Northern Oil & Gas Inc (NOG)

Net profit margin

		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
Net income (ttm)	US$ in thousands	922,970	679,185	1,236,539	1,319,988	773,237	802,897	231,986	-109,841	6,362	-310,489	-556,047	-1,364,684	-906,041	-871,855	-544,470	399,129	-76,319	249,910	174,508	33,562
Revenue (ttm)	US$ in thousands	2,166,258	1,743,120	2,220,787	2,185,679	2,059,923	2,008,734	1,348,601	931,960	496,899	227,784	143,599	139,461	624,849	633,787	820,348	986,121	612,025	1,023,318	891,704	772,110
Net profit margin		42.61%	38.96%	55.68%	60.39%	37.54%	39.97%	17.20%	-11.79%	1.28%	-136.31%	-387.22%	-978.54%	-145.00%	-137.56%	-66.37%	40.47%	-12.47%	24.42%	19.57%	4.35%

December 31, 2023 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $922,970K ÷ $2,166,258K
= 42.61%

The net profit margin of Northern Oil and Gas Inc. has shown fluctuations over the quarters analyzed. In Q4 2023, the net profit margin stood at 42.61%, indicating that the company retained approximately 42.61% of its revenues as profit after accounting for all expenses. The net profit margin decreased slightly in Q3 2023 to 38.29%, suggesting a slightly lower level of profitability compared to the previous quarter.

However, there was a significant increase in net profit margin in Q2 2023, reaching 55.03%. This spike may indicate improved cost management or higher revenue generation during that period. The profitability further increased in Q1 2023 to 59.13%, showing a robust performance during that quarter.

Looking back at Q4 2022, the net profit margin was 46.33%, followed by 50.39% in Q3 2022, indicating consistent profitability in those quarters. However, in Q2 2022, the net profit margin dropped to 22.54%, which might be a cause for concern.

The most concerning observation is in Q1 2022 when the net profit margin was negative (-31.35%), signaling that the company incurred more expenses than it generated in revenues during that period. This negative figure should prompt further investigation into the company's financial health and operational efficiency during that quarter.

Overall, while the company has demonstrated variable performance in terms of net profit margin over the quarters analyzed, it is crucial for investors and stakeholders to closely monitor these fluctuations to assess Northern Oil and Gas Inc.'s financial stability and operational effectiveness.