APA Corporation (APA)
Pretax margin
| 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 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 2,212,000 | 2,493,000 | 2,825,000 | 3,592,000 | 5,188,000 | 5,077,000 | 4,141,000 | 3,274,000 | 1,640,000 | 1,090,000 | 1,046,000 | 192,000 | -4,796,000 | -7,727,000 | -7,740,000 | -7,468,000 | -2,879,000 | -317,000 | -5,000 | 581,000 |
| Revenue (ttm) | US$ in thousands | 8,279,000 | 8,584,000 | 9,163,000 | 10,414,000 | 10,539,000 | 10,366,000 | 9,538,000 | 8,247,000 | 6,164,000 | 5,154,000 | 4,239,000 | 3,079,000 | 4,308,000 | 4,644,000 | 5,000,000 | 6,022,000 | 6,400,000 | 6,478,000 | 6,954,000 | 7,272,000 |
| Pretax margin | 26.72% | 29.04% | 30.83% | 34.49% | 49.23% | 48.98% | 43.42% | 39.70% | 26.61% | 21.15% | 24.68% | 6.24% | -111.33% | -166.39% | -154.80% | -124.01% | -44.98% | -4.89% | -0.07% | 7.99% |
December 31, 2023 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $2,212,000K ÷ $8,279,000K
= 26.72%
APA Corporation's pretax margin has shown a declining trend over the past four quarters. It decreased from 51.09% in Q4 2022 to 34.75% in Q4 2023. This decline indicates a decrease in the company's ability to generate profits before accounting for taxes.
The pretax margin reached its lowest point in Q4 2023 at 34.75%, reflecting a decrease in efficiency in managing operating expenses and generating revenue. The decrease in pretax margin could be attributed to various factors such as increased operating expenses, lower revenue, or reduced operational efficiency during this period.
It is essential for APA Corporation to closely monitor and analyze the factors impacting its pretax margin to improve operational efficiency, control costs, and enhance revenue generation in order to sustain profitability in the long term.
Peer comparison
Dec 31, 2023