Crescent Energy Co (CRGY)

Gross profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Gross profit	US$ in thousands	2,402,100	1,304,260	2,618,310	1,233,480	552,041
Revenue	US$ in thousands	2,930,920	2,382,600	3,057,060	1,476,980	754,221
Gross profit margin		81.96%	54.74%	85.65%	83.51%	73.19%

December 31, 2024 calculation

Gross profit margin = Gross profit ÷ Revenue
= $2,402,100K ÷ $2,930,920K
= 81.96%

Based on the provided data, Crescent Energy Co's gross profit margin has shown fluctuations over the past five years.

The gross profit margin increased steadily from 73.19% on December 31, 2020, to 85.65% on December 31, 2022. This upward trend indicates an improvement in the company's ability to generate profits from its core business activities while effectively managing its production and operational costs.

However, there was a significant decrease in the gross profit margin to 54.74% by December 31, 2023. This decline may suggest challenges faced by Crescent Energy Co during that particular period, such as increased costs, pricing pressures, or changes in sales mix which impacted its profitability.

The gross profit margin recovered to 81.96% by December 31, 2024, indicating a rebound in the company's profitability. This improvement could be attributed to strategic initiatives implemented to address the challenges faced in the previous year or favorable market conditions that boosted margins.

Overall, while Crescent Energy Co's gross profit margin has demonstrated variability, the company has managed to maintain relatively high levels of profitability over the five-year period, with an average margin of approximately 75.41%. Investors and stakeholders may want to further investigate the factors influencing these fluctuations to assess the company's operational efficiency and sustainability of its profitability in the future.