Crescent Energy Co (CRGY)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	218,462	324,740	1,284,160	483,739	-126,072
Revenue	US$ in thousands	2,930,920	2,382,600	3,057,060	1,476,980	754,221
Operating profit margin		7.45%	13.63%	42.01%	32.75%	-16.72%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $218,462K ÷ $2,930,920K
= 7.45%

The operating profit margin of Crescent Energy Co has exhibited significant fluctuations over the past five years.

In December 2020, the operating profit margin was -16.72%, indicating that the company's operating expenses exceeded its operating income, resulting in a negative margin.

By December 2021, there was a remarkable turnaround as the operating profit margin surged to 32.75%, reflecting a substantial improvement in the company's operational efficiency and cost management.

The positive trend continued in December 2022, with the operating profit margin further increasing to 42.01%. This suggests that Crescent Energy Co was able to generate higher operating income relative to its operating expenses, leading to a more profitable operational performance.

However, there was a notable decline in the operating profit margin by December 2023, dropping to 13.63%. This could indicate a potential increase in operating expenses or a decrease in operating income, impacting the company's overall profitability.

In the most recent year, December 2024, the operating profit margin decreased further to 7.45%. This declining trend may raise concerns about Crescent Energy Co's ability to maintain profitability levels amidst changing market conditions or operational challenges.

Overall, despite the fluctuations observed in the operating profit margin over the specified period, it is essential for Crescent Energy Co to closely monitor its operational performance and implement strategic measures to sustain and enhance profitability in the future.