Xylem Inc (XYL)
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 | 635,000 | 440,000 | 511,000 | 285,000 | 416,000 |
| Revenue | US$ in thousands | 7,364,000 | 5,522,000 | 5,195,000 | 4,876,000 | 5,249,000 |
| Pretax margin | 8.62% | 7.97% | 9.84% | 5.84% | 7.93% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $635,000K ÷ $7,364,000K
= 8.62%
The pretax margin of Xylem Inc has shown fluctuation over the past five years. The margin increased from 5.84% in 2020 to 9.84% in 2021, displaying a significant improvement in profitability. However, in 2022, there was a decrease to 7.97%, followed by a further increase to 8.62% in 2023.
Overall, Xylem Inc has been able to maintain a relatively healthy pretax margin range between 7.93% and 9.84% over the period analyzed. This indicates the company's ability to efficiently manage its operating expenses and generate profits before accounting for taxes. Further analysis of the company's cost structure and revenue generation strategies could provide insights into the factors impacting these fluctuations in pretax margin.
Peer comparison
Dec 31, 2023