Xylem Inc (XYL)
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 | 1,087,000 | 635,000 | 440,000 | 511,000 | 285,000 |
Revenue | US$ in thousands | 8,562,000 | 7,364,000 | 5,522,000 | 5,195,000 | 4,876,000 |
Pretax margin | 12.70% | 8.62% | 7.97% | 9.84% | 5.84% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $1,087,000K ÷ $8,562,000K
= 12.70%
Xylem Inc's pretax margin has shown an increasing trend over the past five years, starting at 5.84% in December 2020 and reaching 12.70% in December 2024. The pretax margin indicates the company's efficiency in generating profits before tax from its operations.
The gradual improvement in the pretax margin demonstrates that Xylem has been successful in controlling its operating expenses and increasing its operating income relative to its revenue. The significant increase from 2023 to 2024 suggests that the company has been able to enhance its profitability significantly, potentially through strategic cost management or revenue growth initiatives.
Overall, the rising pretax margin reflects positively on Xylem's financial performance and operational efficiency over the years covered in the data. This indicates that the company has been effectively managing its costs and increasing profitability, which is a favorable sign for investors and stakeholders.
Peer comparison
Dec 31, 2024