Western Digital Corporation (WDC)
Pretax margin
| Jun 30, 2025 | Jun 30, 2024 | Jun 30, 2023 | Jun 30, 2022 | Jun 30, 2021 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 1,130,000 | -661,000 | -1,560,000 | 2,123,000 | 927,000 |
| Revenue | US$ in thousands | 9,520,000 | 13,003,000 | 12,318,000 | 18,793,000 | 16,922,000 |
| Pretax margin | 11.87% | -5.08% | -12.66% | 11.30% | 5.48% |
June 30, 2025 calculation
Pretax margin = EBT ÷ Revenue
= $1,130,000K ÷ $9,520,000K
= 11.87%
The pretax margin for Western Digital Corporation demonstrates significant fluctuations over the analyzed period from June 30, 2021, to June 30, 2025. On June 30, 2021, the company reported a pretax margin of 5.48%, indicating modest profitability before taxes. This margin increased notably the following year, reaching 11.30% on June 30, 2022, reflecting improved operational efficiency or higher earnings relative to revenues.
However, a substantial decline occurred by June 30, 2023, when the pretax margin turned negative at -12.66%, suggesting that the company faced increased expenses, potential restructuring costs, or other financial challenges that resulted in pre-tax losses. This negative margin persisted into the following year, with a slight improvement to -5.08% on June 30, 2024, yet remaining in negative territory.
By June 30, 2025, the pretax margin improved significantly to 11.87%, surpassing the levels reported in 2021 and 2022 and indicating a strong return to profitability before taxes. This overall trend reflects periods of both profitability and significant challenges, with recent performance indicating a recovery phase. The oscillation between positive and negative margins underscores the company's sensitivity to market conditions, operational shifts, or other external factors impacting pre-tax earnings over the examined timeframe.
Peer comparison
Jun 30, 2025