Valaris Ltd (VAL)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2020 | Dec 31, 2019 | Dec 31, 2018 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 82,800 | 219,600 | -5,114,900 | -69,600 | -550,100 |
| Revenue | US$ in thousands | 1,784,200 | 1,602,500 | 1,427,200 | 2,053,200 | 1,705,400 |
| Pretax margin | 4.64% | 13.70% | -358.39% | -3.39% | -32.26% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $82,800K ÷ $1,784,200K
= 4.64%
Valaris Ltd's pretax margin has experienced significant fluctuations over the past three years, as indicated by the data provided. The pretax margin stood at 4.72% as of December 31, 2023, reflecting a substantial decrease from the previous year's figure of 14.03%. Interestingly, in 2021, the company reported a negative pretax margin of -360.22%, suggesting an operational loss that year.
These fluctuations suggest possible challenges in the company's cost management, revenue generation, or efficiency in utilizing resources. It is crucial for Valaris Ltd to closely examine the factors contributing to these variations in pretax margin to identify areas for improvement and implement appropriate strategies to enhance profitability and financial performance in the future.
Peer comparison
Dec 31, 2023