ConocoPhillips (COP)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 13,672,000 | 16,288,000 | 28,228,000 | 12,712,000 | -3,140,000 |
| Revenue | US$ in thousands | 54,745,000 | 57,861,000 | 78,494,000 | 45,828,000 | 18,784,000 |
| Pretax margin | 24.97% | 28.15% | 35.96% | 27.74% | -16.72% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $13,672,000K ÷ $54,745,000K
= 24.97%
The pretax margin of ConocoPhillips has shown significant fluctuations over the past years. In 2020, the pretax margin was negative at -16.72%, indicating that the company incurred pre-tax losses relative to its revenue during that period. However, the company managed to improve its financial performance in the subsequent years.
In 2021, ConocoPhillips experienced a notable turnaround with a pretax margin of 27.74%, indicating that the company generated a healthy pre-tax profit compared to its revenue. This positive trend continued into 2022, with the pretax margin further increasing to 35.96%, suggesting continued profitability and efficiency in managing its operational costs.
In 2023, the pretax margin slightly decreased to 28.15%, which could be attributed to various factors such as changes in operating expenses or revenue streams. Nevertheless, the company maintained a strong financial position with a respectable margin.
By the end of 2024, the pretax margin of ConocoPhillips declined to 24.97%, showing a slight decrease in profitability compared to the previous year. It is important for the company to closely monitor its margin performance to ensure sustainable profitability and operational efficiency in the future.
Overall, the fluctuation in ConocoPhillips' pretax margin highlights the importance of effective cost management, revenue growth strategies, and overall financial performance to drive long-term success in the energy industry.
Peer comparison
Dec 31, 2024