NOV Inc. (NOV)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 651,000 | 264,000 | -134,000 | -2,425,000 | -6,279,000 |
| Revenue | US$ in thousands | 8,583,000 | 7,237,000 | 5,524,000 | 6,090,000 | 8,479,000 |
| Operating profit margin | 7.58% | 3.65% | -2.43% | -39.82% | -74.05% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $651,000K ÷ $8,583,000K
= 7.58%
The operating profit margin of NOV Inc has shown improvement over the last five years, indicating the company's efficiency in generating profits from its core operations. In 2023, the operating profit margin reached 7.58%, a significant increase from 3.65% in 2022. This improvement suggests that NOV Inc has been able to effectively control its operating costs and expenses relative to its revenue.
The negative operating profit margins in 2021, 2020, and 2019 indicate that the company experienced operating losses during those years, with the margin gradually improving over time. It is essential for NOV Inc to sustain this positive trend and continue enhancing its operational efficiency to ensure long-term profitability and sustainability.
Peer comparison
Dec 31, 2023