Marathon Oil Corporation (MRO)

Gross profit margin

		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	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Gross profit (ttm)	US$ in thousands	6,372,000	6,411,000	6,836,000	7,629,000	7,726,000	7,660,000	6,859,000	5,649,000	4,939,000	4,190,000	3,514,000	2,677,000	2,644,000	3,000,000	3,571,000	4,710,000	4,626,000	4,127,000	4,412,000	4,155,000
Revenue (ttm)	US$ in thousands	6,697,000	6,739,000	7,173,000	7,963,000	8,036,000	8,103,000	7,309,000	6,149,000	5,467,000	4,497,000	3,798,000	2,927,000	3,086,000	3,471,000	4,062,000	5,223,000	5,190,000	5,740,000	6,062,000	6,046,000
Gross profit margin		95.15%	95.13%	95.30%	95.81%	96.14%	94.53%	93.84%	91.87%	90.34%	93.17%	92.52%	91.46%	85.68%	86.43%	87.91%	90.18%	89.13%	71.90%	72.78%	68.72%

December 31, 2023 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $6,372,000K ÷ $6,697,000K
= 95.15%

Marathon Oil Corporation's gross profit margin has shown a gradual decline over the past several quarters. Specifically, the gross profit margin has decreased from 90.85% in Q4 2022 to 87.08% in Q4 2023. This downward trend indicates a potential decrease in the company's profitability from its core operations. Although the gross profit margin remains relatively high, the consistent decline should prompt further analysis and monitoring to understand the underlying factors contributing to this trend. It is essential for stakeholders to assess the company's cost structure, pricing strategy, and overall operational efficiency to address any potential challenges and optimize profitability in the future.