Net Profit Margin
since 2012
Calculation
Diamondback Energy Inc., net profit margin, long-term trends, calculation
| Net profit margin | = | 100 | × | Net income (loss) attributable to Diamondback Energy, Inc.1 | ÷ | Revenues1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2021 | 32.10% | = | 100 | × | 2,182) | ÷ | 6,797) |
| Dec 31, 2020 | -160.58% | = | 100 | × | (4,517) | ÷ | 2,813) |
| Dec 31, 2019 | 6.05% | = | 100 | × | 240) | ÷ | 3,964) |
| Dec 31, 2018 | 38.86% | = | 100 | × | 846) | ÷ | 2,176) |
| Dec 31, 2017 | 40.02% | = | 100 | × | 482) | ÷ | 1,205) |
| Dec 31, 2016 | -31.31% | = | 100 | × | (165) | ÷ | 527) |
| Dec 31, 2015 | -123.26% | = | 100 | × | (551) | ÷ | 447) |
| Dec 31, 2014 | 39.09% | = | 100 | × | 194) | ÷ | 496) |
| Dec 31, 2013 | 26.24% | = | 100 | × | 55) | ÷ | 208) |
| Dec 31, 2012 | -48.72% | = | 100 | × | (37) | ÷ | 75) |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
1 US$ in millions
The financial performance from 2012 to 2021 is characterized by extreme volatility in net profit margins despite a general long-term increase in total revenues. Profitability has fluctuated between significant losses and robust margins, reflecting a high sensitivity to external market conditions and operational volatility.
- Net Profit Margin Volatility
- Net profit margins shifted from -48.72% in 2012 to a peak of 40.02% in 2017, followed by a severe contraction to -160.58% in 2020, before recovering to 32.10% in 2021. This erratic movement indicates a profit structure prone to sharp swings.
- Revenue Growth and Profitability Decoupling
- Revenues exhibited a strong overall upward trend, growing from US$ 75 million in 2012 to US$ 6,797 million in 2021. However, revenue growth did not consistently correlate with profit margin stability. For instance, 2019 saw a significant increase in revenue to US$ 3,964 million, yet the net profit margin dropped sharply to 6.05%, suggesting an increase in operating costs or a decrease in realized pricing.
- Analysis of Critical Loss Periods
- Two distinct periods of negative profitability are observed. The first occurred between 2015 and 2016, with the margin reaching -123.26% in 2015. The second and most severe downturn occurred in 2020, where a net loss of US$ 4,517 million resulted in a net profit margin of -160.58%, representing the lowest point in the analyzed period.
- Recovery and Rebound Capacity
- The entity demonstrated a strong capacity for rapid recovery following periods of loss. After the 2015-2016 downturn, margins rebounded to approximately 40% by 2017. Similarly, the substantial loss in 2020 was followed by a swift return to profitability in 2021, with net income reaching US$ 2,182 million and the profit margin restoring to 32.10%.
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Comparison to Competitors
Diamondback Energy Inc., net profit margin, long-term trends, comparison to competitors
| Diamondback Energy Inc. | Chevron Corp. | ConocoPhillips | ExxonMobil Holdings Corp. | |
|---|---|---|---|---|
| Dec 31, 2021 | 32.10% | 10.04% | 17.63% | 8.33% |
| Dec 31, 2020 | -160.58% | -5.87% | -14.38% | -12.57% |
| Dec 31, 2019 | 6.05% | 2.09% | 22.07% | 5.61% |
| Dec 31, 2018 | 38.86% | 9.33% | 17.18% | 7.46% |
| Dec 31, 2017 | 40.02% | 6.83% | -2.94% | 8.31% |
| Dec 31, 2016 | -31.31% | -0.45% | -15.26% | 3.59% |
| Dec 31, 2015 | -123.26% | 3.53% | -14.98% | 6.22% |
| Dec 31, 2014 | 39.09% | 9.60% | 13.08% | 8.25% |
| Dec 31, 2013 | 26.24% | 9.73% | 16.83% | 7.74% |
| Dec 31, 2012 | -48.72% | 11.35% | 14.54% | 9.90% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
Comparison to Sector (Oil, Gas & Consumable Fuels)
Diamondback Energy Inc., net profit margin, long-term trends, comparison to sector (oil, gas & consumable fuels)
| Diamondback Energy Inc. | Oil, Gas & Consumable Fuels | |
|---|---|---|
| Dec 31, 2021 | 32.10% | 9.78% |
| Dec 31, 2020 | -160.58% | -10.51% |
| Dec 31, 2019 | 6.05% | 5.71% |
| Dec 31, 2018 | 38.86% | 8.83% |
| Dec 31, 2017 | 40.02% | 7.00% |
| Dec 31, 2016 | -31.31% | 1.06% |
| Dec 31, 2015 | -123.26% | 3.89% |
| Dec 31, 2014 | 39.09% | 9.06% |
| Dec 31, 2013 | 26.24% | 9.08% |
| Dec 31, 2012 | -48.72% | 10.72% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).
Comparison to Industry (Energy)
Diamondback Energy Inc., net profit margin, long-term trends, comparison to industry (energy)
| Diamondback Energy Inc. | Energy | |
|---|---|---|
| Dec 31, 2021 | 32.10% | 9.70% |
| Dec 31, 2020 | -160.58% | -13.06% |
| Dec 31, 2019 | 6.05% | 3.11% |
| Dec 31, 2018 | 38.86% | 8.68% |
| Dec 31, 2017 | 40.02% | 6.15% |
| Dec 31, 2016 | -31.31% | 0.54% |
| Dec 31, 2015 | -123.26% | 4.04% |
| Dec 31, 2014 | 39.09% | 9.21% |
| Dec 31, 2013 | 26.24% | 9.44% |
| Dec 31, 2012 | -48.72% | 10.84% |
Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31).