Ovintiv Inc (OVV)
Net profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 2,085,000 | 3,637,000 | 1,416,000 | -6,097,000 | 234,000 |
| Revenue | US$ in thousands | 10,883,000 | 12,464,000 | 8,658,000 | 6,087,000 | 6,726,000 |
| Net profit margin | 19.16% | 29.18% | 16.35% | -100.16% | 3.48% |
December 31, 2023 calculation
Net profit margin = Net income ÷ Revenue
= $2,085,000K ÷ $10,883,000K
= 19.16%
The net profit margin of Ovintiv Inc has shown fluctuation over the past five years. In 2023, the net profit margin decreased to 19.28% from 29.34% in 2022, indicating a decline in profitability. However, in 2021, the net profit margin improved to 16.49% from a significant loss of -101.35% in 2020, demonstrating a substantial recovery in profitability. In 2019, the net profit margin was relatively stable at 3.52%.
The negative net profit margin in 2020 suggests that the company's expenses exceeded its revenue for that year. This could be attributed to various factors such as significant write-downs, restructuring costs, or impairment charges that impacted the company's bottom line. Overall, while the net profit margin has shown variability, it is essential to assess the company's operational efficiency and cost management strategies to ensure sustainable profitability in the future.
Peer comparison
Dec 31, 2023