Vir Biotechnology Inc (VIR)

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
Earnings before tax but after interest (EBT) (ttm) US$ in thousands -628,194 -659,075 -274,717 -310,815 754,280 1,451,807 1,344,837 1,640,424 549,802 -101,766 -297,115 -390,102 -298,611 -256,554 -220,294
Revenue (ttm) US$ in thousands 86,180 118,803 490,721 444,237 1,613,740 2,377,077 2,106,136 2,325,891 1,095,407 284,394 182,706 72,626 76,368 75,614 75,089
Pretax margin -728.93% -554.76% -55.98% -69.97% 46.74% 61.08% 63.85% 70.53% 50.19% -35.78% -162.62% -537.14% -391.02% -339.29% -293.38%

December 31, 2023 calculation

Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $-628,194K ÷ $86,180K
= -728.93%

The pretax margin of Vir Biotechnology Inc has shown significant volatility over the past eight quarters. In Q4 2023 and Q3 2023, the company reported negative pretax margins of -728.93% and -481.19%, respectively, indicating that its operating expenses and other charges exceeded its revenues before accounting for taxes. This suggests that the company may have incurred substantial losses or faced challenges in managing its costs effectively during these periods.

In Q2 2023, the pretax margin improved to -54.45%, but remained negative, indicating that the company's financial performance was still weak. However, in Q1 2023, the pretax margin further decreased to -69.64%, reflecting a deterioration in profitability compared to the previous quarter.

Looking back at the earlier quarters, Vir Biotechnology Inc had shown more positive pretax margins in Q4 2022, Q3 2022, Q2 2022, and Q1 2022, with figures ranging from 46.68% to 70.53%. These positive margins suggest that the company was able to generate profits before taxes during these periods, indicating better cost control and higher revenue generation.

Overall, the trend in pretax margin for Vir Biotechnology Inc indicates variability in its profitability, with recent quarters showing significant challenges in maintaining a positive margin. Further analysis of the company's financial performance and business operations may be necessary to understand the factors driving these fluctuations and to identify potential areas for improvement.