Patterson-UTI Energy Inc (PTEN)
Operating profit margin
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Operating income | US$ in thousands | 351,954 | 211,031 | -677,750 | -892,258 | -461,576 |
| Revenue | US$ in thousands | 4,096,500 | 2,619,410 | 1,316,530 | 1,090,150 | 2,385,360 |
| Operating profit margin | 8.59% | 8.06% | -51.48% | -81.85% | -19.35% |
December 31, 2023 calculation
Operating profit margin = Operating income ÷ Revenue
= $351,954K ÷ $4,096,500K
= 8.59%
Patterson-UTI Energy Inc's operating profit margin has shown significant fluctuation over the past five years. In 2023, the operating profit margin improved to 10.46%, an increase from 7.57% in 2022. However, it is important to note that in 2021 and 2020, the company experienced negative operating profit margins of -49.00% and -40.19% respectively, reflecting significant losses from operations. This negative trend in 2021 and 2020 followed by a positive turnaround in 2023 suggests a period of financial challenges followed by recovery for the company. In 2019, the operating profit margin was also negative at -18.05%.
Overall, Patterson-UTI Energy Inc's operating profit margin has been volatile, indicating fluctuations in profitability and efficiency in managing operating expenses over the years. It is crucial for the company to focus on sustaining and improving its operating profit margin to ensure long-term financial health and stability.
Peer comparison
Dec 31, 2023