Targa Resources Inc (TRGP)

Net profit 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
Net income (ttm)	US$ in thousands	1,312,100	1,260,700	1,093,300	1,124,100	1,345,900	1,364,300	1,423,600	1,690,700	1,362,300	730,700	633,600	93,400	71,200	418,400	305,500	330,300	-1,553,900	-1,700,300	-1,816,900	-1,908,100
Revenue (ttm)	US$ in thousands	16,473,200	16,299,700	16,344,500	16,129,600	16,052,600	16,375,600	17,839,100	20,491,200	20,929,800	21,816,600	20,916,200	18,276,300	16,949,900	14,081,100	11,736,500	9,844,100	8,260,300	8,161,400	7,948,800	8,420,600
Net profit margin		7.97%	7.73%	6.69%	6.97%	8.38%	8.33%	7.98%	8.25%	6.51%	3.35%	3.03%	0.51%	0.42%	2.97%	2.60%	3.36%	-18.81%	-20.83%	-22.86%	-22.66%

December 31, 2024 calculation

Net profit margin = Net income (ttm) ÷ Revenue (ttm)
= $1,312,100K ÷ $16,473,200K
= 7.97%

Targa Resources Inc has experienced fluctuations in its net profit margin over the analyzed time periods. The company exhibited negative net profit margins ranging from -22.66% to -18.81% in the first half of 2020, indicating challenges in generating profits relative to its revenue during that period. However, there was a notable turnaround starting in the first quarter of 2021, with the net profit margin rising to positive values, reaching 8.38% by the end of 2023.

This improvement in profitability suggests that Targa Resources Inc was able to effectively manage its expenses and enhance operational efficiency during this period. The company’s increasing net profit margin indicates that it was able to convert a larger portion of its revenue into profits, reflecting positively on its overall financial performance and potentially indicating successful strategic decisions or operational optimizations.

Overall, the trend in Targa Resources Inc's net profit margin demonstrates a shift from negative to positive figures, highlighting its ability to enhance profitability over the analyzed quarters.