ChampionX Corporation (CHX)
Operating 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 498,504 | 336,844 | 353,452 | 379,254 | 374,059 | 356,793 | 200,347 | 148,542 | 80,959 | 19,321 | 104,748 | 64,720 | 25,473 | 9,456 | -46,100 | -180,544 | -849,992 | -690,478 | -671,691 | -519,358 |
| Revenue (ttm) | US$ in thousands | 3,633,983 | 3,665,501 | 3,698,751 | 3,732,079 | 3,758,285 | 3,800,585 | 3,882,362 | 3,888,334 | 3,805,947 | 3,642,237 | 3,439,462 | 3,256,062 | 3,074,990 | 2,958,967 | 2,773,708 | 2,323,450 | 1,899,996 | 1,441,622 | 1,084,935 | 1,092,191 |
| Operating profit margin | 13.72% | 9.19% | 9.56% | 10.16% | 9.95% | 9.39% | 5.16% | 3.82% | 2.13% | 0.53% | 3.05% | 1.99% | 0.83% | 0.32% | -1.66% | -7.77% | -44.74% | -47.90% | -61.91% | -47.55% |
December 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $498,504K ÷ $3,633,983K
= 13.72%
The operating profit margin of ChampionX Corporation has shown a significant improvement over the past several quarters. The company experienced negative operating profit margins in the range of -47.55% to -61.91% in the first half of 2020, indicating challenges in generating profits from its core operations.
However, there was a noticeable turnaround starting from March 31, 2021, when the operating profit margin improved to -7.77%. This positive trend continued over the following quarters, with the company steadily increasing its operating profit margin to reach 13.72% by the end of December 31, 2024.
The consistent improvement in operating profit margin reflects ChampionX Corporation's efforts to enhance operational efficiency, control costs, and optimize revenue streams. This positive trajectory is encouraging and demonstrates the company's ability to effectively manage its operational performance and generate higher profits relative to its operating costs.
Overall, ChampionX Corporation's operating profit margin trend suggests a successful turnaround and a strong focus on profitability and sustainable growth in the coming quarters.
Peer comparison
Dec 31, 2024