Weatherford International PLC (WFRD)
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 | 938,000 | 956,000 | 931,000 | 868,000 | 820,000 | 773,000 | 676,000 | 579,000 | 412,000 | 276,000 | 226,000 | 147,000 | 116,000 | -24,000 | -155,000 | -677,000 | -1,486,000 | -1,487,000 | -1,874,000 | -1,495,000 |
| Revenue (ttm) | US$ in thousands | 5,505,000 | 5,422,000 | 5,326,000 | 5,195,000 | 5,023,000 | 4,982,000 | 4,789,000 | 4,579,000 | 4,331,000 | 4,087,000 | 3,912,000 | 3,751,000 | 3,645,000 | 2,718,000 | 3,357,000 | 4,096,000 | 4,479,000 | 5,656,000 | 5,386,000 | 5,053,000 |
| Operating profit margin | 17.04% | 17.63% | 17.48% | 16.71% | 16.32% | 15.52% | 14.12% | 12.64% | 9.51% | 6.75% | 5.78% | 3.92% | 3.18% | -0.88% | -4.62% | -16.53% | -33.18% | -26.29% | -34.79% | -29.59% |
December 31, 2024 calculation
Operating profit margin = Operating income (ttm) ÷ Revenue (ttm)
= $938,000K ÷ $5,505,000K
= 17.04%
Weatherford International PLC has shown a significant improvement in its operating profit margin over the past few years. The margin was quite negative in the first half of 2020, ranging from around -30% to -35%. However, the company managed to turn this around by gradually increasing its operating profit margin to positive territory by the end of 2021.
From the first quarter of 2022 onwards, Weatherford's operating profit margin continued to improve consistently, reaching 17.63% by the end of the third quarter of 2024. This demonstrates the company's successful efforts in optimizing its operations and controlling costs, resulting in higher profitability.
The upward trend in the operating profit margin indicates better efficiency in generating profits from its core business activities. Weatherford's ability to maintain and further increase this margin in the future will be vital in sustaining its profitability and competitiveness in the industry.
Peer comparison
Dec 31, 2024