Magnolia Oil & Gas Corp (MGY)

Gross profit margin

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Gross profit	US$ in thousands	1,145,840	1,618,820	988,797	445,365	846,255
Revenue	US$ in thousands	1,226,980	1,694,490	1,078,350	541,303	942,156
Gross profit margin		93.39%	95.53%	91.70%	82.28%	89.82%

December 31, 2023 calculation

Gross profit margin = Gross profit ÷ Revenue
= $1,145,840K ÷ $1,226,980K
= 93.39%

Based on the data provided, the gross profit margin of Magnolia Oil & Gas Corp has exhibited fluctuating trends over the past five years. The company's gross profit margin was highest in 2019 at 89.82%, followed by a significant increase in 2022 to 95.53%. However, in 2020, there was a notable decrease to 82.28% before bouncing back to 91.70% in 2021 and then further increasing to 93.39% in 2023.

The trend indicates some variability in the company's ability to generate gross profit relative to its revenue during the period under consideration. The consistent movement of the gross profit margin suggests that Magnolia Oil & Gas Corp has experienced fluctuations in its cost of goods sold or pricing strategy over the years.

Overall, the company's gross profit margin has remained relatively high, with most values above 90%, indicating that Magnolia Oil & Gas Corp has been able to effectively control production costs and maintain a healthy margin on its sales. It is essential for stakeholders to continue monitoring this metric to assess the company's operational efficiency and profitability.