ConocoPhillips (COP)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 58.74% | 55.34% | 61.77% | 50.68% | 63.93% |
| Operating profit margin | 44.65% | 46.26% | 50.40% | 25.27% | 47.90% |
| Pretax margin | 29.01% | 35.96% | 27.74% | -16.96% | 25.79% |
| Net profit margin | 19.52% | 23.80% | 17.63% | -14.38% | 19.60% |
Conoco Phillips has shown varying levels of profitability over the past five years based on the provided profit margin ratios.
The gross profit margin has fluctuated between 56.72% to 63.64% during this period, with a slight increase in 2023 to 60.86%. This ratio indicates the efficiency of the company's production and pricing strategies.
The operating profit margin has also shown significant variability, ranging from -10.92% in 2020 to 32.12% in 2022. In 2023, the operating profit margin decreased to 26.26%, suggesting a decline in operational efficiency.
The pretax margin has seen a similar trend, with notable fluctuations from -16.72% in 2020 to 35.96% in 2022. The pretax margin for 2023 stands at 29.01%, showing strong profitability before taxes.
The net profit margin has demonstrated a comparable pattern, varying from -14.38% in 2020 to 23.80% in 2022. In 2023, the net profit margin is 19.45%, indicating the company's ability to generate net income from its revenues after all expenses.
Overall, Conoco Phillips has shown resilience in maintaining profitability despite fluctuations in the energy market and operational challenges. It is essential for the company to continue monitoring and improving its profitability ratios to sustain long-term financial health.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 26.13% | 38.70% | 25.48% | 7.58% | 24.91% |
| Return on assets (ROA) | 11.42% | 19.91% | 8.91% | -4.31% | 10.20% |
| Return on total capital | 34.93% | 60.70% | 30.13% | -7.61% | 29.46% |
| Return on equity (ROE) | 22.23% | 38.91% | 17.79% | -9.05% | 20.55% |
Conoco Phillips' profitability ratios have shown fluctuations over the past five years. Operating return on assets (Operating ROA) has ranged from -3.28% in 2020 to a high of 26.87% in 2022, with a current value of 15.37% as of December 31, 2023. This ratio indicates the company's ability to generate operating profits from its assets.
Return on assets (ROA) also varied significantly, with values ranging from -4.31% in 2020 to a peak of 19.91% in 2022. As of the end of 2023, ROA stands at 11.39%, reflecting the company's overall profitability in relation to its total assets.
Return on total capital has shown a similar pattern, with the ratio ranging from -3.58% in 2020 to a high of 42.22% in 2022. Currently, Conoco Phillips' return on total capital is 24.13% as of December 31, 2023. This ratio indicates how efficiently the company is utilizing its total capital to generate profits.
Return on equity (ROE) has experienced fluctuations as well, with values ranging from -9.05% in 2020 to a peak of 38.91% in 2022. As of the end of 2023, ROE stands at 22.16%, showing the company's ability to generate profits from shareholder equity.
Overall, while there have been fluctuations in Conoco Phillips' profitability ratios over the past five years, the company has generally demonstrated the ability to generate profits from its assets, capital, and equity, with the latest figures showing healthy returns.