Waste Management Inc (WM)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 3,049,000 | 2,916,000 | 2,348,000 | 1,893,000 | 2,104,000 |
| Revenue | US$ in thousands | 19,878,000 | 19,294,000 | 17,348,000 | 14,701,000 | 14,912,000 |
| Pretax margin | 15.34% | 15.11% | 13.53% | 12.88% | 14.11% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $3,049,000K ÷ $19,878,000K
= 15.34%
The pretax margin of Waste Management, Inc. has shown a generally positive trend over the past five years, ranging from 12.44% in 2020 to a peak of 14.81% in 2022. In 2023, the pretax margin slightly decreased to 14.79%. This indicates that the company has been effectively managing its operating expenses in relation to its revenue, resulting in a high percentage of income before taxes. The consistent levels above 10% indicate a healthy profitability for Waste Management, Inc., and the slight fluctuations suggest the company's ability to adapt to changing economic conditions while maintaining solid financial performance.
Peer comparison
Dec 31, 2023