Expand Energy Corporation (EXE)

Gross profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Gross profit (ttm)	US$ in thousands	944,000	1,529,000	2,285,000	2,580,000	4,388,000	4,511,000	5,723,000	7,505,000	6,356,000	6,287,000	4,649,000	3,111,000	2,436,000	1,405,000	1,099,000	537,000	-347,000	-496,000	-660,000	-339,000
Revenue (ttm)	US$ in thousands	4,232,000	4,042,000	4,908,000	5,813,000	7,775,000	9,102,000	11,783,000	14,377,000	14,123,000	13,772,000	11,213,000	8,631,000	7,317,000	5,739,000	5,240,000	4,503,000	4,670,000	5,515,000	6,300,000	7,717,000
Gross profit margin		22.31%	37.83%	46.56%	44.38%	56.44%	49.56%	48.57%	52.20%	45.00%	45.65%	41.46%	36.04%	33.29%	24.48%	20.97%	11.93%	-7.43%	-8.99%	-10.48%	-4.39%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $944,000K ÷ $4,232,000K
= 22.31%

Expand Energy Corporation's gross profit margin has shown significant fluctuations over the past few years. The company experienced negative gross profit margins in the earlier quarters of 2020 and 2021, indicating that the cost of goods sold exceeded the revenue generated from sales during those periods.

However, the gross profit margin started to improve in March 2021, entering positive territory and steadily increasing thereafter. This positive trend continued until December 2023, with the gross profit margin reaching its peak at 56.44% in that quarter. This improvement suggests that Expand Energy Corporation was able to effectively control its costs and increase its efficiency in generating profits from its sales.

However, in the subsequent quarters of 2024, the gross profit margin declined notably, dropping to 22.31% by December 31, 2024. This decrease may indicate challenges in cost management or pricing strategies during this period.

Overall, while Expand Energy Corporation demonstrated a positive trend in its gross profit margin from 2021 to 2023, the recent decline in the margin in late 2024 suggests a need for the company to reassess its cost structure and revenue generation strategies to maintain sustainable profitability in the future.