Magnolia Oil & Gas Corp (MGY)
Operating profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 511,988 | 534,485 | 1,073,790 | 602,594 | -1,925,670 |
| Revenue | US$ in thousands | 1,315,890 | 1,226,980 | 1,694,490 | 1,078,350 | 541,303 |
| Operating profit margin | 38.91% | 43.56% | 63.37% | 55.88% | -355.75% |
December 31, 2024 calculation
Operating profit margin = Operating income ÷ Revenue
= $511,988K ÷ $1,315,890K
= 38.91%
The operating profit margin of Magnolia Oil & Gas Corp has exhibited significant fluctuations over the past five years. In December 2020, the company's operating profit margin was at a concerning -355.75%, indicating that its operating expenses exceeded its revenue significantly, resulting in a substantial loss in operating income. However, there was a substantial turnaround in the following years, with the operating profit margin improving to 55.88% by December 2021, 63.37% by December 2022, and 43.56% by December 2023.
Despite the positive trend in the earlier years, there was a slight decrease in the operating profit margin to 38.91% by the end of December 2024. This decline could be attributed to various factors such as increasing operating expenses, changes in revenue streams, or management decisions impacting profitability.
Overall, while Magnolia Oil & Gas Corp has shown improvement in its operating profit margin in recent years, it is essential for the company to closely monitor its expenses and revenue generation to sustain and enhance its profitability in the future.
Peer comparison
Dec 31, 2024