Walgreens Boots Alliance Inc (WBA)
Pretax margin
| Aug 31, 2024 | Aug 31, 2023 | Aug 31, 2022 | Aug 31, 2021 | Aug 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | -7,390,000 | -4,938,000 | 4,307,000 | 3,209,000 | 795,000 |
| Revenue | US$ in thousands | 149,391,000 | 140,471,000 | 132,961,000 | 131,917,000 | 138,974,000 |
| Pretax margin | -4.95% | -3.52% | 3.24% | 2.43% | 0.57% |
August 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-7,390,000K ÷ $149,391,000K
= -4.95%
The pretax margin of Walgreens Boots Alliance Inc has shown fluctuations over the past five years. The trend indicates a decline in profitability as observed from the negative pretax margins in 2024 (-4.95%) and 2023 (-3.52%). This may raise concerns regarding the company's ability to generate profits before accounting for taxes and other expenses. In contrast, there was a notable improvement in 2022 with a pretax margin of 3.24%, signaling a period of higher profitability. However, this improvement was not sustained, as seen by the lower pretax margins in 2021 (2.43%) and 2020 (0.57%). Overall, the varying pretax margins suggest that Walgreens Boots Alliance Inc's operational efficiency and cost management strategies have been inconsistent in recent years. This performance metric warrants further investigation to understand the factors driving these fluctuations and to assess the company's financial health and performance.
Peer comparison
Aug 31, 2024