Northern Oil & Gas Inc (NOG)
Operating profit margin
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 981,909 | 850,393 | 458,891 | 471,218 | 638,936 | 805,353 | 1,043,985 | 1,079,298 | 1,019,013 | 1,041,764 | 787,658 | 442,634 | 77,959 | -241,084 | -486,701 | -1,296,489 | -1,217,824 | -1,151,594 | -882,382 | 94,565 |
| Revenue (ttm) | US$ in thousands | 2,129,538 | 1,925,152 | 1,723,637 | 1,578,228 | 1,471,907 | 1,606,963 | 1,827,040 | 1,957,898 | 1,985,798 | 1,872,524 | 1,598,144 | 1,274,218 | 975,092 | 742,234 | 556,247 | 351,197 | 324,069 | 385,263 | 469,572 | 598,754 |
| Operating profit margin | 46.11% | 44.17% | 26.62% | 29.86% | 43.41% | 50.12% | 57.14% | 55.13% | 51.32% | 55.63% | 49.29% | 34.74% | 8.00% | -32.48% | -87.50% | -369.16% | -375.79% | -298.91% | -187.91% | 15.79% |
December 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $981,909K ÷ $2,129,538K
= 46.11%
Northern Oil & Gas Inc's operating profit margin has shown significant fluctuations over the period from March 31, 2020, to December 31, 2024. The company experienced negative operating profit margins in several quarters, indicating operational inefficiencies and potentially unsustainable performance during those periods.
The operating profit margin was particularly low in the second half of 2020 and the first half of 2021, with values as low as -375.79% at the end of December 31, 2020. This suggests that the company's operating expenses were exceeding its revenue during these periods.
However, there was a notable turnaround in the company's performance starting from March 31, 2022, with operating profit margins steadily increasing to reach a peak of 57.14% by June 30, 2023. This improvement indicates that the company implemented effective cost control measures or experienced revenue growth, leading to higher profitability.
The positive trend continued in the subsequent quarters, with the operating profit margin remaining relatively stable above 40% from September 30, 2023, to December 31, 2024. This indicates that Northern Oil & Gas Inc was able to maintain a healthy level of profitability and operational efficiency during this period.
Overall, the analysis of the operating profit margin suggests that Northern Oil & Gas Inc went through a challenging period of negative margins but successfully turned around its performance to achieve strong profitability by the end of the observation period. This improvement reflects positive operational management and financial performance by the company.
Peer comparison
Dec 31, 2024