Murphy Oil Corporation (MUR)
Pretax margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) | US$ in thousands | 567,569 | 921,069 | 1,450,260 | 42,891 | -1,549,040 |
| Revenue | US$ in thousands | 3,028,470 | 3,448,850 | 4,220,140 | 2,801,220 | 1,751,710 |
| Pretax margin | 18.74% | 26.71% | 34.37% | 1.53% | -88.43% |
December 31, 2024 calculation
Pretax margin = EBT ÷ Revenue
= $567,569K ÷ $3,028,470K
= 18.74%
Based on the data provided, Murphy Oil Corporation's pretax margin has shown a significant improvement over the years. The trend indicates a recovery from a negative margin of -88.43% in December 2020 to positive margins in subsequent years, reaching 1.53%, 34.37%, 26.71%, and 18.74% in December 2021, 2022, 2023, and 2024, respectively.
The company's ability to generate pre-tax profits as a percentage of its total revenue has demonstrated a positive turnaround, reflecting improved operational efficiency and cost management. The substantial increase in pretax margins from negative levels to double-digit positive figures signifies a commendable financial performance, with the company effectively controlling costs and maximizing profitability.
Overall, this upward trend in pretax margin indicates a positive trajectory for Murphy Oil Corporation, showcasing its capacity to generate profits before accounting for tax expenses and highlighting its improving financial health and management effectiveness.
Peer comparison
Dec 31, 2024