Prime Life Insurance Co (XNEP:PLIC) Pretax Margin %: 67.74% (As of Jan. 2023)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

XNEP:PLIC Prime Life Insurance Co Ltd XNEP:PLIC
21 GF Score
Price NPR340.00
View Full Analysis

What is Prime Life Insurance Co Pretax Margin %?

Prime Life Insurance Co XNEP:PLIC 21 Pretax Margin % is 67.74% as of Jan. 2023. GuruFocus rates XNEP:PLIC with a GF Score™ of 21/100.

Pre-Tax margin is calculated as Pre-Tax Income divided by its Revenue. Prime Life Insurance Co's Pre-Tax Income for the three months ended in Jan. 2023 was NPR1,149 Mil. Prime Life Insurance Co's Revenue for the three months ended in Jan. 2023 was NPR1,696 Mil. Therefore, Prime Life Insurance Co's pretax margin for the quarter that ended in Jan. 2023 was 67.74%.

The historical rank and industry rank for Prime Life Insurance Co's Pretax Margin % or its related term are showing as below:


XNEP:PLIC's Pretax Margin % is not ranked *
in the Insurance industry.
Industry Median: 11.9
* Ranked among companies with meaningful Pretax Margin % only.

Prime Life Insurance Co  (XNEP:PLIC) Pretax Margin % Explanation

The pretax margin, as know as pretax profit margin, is widely used to measure the operating efficiency of a company before deducting taxes.

The pretax margin is sometimes preferred over the net margin as tax expenditures can make profitability comparisons between companies misleading.

It is a useful tool to compare companies operating in the same sector and less effective when comparing companies from other sectors as each industry generally has different operating expenses and sales patterns.

The long term trend of the pretax margin is a good indicator of the competitiveness and health of the business.


Prime Life Insurance Co Pretax Margin % Related Terms


Prime Life Insurance Co Pretax Margin % Historical Data

* Premium members only.

The historical data trend for Prime Life Insurance Co's Pretax Margin % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Prime Life Insurance Co Pretax Margin % Chart

Prime Life Insurance Co Annual Data
Trend Jul15 Jul16 Jul17 Jul18 Jul19 Jul20 Jul21
Pretax Margin %
Get a 7-Day Free Trial 62.97 67.83 66.80 62.93 65.32

Prime Life Insurance Co Quarterly Data
Jan18 Apr18 Jul18 Oct18 Jan19 Apr19 Jul19 Oct19 Jan20 Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Oct22 Jan23
Pretax Margin % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 71.84 62.98 61.91 71.57 67.74

XNEP:PLIC vs MET, PRU, AFL: Pretax Margin % Comparison

For the Insurance - Life subindustry, Prime Life Insurance Co's Pretax Margin %, along with its competitors' market caps and Pretax Margin % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Prime Life Insurance Co Pretax Margin % vs Insurance Industry

For the Insurance industry and Financial Services sector, Prime Life Insurance Co's Pretax Margin % distribution charts can be found below:

* The bar in red indicates where Prime Life Insurance Co's Pretax Margin % falls into.


XNEP:PLIC
21GF Score
Prime Life Insurance Co Ltd XNEP:PLIC
Pretax Margin % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Prime Life Insurance Co Pretax Margin % Calculation

Pretax margin - also known as pretax profit margin is the ratio of Pretax Income divided by net sales or Revenue, usually presented in percent.

Prime Life Insurance Co's Pretax Margin for the fiscal year that ended in Jul. 2021 is calculated as

Pretax Margin=Pre-Tax Income (A: Jul. 2021 )/Revenue (A: Jul. 2021 )
=3744.383/5732.152
=65.32 %

Prime Life Insurance Co's Pretax Margin for the quarter that ended in Jan. 2023 is calculated as

Pretax Margin=Pre-Tax Income (Q: Jan. 2023 )/Revenue (Q: Jan. 2023 )
=1149.168/1696.39
=67.74 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about Pretax Margin % →
What does a Pretax Margin % of 67.74% mean?
Prime Life Insurance Co (XNEP:PLIC) has a Pretax Margin % of 67.74% as of Jan. 2023. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Prime Life Insurance Co and its competitors.
Is Prime Life Insurance Co's Pretax Margin % too high?
Prime Life Insurance Co's current Pretax Margin % is 67.74%. The Insurance industry median Pretax Margin % is 11.90. Prime Life Insurance Co's value of 67.74% is 469.2% above this industry median. Overall, Prime Life Insurance Co has a GF Score™ of 21/100, reflecting its overall financial health beyond just this single metric.
How does Prime Life Insurance Co's Pretax Margin % compare to MET and PRU?
Prime Life Insurance Co's Pretax Margin % of 67.74% can be compared against companies in the Insurance industry. The industry median Pretax Margin % is 11.90. Prime Life Insurance Co's value of 67.74% is 469.2% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Pretax Margin % for an Insurance company?
The median Pretax Margin % among Insurance companies is 11.90, based on 503 companies in the industry. Companies in the top quartile (top 25%) have a Pretax Margin % significantly above this median, while those in the bottom quartile fall well below. However, Pretax Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Prime Life Insurance Co's current Pretax Margin % of 67.74% is 469.2% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Pretax Margin % mean?
A high Pretax Margin % can signal that a stock is expensive relative to its fundamentals. Pre-Tax margin is the ratio of total pre-tax income to net sales. View historical data on Prime Life Insurance Co and its competitors. For the Insurance industry, the median Pretax Margin % is 11.90 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Prime Life Insurance Co's current Pretax Margin % is 67.74%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Prime Life Insurance Co stock overvalued right now?
Prime Life Insurance Co (XNEP:PLIC) has a current Pretax Margin % of 67.74%. The current Pretax Margin % is 67.74% and 469.2% above the Insurance industry median of 11.90. Prime Life Insurance Co's overall GF Score™ is 21/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Pretax Margin % calculated?
Pretax Margin % is calculated from a company's financial statements. For Prime Life Insurance Co (XNEP:PLIC), the current Pretax Margin % is 67.74% as of Jan. 2023. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Prime Life Insurance Co Business Description

Address Hattisar, Manakamana Marga, P.O. Box 25979, Kathmandu, NPL
Prime Life Insurance Co Ltd provides life insurance products and services in Nepal. The company's operating segment includes Endowment; Anticipated Endowment; Endowment Cum Whole Life; Whole Life; Without Profit Endowment; Foreign Employment Term; Other Term; Special Term and others. It generates maximum revenue from the Endowment segment.
21GF Score

Get the complete analysis for XNEP:PLIC

Pretax Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NPR340.00
Price