Hess Corporation (HES)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 9,906,000 | 5,028,000 | 4,127,000 | 2,089,000 | -343,000 |
| Revenue | US$ in thousands | 13,018,000 | 10,511,000 | 11,324,000 | 7,473,000 | 4,667,000 |
| Operating profit margin | 76.09% | 47.84% | 36.44% | 27.95% | -7.35% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $9,906,000K ÷ $13,018,000K
= 76.09%
The operating profit margin of Hess Corporation has shown a notable improvement over the years, progressing from a negative 7.35% on December 31, 2020, to 76.09% on December 31, 2024. This upward trend indicates that the company has been able to effectively control its operating expenses relative to its revenue, resulting in higher profitability. The substantial increase in the operating profit margin signifies that Hess Corporation has been successful in enhancing operational efficiency and optimizing its cost structure, thereby generating a higher proportion of operating income from its revenue. This positive performance trajectory reflects positively on the company's management and operational strategies, demonstrating improved financial health and potential for sustainable profitability.
Peer comparison
Dec 31, 2024