Ovintiv Inc (OVV)
Pretax 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings before tax but after interest (EBT) (ttm) | US$ in thousands | 1,351,000 | 2,519,000 | 2,354,000 | 2,325,000 | 2,510,000 | 2,553,000 | 3,434,000 | 4,419,000 | 3,560,000 | 3,832,000 | 2,487,000 | 860,000 | 1,239,000 | -785,000 | -2,274,000 | -6,158,000 | -5,730,000 | -5,156,000 | -3,404,000 | 1,182,000 |
| Revenue (ttm) | US$ in thousands | 9,232,000 | 9,866,000 | 10,191,000 | 10,494,000 | 10,539,000 | 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 | 6,805,000 | 8,134,000 |
| Pretax margin | 14.63% | 25.53% | 23.10% | 22.16% | 23.82% | 23.36% | 29.03% | 33.87% | 28.56% | 30.43% | 22.96% | 9.79% | 14.31% | -11.46% | -36.40% | -116.58% | -94.14% | -84.19% | -50.02% | 14.53% |
December 31, 2024 calculation
Pretax margin = EBT (ttm) ÷ Revenue (ttm)
= $1,351,000K ÷ $9,232,000K
= 14.63%
Ovintiv Inc's pretax margin, which reflects the efficiency of the company in generating profits before taxes, has undergone significant fluctuations over the periods under consideration. The trend shows a recovery from negative margins to positive margins starting from the second quarter of 2022.
In the most recent quarter, December 31, 2024, Ovintiv Inc recorded a pretax margin of 14.63%, indicating that the company generated a profit before taxes equal to 14.63% of its total revenue in that period. This represents a moderate level of profitability for the company.
It is noteworthy that the pretax margins were notably negative in the earlier periods, with the lowest point being in March 31, 2021, at -116.58%. This implies that the company was incurring more expenses than generating profits during that period.
The upward trend in pretax margin since the second quarter of 2022 indicates an improvement in the company's operational efficiency and financial performance. However, it is important for investors and stakeholders to continue monitoring Ovintiv Inc's financials to ensure the sustainability of this positive trend in profitability.
Peer comparison
Dec 31, 2024