Matador Resources Company (MTDR)

Operating profit margin

Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Operating income US$ in thousands 1,434,700 1,209,320 1,759,270 793,076 -521,499
Revenue US$ in thousands 3,504,980 2,806,780 3,058,020 1,662,980 862,126
Operating profit margin 40.93% 43.09% 57.53% 47.69% -60.49%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $1,434,700K ÷ $3,504,980K
= 40.93%

Matador Resources Company's operating profit margin has shown notable fluctuations over the past five years. Starting at a concerning negative margin of -60.49% as of December 31, 2020, the company managed to significantly turn around its operational efficiency to achieve a positive margin of 47.69% by December 31, 2021. The following years witnessed further improvement, with operating profit margins of 57.53% by December 31, 2022, 43.09% by December 31, 2023, and 40.93% by December 31, 2024.

This trend suggests a commendable effort by Matador Resources in enhancing its operational performance and cost management. However, the slight decline in the operating profit margin between 2023 and 2024 raises the importance of ongoing strategic management to sustain and potentially improve profitability in the future.