Verra Mobility Corp (VRRM)

Pretax margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Earnings before tax but after interest (EBT)	US$ in thousands	79,108	86,997	127,108	67,901	1,986
Revenue	US$ in thousands	879,207	817,310	741,598	550,590	393,593
Pretax margin		9.00%	10.64%	17.14%	12.33%	0.50%

December 31, 2024 calculation

Pretax margin = EBT ÷ Revenue
= $79,108K ÷ $879,207K
= 9.00%

Verra Mobility Corp's pretax margin has exhibited fluctuations over the past five years. The pretax margin was relatively low in 2020 at 0.50%, indicating that the company's pre-tax profitability was modest. However, there was a significant improvement in 2021, with the pretax margin increasing to 12.33%, suggesting a substantial boost in profitability.

By 2022, Verra Mobility Corp's pretax margin further improved to 17.14%, reaching its highest level over the period analyzed. This indicates that the company was able to effectively manage its expenses and generate increased earnings before taxes.

In 2023, the pretax margin experienced a slight decline to 10.64%, possibly due to changes in business conditions or cost structures. Additionally, there was a further decrease in 2024 to 9.00%, indicating a potential challenge in maintaining the same level of profitability as in previous years.

Overall, Verra Mobility Corp's pretax margin trend reflects some volatility, with periods of strong performance followed by slight declines. It is important for investors and stakeholders to monitor these fluctuations and assess the company's ability to sustain and potentially improve its pretax profitability in the future.