Matador Resources Company (MTDR)

Gross profit margin

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	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
Gross profit (ttm)	US$ in thousands	3,191,685	3,113,786	2,983,792	2,776,474	2,556,851	2,460,828	2,534,183	2,842,589	2,840,861	2,805,105	2,439,605	1,853,142	1,561,883	543,641	95,149	-189,668	-78,938	665,870	925,432	1,098,907
Revenue (ttm)	US$ in thousands	3,504,981	3,370,744	3,243,255	3,034,202	2,806,785	2,678,128	2,746,762	3,052,609	3,058,025	2,916,908	2,548,331	1,961,828	1,662,981	1,320,858	1,051,893	757,386	862,126	926,566	1,002,582	1,181,366
Gross profit margin		91.06%	92.38%	92.00%	91.51%	91.10%	91.89%	92.26%	93.12%	92.90%	96.17%	95.73%	94.46%	93.92%	41.16%	9.05%	-25.04%	-9.16%	71.86%	92.30%	93.02%

December 31, 2024 calculation

Gross profit margin = Gross profit (ttm) ÷ Revenue (ttm)
= $3,191,685K ÷ $3,504,981K
= 91.06%

Matador Resources Company's gross profit margin has shown fluctuation over the past few years. The trend indicates a significant decline from a high of 93.02% in March 2020 to a low of -25.04% in March 2021. However, the company has managed to improve its gross profit margin gradually since then, with the margin reaching 92.00% as of June 30, 2024. This upward trend suggests that Matador Resources has been able to enhance its profitability and efficiency in generating revenue from its core operations. Despite some fluctuations, the company's gross profit margin has generally remained strong, hovering around the 90% mark in recent periods. Maintaining a high gross profit margin is crucial for a company's financial health, as it indicates its ability to cover operating expenses and generate profits from its primary business activities.