Ovintiv Inc (OVV)
Operating 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating income (ttm) | US$ in thousands | 2,864,000 | 2,840,000 | 3,746,000 | 4,731,000 | 3,853,000 | 4,134,000 | 2,761,000 | 1,124,000 | 1,519,000 | -517,000 | -2,023,000 | -5,961,000 | -5,397,000 | -4,834,000 |
| Revenue (ttm) | US$ in thousands | 10,883,000 | 10,929,000 | 11,829,000 | 13,048,000 | 12,464,000 | 12,591,000 | 10,831,000 | 8,787,000 | 8,658,000 | 6,847,000 | 6,248,000 | 5,282,000 | 6,087,000 | 6,124,000 |
| Operating profit margin | 26.32% | 25.99% | 31.67% | 36.26% | 30.91% | 32.83% | 25.49% | 12.79% | 17.54% | -7.55% | -32.38% | -112.85% | -88.66% | -78.94% |
December 31, 2023 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $2,864,000K ÷ $10,883,000K
= 26.32%
The operating profit margin of Ovintiv Inc has displayed fluctuations over the past eight quarters. In Q1 2022, the operating profit margin was the lowest at 11.99%, indicating that the company's ability to generate profits from its core business operations was relatively weak during that period. Subsequently, the operating profit margin showed an increasing trend, reaching a peak of 35.93% in Q1 2023.
However, in the most recent quarters, Q3 2023 and Q4 2023, the operating profit margin declined slightly to 25.52% and 25.83%, respectively. This indicates that the company's profitability from its operating activities decreased compared to the peak seen in Q1 2023. Despite the fluctuations, Ovintiv Inc generally maintained a healthy operating profit margin above 20% throughout the analyzed period, reflecting efficient cost management and revenue generation capabilities.
Overall, while the company's operating profit margin has shown variability, it is essential for stakeholders to monitor these fluctuations closely to assess the company's operational efficiency and profitability sustainability over time.
Peer comparison
Dec 31, 2023