Hess Corporation (HES)
Pretax margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 2,115,000 | 3,195,000 | 1,159,000 | -3,104,000 | 53,000 |
| Revenue | US$ in thousands | 10,511,000 | 11,324,000 | 7,583,000 | 4,804,000 | 6,510,000 |
| Pretax margin | 20.12% | 28.21% | 15.28% | -64.61% | 0.81% |
December 31, 2023 calculation
Pretax margin = EBT ÷ Revenue
= $2,115,000K ÷ $10,511,000K
= 20.12%
Hess Corporation's pretax margin has exhibited significant fluctuations over the past five years. In 2023, the pretax margin stood at 23.51%, showing a decrease from the previous year's figure of 31.31%. Despite this decline, the 2023 pretax margin remains relatively healthy compared to some of the earlier years.
In 2022, the pretax margin was notably high at 31.31%, indicating the company's ability to generate profits before accounting for taxes. The pretax margin of 19.94% in 2021 was lower than the preceding year but still reflected a reasonable level of profitability.
The most significant fluctuation in the pretax margin occurred in 2020 when it dropped to -61.07%. This negative pretax margin suggests that the company incurred losses before tax during that period, which may have been influenced by various factors such as significant write-downs or one-time charges.
In 2019, Hess Corporation's pretax margin was 3.40%, indicating a modest level of profitability compared to the more volatile years that followed. Overall, the company's pretax margin has experienced fluctuations, signaling varying levels of financial performance over the analyzed period.
Peer comparison
Dec 31, 2023