APA Corporation (APA)

Net profit 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
Net income (ttm)	US$ in thousands	804,000	2,223,000	2,905,000	2,745,000	2,855,000	1,525,000	1,488,000	2,033,000	3,674,000	3,613,000	3,078,000	2,468,000	973,000	621,000	749,000	47,000	-4,821,000	-7,827,000	-8,012,000	-7,982,000
Revenue (ttm)	US$ in thousands	9,737,000	9,192,000	8,969,000	8,222,000	8,279,000	8,584,000	9,163,000	10,414,000	11,075,000	10,902,000	10,074,000	8,783,000	7,985,000	6,905,000	5,966,000	4,962,000	4,435,000	4,841,000	5,159,000	6,005,000
Net profit margin		8.26%	24.18%	32.39%	33.39%	34.48%	17.77%	16.24%	19.52%	33.17%	33.14%	30.55%	28.10%	12.19%	8.99%	12.55%	0.95%	-108.70%	-161.68%	-155.30%	-132.92%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $804,000K ÷ $9,737,000K
= 8.26%

The net profit margin of APA Corporation has shown a significant improvement over the period from March 31, 2020, to December 31, 2024.

The company experienced negative net profit margins in the initial quarters of 2020, with figures ranging from -132.92% to -161.68%. This implies that the company's expenses exceeded its revenues during that time.

However, APA Corporation managed to turn around its performance, achieving positive net profit margins starting from March 31, 2021. The margins gradually increased from 0.95% in March 2021 to a peak of 34.48% by December 31, 2023. This upward trend continued into 2024, with net profit margins ranging from 8.26% to 32.39%.

The strong improvement in net profit margins indicates that APA Corporation successfully managed its costs and increased its profitability over the analyzed period. This positive trajectory suggests that the company's operations became more efficient and effective in generating profits for its shareholders.