved significantly to 13.56%, continuing to increase gradually in the following quarters. As of December 2024, the pretax margin stood at 14.10%. Overall, the company has managed to enhance its profitability as indicated by the improving pretax margin figures in recent quarters, which suggests effective cost management or revenue growth initiatives.