Vontier Corp (VNT)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 483,500 | 527,400 | 534,000 | 460,300 |
| Revenue | US$ in thousands | 3,081,000 | 3,083,800 | 2,921,100 | 2,671,300 |
| Pretax margin | 15.69% | 17.10% | 18.28% | 17.23% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $483,500K ÷ $3,081,000K
= 15.69%
The pretax margin of Vontier Corporation has shown a declining trend over the past five years. From 2019 to 2023, the pretax margin decreased from 20.41% to 15.62%. This downward trajectory indicates that the company's profitability before taxes has been gradually eroding. The decreasing pretax margin may suggest that Vontier is facing challenges in generating income before accounting for taxes and other expenses. It is essential for the company to closely evaluate its cost structure, revenue generation strategies, and operational efficiency to reverse this negative trend and improve overall profitability levels.
Peer comparison
Dec 31, 2023