CNX Resources Corp (CNX)
Profitability ratios
Return on sales
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Gross profit margin | 88.27% | 95.98% | 87.98% | 81.33% | 47.84% |
| Operating profit margin | -17.75% | 58.96% | -21.87% | -90.91% | -93.91% |
| Pretax margin | -9.50% | 64.71% | -16.81% | -84.11% | -52.30% |
| Net profit margin | -7.14% | 50.09% | -11.27% | -65.89% | -38.46% |
Based on the provided data, the profitability ratios of CNX Resources Corp have shown significant fluctuations over the past five years:
1. Gross Profit Margin:
- The gross profit margin has steadily improved from 47.84% in December 2020 to 88.27% in December 2024. This indicates that the company has been able to effectively control its cost of goods sold and generate more gross profit from its revenue over the years.
2. Operating Profit Margin:
- The operating profit margin started very low at -93.91% in December 2020, reflecting high operating expenses relative to revenue. However, there was a significant improvement in subsequent years, reaching 58.96% in December 2023, before dropping to -17.75% by December 2024. This suggests fluctuations in the company's ability to manage its operating expenses efficiently.
3. Pretax Margin:
- The pretax margin also displays fluctuations, with a negative pretax margin in 2020 and 2021, improving to 64.71% in December 2023, then declining to -9.50% in December 2024. The positive margins in later years indicate the company's ability to generate income before taxes, but the negative margin in 2024 raises concern.
4. Net Profit Margin:
- The net profit margin showcases a similar pattern, starting at -38.46% in December 2020 and improving to 50.09% in December 2023, before dropping to -7.14% in December 2024. The positive net profit margin in 2023 indicates that the company was able to translate a significant portion of its revenue into net income, but the negative margin in 2024 suggests challenges.
In conclusion, while CNX Resources Corp has shown improvements in its profitability ratios over the years, there have been fluctuations in operating efficiency and profitability levels. It would be important for the company to focus on maintaining and enhancing its profitability ratios in the future to ensure sustainable growth and financial health.
Return on investment
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | -2.64% | 23.48% | -3.24% | -8.49% | -14.69% |
| Return on assets (ROA) | -1.06% | 19.95% | -1.67% | -6.16% | -6.02% |
| Return on total capital | -3.79% | 37.86% | -1.63% | -8.21% | -7.14% |
| Return on equity (ROE) | -2.21% | 39.46% | -4.82% | -13.48% | -10.94% |
CNX Resources Corp has shown a mixed performance in terms of profitability ratios over the past five years.
- Operating return on assets (Operating ROA) has improved significantly from -14.69% in 2020 to 23.48% in 2023, reflecting the company's ability to generate operating income from its assets. However, it declined to -2.64% in 2024.
- Return on assets (ROA) also varied over the period, with a notable improvement from -6.02% in 2020 to 19.95% in 2023, before dropping to -1.06% in 2024. This metric signifies the company's overall profitability from its total assets.
- Return on total capital depicts a similar trend, with a major increase from -7.14% in 2020 to 37.86% in 2023, suggesting efficient utilization of total capital. Nevertheless, it fell to -3.79% in 2024.
- Return on equity (ROE) has been inconsistent, with a significant upswing from -10.94% in 2020 to 39.46% in 2023, indicating better returns to shareholders' equity. However, it declined to -2.21% in 2024.
Overall, while there were notable improvements in profitability ratios up to 2023, some ratios experienced a decline in 2024. CNX Resources Corp should continue to focus on maximizing profitability and enhancing efficiency to sustain positive performance in the future.