Antero Resources Corp (AR)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 94.04% | 95.42% | 94.82% | 72.15% | 55.42% |
| Operating profit margin | 9.68% | 36.06% | 0.52% | -27.31% | -22.39% |
| Pretax margin | 6.81% | 32.88% | -5.65% | -47.70% | -9.40% |
| Net profit margin | 5.19% | 26.60% | -4.05% | -36.31% | -7.71% |
Antero Resources Corp has shown consistent gross profit margins of 100% over the past five years, indicating that the company has been able to effectively manage its cost of goods sold. However, the operating profit margin has fluctuated significantly, ranging from a low of -22.27% in 2020 to a high of 39.53% in 2022. This suggests that the company's operating expenses have not been as consistent as its gross profit.
The pretax margin shows a similar pattern of variability, with the company experiencing negative margins in 2020 and 2021. This indicates that Antero Resources Corp may have struggled with generating profits before accounting for taxes during those years. The net profit margin also reflects these challenges, with negative margins in 2020 and 2021, and declining profitability in 2019 and 2023.
Overall, Antero Resources Corp's profitability ratios indicate that the company has faced challenges in maintaining consistent levels of profitability over the past five years, likely influenced by fluctuations in operating expenses and the impact of taxes on its bottom line.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 3.33% | 18.23% | 0.17% | -7.25% | -6.49% |
| Return on assets (ROA) | 1.78% | 13.45% | -1.34% | -9.64% | -2.24% |
| Return on total capital | 5.32% | 32.42% | 0.30% | -10.87% | -9.20% |
| Return on equity (ROE) | 3.48% | 28.11% | -3.25% | -21.98% | -4.88% |
Antero Resources Corp's profitability ratios show fluctuating performance over the past five years.
Operating return on assets (Operating ROA) saw a significant drop from 19.99% in 2022 to 4.09% in 2023, indicating a decline in the company's ability to generate operating profits from its assets.
Return on assets (ROA) improved consistently from -9.64% in 2020 to 1.78% in 2023, suggesting a gradual recovery in the company's overall profitability in relation to its total assets.
Return on total capital peaked at 35.54% in 2022 but fell to 7.50% in 2023, pointing to a substantial decrease in the return generated from the company's total capital employed.
Return on equity (ROE) showed a similar downward trend, dropping from 28.11% in 2022 to 3.48% in 2023, reflecting a diminished return for the company's equity holders.
Overall, the profitability ratios for Antero Resources Corp indicate variable performance, with fluctuations in profitability levels over the years. It is important for the company to closely monitor and analyze these ratios to make informed strategic decisions and improve its financial performance.