Vital Energy Inc. (VTLE)

Operating 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
Operating income (ttm)	US$ in thousands	-22,552	478,477	570,687	574,301	559,621	581,838	664,933	912,648	1,060,382	1,146,352	1,148,818	888,001	720,313	398,833	-34,559	-576,958	-861,733	-954,079	-1,136,840	-644,960
Revenue (ttm)	US$ in thousands	1,710,423	2,010,826	1,585,927	1,427,688	1,491,174	1,197,050	1,470,610	1,645,783	1,495,182	1,639,176	1,357,310	948,273	844,278	562,119	410,399	469,362	863,451	893,508	1,069,249	1,247,510
Operating profit margin		-1.32%	23.80%	35.98%	40.23%	37.53%	48.61%	45.21%	55.45%	70.92%	69.93%	84.64%	93.64%	85.32%	70.95%	-8.42%	-122.92%	-99.80%	-106.78%	-106.32%	-51.70%

December 31, 2024 calculation

Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $-22,552K ÷ $1,710,423K
= -1.32%

Vital Energy Inc.'s operating profit margin fluctuated significantly over the past few years. The company experienced negative operating profit margins in the first half of 2020, with margins as low as -106.78% in September 2020. This indicates that the company's operating expenses exceeded its operating profits during this period.

However, there was a notable turnaround starting in September 2021, with the operating profit margin turning positive and increasing steadily to reach 85.32% by December 2021. This positive trend continued into 2022, with the operating profit margin consistently above 70% for the remainder of the year.

In 2023, while there was a slight decrease in the operating profit margin compared to the previous year, it remained relatively strong, ranging between 37.53% to 55.45%.

By the end of 2024, the operating profit margin decreased significantly to -1.32%, indicating that the company's operating expenses once again exceeded its operating profits. Overall, Vital Energy Inc.'s operating profit margin showed significant volatility but demonstrated a strong improvement from negative margins to positive margins, albeit with a slight decline towards the end of the period.