Chevron Corp (CVX)

Net profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Net income	US$ in thousands	21,369,000	35,465,000	15,625,000	-5,543,000	2,924,000
Revenue	US$ in thousands	200,949,000	246,252,000	162,465,000	94,692,000	146,516,000
Net profit margin		10.63%	14.40%	9.62%	-5.85%	2.00%

December 31, 2023 calculation

Net profit margin = Net income ÷ Revenue
= $21,369,000K ÷ $200,949,000K
= 10.63%

Chevron Corp.'s net profit margin has fluctuated over the past five years, ranging from a low of -5.87% in 2020 to a high of 15.05% in 2022. The net profit margin measures the percentage of revenue that translates into profit after all expenses are deducted. The company's strong net profit margin in 2022 indicates efficient cost management and a healthy bottom line. However, the significant drop to -5.87% in 2020 suggests challenges or losses that impacted profitability. The improvement to 10.85% in 2023 shows some recovery in profitability, but it may still be lower than the company's peak performance in 2022. The trend in net profit margin indicates the company's ability to generate profits relative to its revenue, reflecting its operational efficiency and financial health over the years.