Nabors Industries Ltd (NBR)
Profitability ratios
Return on sales
| 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 margin | 27.98% | 26.74% | 27.74% | 25.85% | 22.44% | 38.54% | 37.69% | 38.31% | 39.25% | 38.80% | 39.31% | 39.95% | 25.85% | 34.78% | 30.63% | 26.21% | 34.39% | 35.90% | 39.92% | 44.05% |
| Operating profit margin | 15.35% | 15.18% | 14.08% | 11.66% | 7.96% | 3.10% | 0.53% | -1.76% | -3.27% | -8.12% | -11.57% | -11.50% | -8.66% | -3.88% | 0.09% | 1.90% | 3.11% | 3.06% | 3.21% | 2.79% |
| Pretax margin | 2.39% | 0.78% | 2.08% | -1.70% | -11.82% | -11.78% | -17.04% | -21.73% | -20.80% | -27.17% | -31.30% | -29.10% | -37.80% | -40.66% | -33.02% | -31.98% | -21.32% | -18.28% | -18.08% | -17.26% |
| Net profit margin | -0.42% | -2.27% | -1.02% | -4.34% | -14.34% | -13.63% | -18.68% | -24.05% | -23.05% | -31.40% | -35.41% | -31.96% | -40.69% | -42.65% | -35.84% | -34.81% | -24.51% | -21.24% | -20.52% | -20.05% |
Nabors Industries Ltd's profitability ratios show fluctuations over the quarters. The gross profit margin has been improving steadily from 35.59% in Q1 2022 to 40.44% in Q4 2023, indicating the company's ability to effectively manage production costs.
The operating profit margin has also shown a positive trend, increasing from -8.27% in Q1 2022 to 8.98% in Q4 2023. This suggests better control over operating expenses and stronger operational efficiency.
However, the pretax margin experienced some volatility, ranging from a negative figure of -24.96% in Q1 2022 to a positive figure of 4.30% in Q4 2023. This may indicate fluctuations in the company's pre-tax earnings relative to its sales revenue.
The net profit margin, which takes into account all expenses, including interest and taxes, shows a mixed trend with negative values observed in most quarters. The company has seen improvement from -28.57% in Q1 2022 to -1.67% in Q4 2023, but overall profitability remains a concern due to low net profit margins.
In conclusion, while Nabors Industries Ltd has shown improvements in gross and operating profit margins, there is still room for enhancing profitability as indicated by the negative net profit margins in recent quarters. Further analysis of cost management and revenue generation strategies may be needed to sustain and improve profitability in the future.
Return on investment
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 8.22% | 9.07% | 8.94% | 6.67% | 4.11% | 1.88% | 0.30% | -0.93% | -1.46% | -2.82% | -3.88% | -3.77% | -3.12% | -1.50% | 0.04% | 0.85% | 1.32% | 1.23% | 1.29% | 1.10% |
| Return on assets (ROA) | -0.22% | -1.36% | -0.65% | -2.48% | -7.41% | -8.28% | -10.49% | -12.70% | -10.30% | -10.90% | -11.88% | -10.48% | -14.64% | -16.50% | -15.40% | -15.49% | -10.40% | -8.57% | -8.24% | -7.90% |
| Return on total capital | 8.90% | 7.07% | 8.20% | 4.40% | -3.81% | -5.39% | -9.26% | -12.10% | -8.88% | -8.27% | -9.45% | -7.85% | -13.16% | -15.57% | -13.70% | -13.97% | -7.66% | -5.68% | -5.67% | -4.96% |
| Return on equity (ROE) | -3.61% | -18.42% | -7.21% | -28.94% | -94.93% | -89.90% | -111.12% | -113.44% | -96.38% | -79.52% | -73.12% | -54.34% | -69.97% | -76.46% | -65.21% | -62.79% | -35.45% | -27.70% | -26.00% | -23.76% |
Nabors Industries Ltd's profitability ratios showed mixed performance over the past eight quarters. The operating return on assets (Operating ROA) improved steadily from 0.94% in Q4 2022 to 5.11% in Q4 2023, indicating an increase in the company's ability to generate profits from its assets through operations. However, Return on assets (ROA) remained negative throughout the period, with fluctuations but generally declining from -7.62% in Q4 2022 to -0.95% in Q4 2023, suggesting ongoing challenges in generating profits relative to total assets.
Return on total capital exhibited an increasing trend, with positive values ranging from 1.52% in Q1 2023 to 9.20% in Q3 2023, indicating the company's ability to generate returns from its total capital base. On the other hand, Return on equity (ROE) stayed negative across all quarters, with a gradual improvement from -111.70% in Q1 2022 to -15.38% in Q4 2023, reflecting the company's difficulty in generating returns for its equity shareholders.
Overall, while the operating profitability of Nabors Industries Ltd improved, the company still faces challenges in achieving positive overall profitability and returns for its investors, as indicated by the negative ROA and ROE ratios. Continued monitoring and strategic initiatives may be required to enhance overall profitability and shareholder value.