Vector Group Ltd (VGR)
Pretax margin
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 248,452 | 242,874 | 223,109 | 224,048 | 220,562 | 207,400 | 219,676 | 285,863 | 282,270 | 285,761 | 276,058 | 192,439 | 147,059 | 92,290 | 86,072 | 106,148 | 132,059 | 141,444 | 118,388 | 92,200 |
| Revenue (ttm) | US$ in thousands | 1,424,268 | 1,427,688 | 1,441,572 | 1,463,112 | 1,441,009 | 1,390,912 | 1,311,402 | 1,261,754 | 1,220,700 | 1,489,747 | 1,739,093 | 1,847,299 | 2,030,799 | 1,921,951 | 1,878,910 | 1,971,582 | 1,938,018 | 1,910,085 | 1,867,283 | 1,765,154 |
| Pretax margin | 17.44% | 17.01% | 15.48% | 15.31% | 15.31% | 14.91% | 16.75% | 22.66% | 23.12% | 19.18% | 15.87% | 10.42% | 7.24% | 4.80% | 4.58% | 5.38% | 6.81% | 7.41% | 6.34% | 5.22% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $248,452K ÷ $1,424,268K
= 17.44%
Vector Group Ltd's pretax margin has shown variability over the past eight quarters, ranging from a low of 15.31% in Q1 2023 and Q4 2022 to a high of 30.27% in Q3 2022. The company's pretax margin decreased in Q2 and Q3 of 2023 compared to the previous quarters, with values of 15.48% and 17.01%, respectively. This indicates that the company's profitability before taxes declined during these periods.
It is important to note that pretax margin measures the efficiency of a company in generating profits before accounting for taxes, and a higher percentage indicates better profitability. The downward trend in pretax margin in Q2 and Q3 of 2023 may raise concerns about Vector Group Ltd's ability to maintain its profitability levels, and investors may want to further investigate the reasons for this decline.
In contrast, the pretax margin in Q2 and Q3 of 2022 showed significant improvement compared to the previous quarters, indicating strong profitability during that period. Overall, analyzing the pretax margin trend can provide valuable insights into Vector Group Ltd's financial performance and the underlying factors impacting its profitability.
Peer comparison
Dec 31, 2023