Ovintiv Inc (OVV)
Profitability ratios
Return on sales
| 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 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 88.28% | 88.44% | 89.26% | 90.96% | 90.00% | 90.52% | 89.66% | 86.95% | 87.20% | 77.23% | 54.21% | -18.08% | -5.85% | 6.50% |
| 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% |
| Pretax margin | 23.06% | 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% |
| Net profit margin | 19.16% | 23.46% | 28.27% | 33.45% | 29.18% | 29.27% | 22.42% | 9.86% | 16.35% | -8.50% | -32.51% | -117.55% | -100.16% | -89.63% |
Ovintiv Inc has consistently maintained a strong gross profit margin of 100% across all quarters, indicating that the company effectively manages its cost of goods sold relative to its revenue.
In terms of operating profitability, the company's operating profit margin has ranged from 24.94% to 35.93% over the past eight quarters. This suggests that Ovintiv Inc has been able to efficiently control its operating expenses while generating operating income.
The pretax margin shows the company's ability to generate profit before considering taxes, with figures ranging from 23.12% to 34.04%. This metric indicates Ovintiv Inc's ability to manage its operating expenses and interest expenses effectively.
The net profit margin, which reflects the company's overall profitability after all expenses have been deducted, has varied between 19.28% and 33.63% over the same period. This indicates that Ovintiv Inc has been successful in generating net income relative to its total revenue, highlighting its overall profitability.
Overall, Ovintiv Inc has demonstrated consistent and solid profitability ratios across the quarters analyzed, reflecting strong cost management and efficient operations within the company.
Return on investment
| 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 return on assets (Operating ROA) | 14.33% | 14.27% | 19.19% | 31.28% | 25.59% | 28.76% | 18.50% | 7.54% | 10.81% | -3.79% | -14.69% | -41.01% | -37.30% | -31.89% |
| Return on assets (ROA) | 10.43% | 12.88% | 17.13% | 28.86% | 24.16% | 25.64% | 16.27% | 5.81% | 10.07% | -4.27% | -14.75% | -42.72% | -42.14% | -36.21% |
| Return on total capital | 18.11% | 19.09% | 25.26% | 42.70% | 35.62% | 42.73% | 29.51% | 12.55% | 16.01% | -5.01% | -21.75% | -61.44% | -52.52% | -41.59% |
| Return on equity (ROE) | 20.11% | 26.84% | 35.90% | 55.30% | 47.30% | 56.27% | 41.71% | 18.49% | 27.91% | -15.33% | -51.63% | -150.19% | -158.90% | -126.13% |
The profitability ratios of Ovintiv Inc show a generally positive trend over the quarters, indicating improved performance over time.
1. Operating return on assets (Operating ROA) has been relatively stable, ranging between 13.92% and 30.84%, with a peak in Q1 2023. This ratio measures the company's ability to generate operating income from its assets.
2. Return on assets (ROA) has shown fluctuations, but generally increasing from 5.81% in Q1 2022 to 28.86% in Q1 2023, suggesting better utilization of assets to generate profits.
3. Return on total capital has consistently improved from 11.01% in Q1 2022 to 39.95% in Q1 2023. This ratio reflects the overall effectiveness of the company in generating returns from both debt and equity capital.
4. Return on equity (ROE) has shown remarkable growth, increasing from 18.49% in Q1 2022 to 55.30% in Q1 2023, indicating a significant enhancement in shareholder value and profitability.
Overall, the trend in profitability ratios of Ovintiv Inc reflects efficient utilization of assets and capital, resulting in enhanced profitability and value creation for shareholders.