World Kinect Corporation (WKC)
Pretax margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 95,000 | 150,200 | 147,800 | 69,500 | 65,800 | 139,800 | 155,500 | 137,700 | 143,400 | 136,500 | 106,800 | 104,500 | 99,500 | 78,500 | 154,200 | 132,100 | 161,800 | 219,500 | 181,800 | 241,300 |
| Revenue (ttm) | US$ in thousands | 42,168,000 | 44,410,500 | 46,164,900 | 46,180,400 | 47,710,600 | 49,585,300 | 53,001,300 | 59,142,700 | 59,043,100 | 55,108,200 | 47,797,800 | 37,761,200 | 31,337,100 | 26,096,400 | 22,228,200 | 18,301,000 | 20,358,300 | 25,014,300 | 29,854,300 | 36,155,400 |
| Pretax margin | 0.23% | 0.34% | 0.32% | 0.15% | 0.14% | 0.28% | 0.29% | 0.23% | 0.24% | 0.25% | 0.22% | 0.28% | 0.32% | 0.30% | 0.69% | 0.72% | 0.79% | 0.88% | 0.61% | 0.67% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $95,000K ÷ $42,168,000K
= 0.23%
World Kinect Corporation's pretax margin has shown fluctuating trends over the past few years, ranging from a high of 0.88% in September 2020 to a low of 0.14% in December 2023. The pretax margin indicates the company's ability to control its operating expenses relative to its revenue before accounting for taxes.
The pretax margin has generally remained below 1%, suggesting that the company has been operating with tight margins and facing challenges in generating significant profits after accounting for operating expenses. There was a noticeable decrease in the pretax margin from 0.69% in June 2021 to 0.30% in September 2021, which might indicate a period of increased costs or lower revenue during that time.
It's important for World Kinect Corporation to monitor and analyze its pretax margin closely to ensure sustainable profitability and efficiency in managing costs. Strategies to improve the pretax margin could include enhancing operational efficiency, cost-cutting measures, and increasing revenue streams to achieve better profitability in the future.