Warner Bros Discovery Inc (WBD)
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 | -11,388,000 | -3,863,000 | -8,960,000 | 1,433,000 | 1,728,000 |
| Revenue | US$ in thousands | 39,321,000 | 41,321,000 | 33,817,000 | 12,191,000 | 10,671,000 |
| Pretax margin | -28.96% | -9.35% | -26.50% | 11.75% | 16.19% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $-11,388,000K ÷ $39,321,000K
= -28.96%
Warner Bros Discovery Inc's pretax margin, a key indicator of operational efficiency and profitability, has exhibited some fluctuations in recent years. The pretax margin decreased from 16.19% in December 2020 to 11.75% in December 2021, indicating a slight decline in profitability. However, there was a significant negative shift in the pretax margin, dropping to -26.50% in December 2022, reflecting potential challenges or inefficiencies impacting the company's earnings before tax.
The downward trend improved in December 2023 with a pretax margin of -9.35%, suggesting some recovery in profitability but still falling short of positive territory. Nevertheless, in December 2024, the pretax margin faced another substantial decline, reaching -28.96%, highlighting ongoing struggles in generating profits before accounting for income taxes.
These fluctuations in the pretax margin indicate the company's profitability challenges over the years, with negative values signaling potential issues that may require attention and strategic solutions to enhance financial performance and sustainability.
Peer comparison
Dec 31, 2024