Expand Energy Corporation (EXE)
Profitability ratios
Return on sales
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Gross profit margin | 98.30% | 98.60% | 97.84% | -68.66% | 96.33% |
| Operating profit margin | 36.03% | 32.19% | 16.90% | -166.09% | -0.36% |
| Pretax margin | 35.74% | 31.09% | 16.15% | -186.13% | -7.49% |
| Net profit margin | 27.74% | 42.03% | 17.03% | -185.76% | -3.61% |
Expand Energy Corporation's profitability ratios have shown significant fluctuations over the past five years. The gross profit margin has been consistently high, ranging from 96.33% to 98.60%, indicating efficient cost management and strong pricing power.
However, the operating profit margin has varied more significantly, with a mix of positive and negative values. Despite the fluctuations, the company has managed to achieve positive operating profit margins, suggesting effective control over operating expenses and good operational efficiency.
The pretax margin has also shown variability, with values ranging from -186.13% to 35.74%. The negative values in some years indicate that the company's expenses and losses exceeded its pre-tax earnings. This may raise concerns about the company's ability to generate sustainable profits in those specific years.
The net profit margin, which represents the bottom-line profitability after all expenses have been deducted, has also exhibited fluctuation, with values ranging from -185.76% to 42.03%. The negative values in certain years indicate that the company incurred losses on a net income basis, potentially due to one-time charges or exceptional circumstances.
Overall, while Expand Energy Corporation has demonstrated strong gross profit margins and positive operating profit margins in most years, the fluctuations in the pretax and net profit margins highlight the company's vulnerability to external factors or financial challenges that have impacted its bottom-line profitability.
Return on investment
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | |
|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 21.86% | 24.44% | 8.52% | -132.18% | -0.19% |
| Return on assets (ROA) | 16.83% | 31.91% | 8.58% | -147.84% | -1.90% |
| Return on total capital | 25.25% | 31.19% | 12.19% | — | 0.09% |
| Return on equity (ROE) | 22.55% | 54.10% | 16.66% | — | -7.06% |
Expand Energy Corporation's profitability ratios show a mixed performance over the five-year period.
1. Operating return on assets (Operating ROA) has fluctuated, starting at 21.86% in 2023, decreasing to 8.52% in 2021, and then increasing to 24.44% in 2022. The negative values in 2020 and 2019 indicate operational losses during those years.
2. Return on assets (ROA) experienced a similar trend of variability, with the highest value of 31.91% in 2022 and the lowest being -147.84% in 2020. This ratio measures overall profitability generated by the company's assets.
3. Return on total capital has shown strong performance, increasing from 12.19% in 2021 to 31.19% in 2022 and further to 25.25% in 2023. This ratio indicates how efficiently the company is generating profits from its total invested capital.
4. Return on equity (ROE) has also exhibited significant fluctuations, reaching a peak of 54.10% in 2022, followed by a drop to 22.55% in 2023. The negative ROE in 2019 and absence of data for 2020 and 2021 indicate challenges in generating shareholder returns and potential financial difficulties during those years.
Overall, Expand Energy Corporation's profitability ratios reflect varying levels of operational efficiency and profitability over the analyzed period, suggesting the need for further examination of the company's financial performance and strategies.