Weatherford International PLC (WFRD)
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 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross profit margin | 90.78% | 94.18% | 93.94% | 93.54% | 92.63% | 57.52% | 77.10% | 98.13% | 119.53% | 159.86% | 123.41% | 89.55% | 71.42% | 61.28% | 45.27% | 34.00% | 21.24% | 21.99% | 22.06% | 21.78% |
| Operating profit margin | 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% | -18.79% | -53.15% | -43.91% | -42.01% |
| Pretax margin | 9.44% | 8.53% | 6.74% | 6.01% | 2.61% | -2.96% | -6.19% | -8.61% | -9.99% | -14.79% | -14.92% | -24.58% | -40.99% | 65.24% | 56.93% | 66.34% | 73.40% | -69.44% | -56.53% | -54.32% |
| Net profit margin | 8.30% | 7.01% | 5.30% | 3.89% | 0.60% | -5.06% | -8.44% | -11.04% | -12.35% | -17.99% | -16.92% | -26.15% | -42.89% | 62.91% | 54.05% | 62.85% | 70.62% | -70.01% | -56.91% | -54.57% |
Weatherford International plc has shown a consistent improvement in its profitability ratios over the past quarters. The gross profit margin has steadily increased from 26.37% in Q1 2022 to 33.89% in Q4 2023, indicating improved efficiency in managing production costs. Similarly, the operating profit margin has shown a positive trend, increasing from 4.45% in Q1 2022 to 15.97% in Q4 2023, demonstrating effective cost management and operational performance.
The pretax margin has also exhibited significant improvement, rising from -8.05% in Q1 2022 to 9.85% in Q4 2023. This reflects enhanced profitability before accounting for taxes and suggests better overall financial health. The net profit margin has seen a remarkable turnaround, moving from -11.04% in Q1 2022 to 8.12% in Q4 2023, indicating improved efficiency in generating profits from revenues after all expenses have been accounted for.
Overall, the upward trend in all profitability ratios reflects Weatherford International plc's success in enhancing its operational efficiency, cost management, and profitability over the analyzed period.
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 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Operating return on assets (Operating ROA) | 16.18% | 15.79% | 14.54% | 12.30% | 8.73% | 5.86% | 4.77% | 3.14% | 2.43% | -0.47% | -3.00% | -12.79% | -27.35% | -26.25% | -34.65% | -24.25% | -13.36% | -44.67% | -37.47% | -35.99% |
| Return on assets (ROA) | 8.23% | 7.13% | 5.46% | 3.78% | 0.55% | -4.40% | -6.97% | -8.84% | -9.43% | -9.50% | -11.01% | -20.23% | -35.35% | 62.82% | 53.82% | 51.52% | 50.20% | -58.84% | -48.57% | -46.74% |
| Return on total capital | 88.74% | 104.18% | 104.81% | 102.12% | 77.01% | 60.93% | 33.69% | 15.66% | 4.45% | -19.16% | -30.72% | -94.28% | -174.53% | -145.72% | -152.25% | -84.50% | -33.82% | — | — | — |
| Return on equity (ROE) | 45.13% | 47.04% | 39.38% | 31.39% | 4.86% | -45.70% | -70.82% | -104.55% | -95.34% | -78.74% | -78.24% | -136.09% | -211.80% | 327.32% | 229.76% | 174.60% | 127.12% | — | — | — |
Weatherford International plc has shown a consistent improvement in profitability ratios over the past eight quarters.
1. Operating return on assets (Operating ROA) has steadily increased from 3.57% in Q1 2022 to 16.18% in Q4 2023. This indicates the company's ability to generate operating profits from its asset base has significantly improved.
2. Return on assets (ROA) has shown a similar upward trend, moving from -8.84% in Q1 2022 to 8.23% in Q4 2023. This suggests that the company has become more efficient in generating profits relative to its total assets.
3. Return on total capital has also seen considerable growth, rising from 5.55% in Q1 2022 to 27.48% in Q4 2023. This indicates that Weatherford International plc is generating strong returns on the total capital invested in the business.
4. Return on equity (ROE) has shown a remarkable improvement from -104.55% in Q1 2022 to 45.13% in Q4 2023. This substantial increase in ROE indicates that the company has been successful in generating higher profits for its shareholders.
Overall, the profitability ratios of Weatherford International plc demonstrate a positive trend, indicating improvements in operational efficiency and effectiveness in utilizing assets and capital to generate profits.