Nabors Industries Ltd (NBR)
Gross profit margin
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Gross profit | US$ in thousands | 679,965 | 815,183 | 476,118 | 971,710 | 924,992 |
| Revenue | US$ in thousands | 2,877,660 | 2,849,710 | 2,370,550 | 2,472,160 | 2,597,540 |
| Gross profit margin | 23.63% | 28.61% | 20.08% | 39.31% | 35.61% |
December 31, 2024 calculation
Gross profit margin = Gross profit ÷ Revenue
= $679,965K ÷ $2,877,660K
= 23.63%
Based on the provided data, the gross profit margin of Nabors Industries Ltd has shown fluctuations over the past five years. In December 2020, the gross profit margin was 35.61%, which increased to 39.31% by December 2021, indicating improved profitability. However, there was a significant decrease in the gross profit margin to 20.08% by December 2022, suggesting potential cost challenges or pricing pressures.
The company experienced a slight recovery in gross profit margin to 28.61% by December 2023 but then dropped again to 23.63% by December 2024. This downward trend in the gross profit margin may be a concern as it indicates a decrease in the profitability of the company relative to its revenue.
Further analysis of the reasons behind these fluctuations, such as changes in costs, pricing strategies, or operational efficiency, would be necessary to understand the impact on the overall financial performance of Nabors Industries Ltd. Investors and stakeholders should closely monitor these trends and assess the company's ability to maintain or improve its gross profit margin in the future.
Peer comparison
Dec 31, 2024