Analysis of Profitability Ratios
Profitability ratios measure the company ability to generate profitable sales from its resources (assets).
Profitability Ratios (Summary)
Kinder Morgan Inc., profitability ratios
Based on: 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).
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Kinder Morgan Inc. gross profit margin ratio improved from 2017 to 2018 and from 2018 to 2019. |
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Kinder Morgan Inc. operating profit margin ratio improved from 2017 to 2018 and from 2018 to 2019. |
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Kinder Morgan Inc. net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019. |
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Kinder Morgan Inc. ROE improved from 2017 to 2018 and from 2018 to 2019. |
| ROA | A profitability ratio calculated as net income divided by total assets. | Kinder Morgan Inc. ROA improved from 2017 to 2018 and from 2018 to 2019. |
Gross Profit Margin
Kinder Morgan Inc., gross profit margin calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Gross profit | 9,946) | 9,723) | 9,360) | 9,560) | 10,288) | |
| Revenues | 13,209) | 14,144) | 13,705) | 13,058) | 14,403) | |
| Profitability Ratio | ||||||
| Gross profit margin1 | 75.30% | 68.74% | 68.30% | 73.21% | 71.43% | |
| Benchmarks | ||||||
| Gross Profit Margin, Competitors2 | ||||||
| Marathon Petroleum Corp. | 11.06% | — | — | — | — | |
| Valero Energy Corp. | 4.41% | — | — | — | — | |
Based on: 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).
1 2019 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenues
= 100 × 9,946 ÷ 13,209 = 75.30%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Gross profit margin | Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. | Kinder Morgan Inc. gross profit margin ratio improved from 2017 to 2018 and from 2018 to 2019. |
Operating Profit Margin
Kinder Morgan Inc., operating profit margin calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Operating income | 4,873) | 3,794) | 3,544) | 3,572) | 2,447) | |
| Revenues | 13,209) | 14,144) | 13,705) | 13,058) | 14,403) | |
| Profitability Ratio | ||||||
| Operating profit margin1 | 36.89% | 26.82% | 25.86% | 27.35% | 16.99% | |
| Benchmarks | ||||||
| Operating Profit Margin, Competitors2 | ||||||
| Chevron Corp. | 4.83% | — | — | — | — | |
| ConocoPhillips | 32.04% | — | — | — | — | |
| Exxon Mobil Corp. | 8.66% | — | — | — | — | |
| Marathon Petroleum Corp. | 4.50% | — | — | — | — | |
| Occidental Petroleum Corp. | 3.17% | — | — | — | — | |
| Valero Energy Corp. | 3.54% | — | — | — | — | |
| Operating Profit Margin, Sector | ||||||
| Oil, Gas & Consumable Fuels | 7.25% | — | — | — | — | |
| Operating Profit Margin, Industry | ||||||
| Energy | 5.50% | — | — | — | — | |
Based on: 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).
1 2019 Calculation
Operating profit margin = 100 × Operating income ÷ Revenues
= 100 × 4,873 ÷ 13,209 = 36.89%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Operating profit margin | A profitability ratio calculated as operating income divided by revenue. | Kinder Morgan Inc. operating profit margin ratio improved from 2017 to 2018 and from 2018 to 2019. |
Net Profit Margin
Kinder Morgan Inc., net profit margin calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Kinder Morgan, Inc. | 2,190) | 1,609) | 183) | 708) | 253) | |
| Revenues | 13,209) | 14,144) | 13,705) | 13,058) | 14,403) | |
| Profitability Ratio | ||||||
| Net profit margin1 | 16.58% | 11.38% | 1.34% | 5.42% | 1.76% | |
| Benchmarks | ||||||
| Net Profit Margin, Competitors2 | ||||||
| Chevron Corp. | 2.09% | — | — | — | — | |
| ConocoPhillips | 22.07% | — | — | — | — | |
| Exxon Mobil Corp. | 5.61% | — | — | — | — | |
| Marathon Petroleum Corp. | 2.13% | — | — | — | — | |
| Occidental Petroleum Corp. | -3.27% | — | — | — | — | |
| Valero Energy Corp. | 2.24% | — | — | — | — | |
| Net Profit Margin, Sector | ||||||
| Oil, Gas & Consumable Fuels | 4.24% | — | — | — | — | |
| Net Profit Margin, Industry | ||||||
| Energy | 2.62% | — | — | — | — | |
Based on: 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).
1 2019 Calculation
Net profit margin = 100 × Net income attributable to Kinder Morgan, Inc. ÷ Revenues
= 100 × 2,190 ÷ 13,209 = 16.58%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| Net profit margin | An indicator of profitability, calculated as net income divided by revenue. | Kinder Morgan Inc. net profit margin ratio improved from 2017 to 2018 and from 2018 to 2019. |
Return on Equity (ROE)
Kinder Morgan Inc., ROE calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Kinder Morgan, Inc. | 2,190) | 1,609) | 183) | 708) | 253) | |
| Total Kinder Morgan, Inc.’s stockholders’ equity | 33,742) | 33,678) | 33,636) | 34,431) | 35,119) | |
| Profitability Ratio | ||||||
| ROE1 | 6.49% | 4.78% | 0.54% | 2.06% | 0.72% | |
| Benchmarks | ||||||
| ROE, Competitors2 | ||||||
| Chevron Corp. | 2.03% | — | — | — | — | |
| ConocoPhillips | 20.55% | — | — | — | — | |
| Exxon Mobil Corp. | 7.48% | — | — | — | — | |
| Marathon Petroleum Corp. | 7.83% | — | — | — | — | |
| Occidental Petroleum Corp. | -1.95% | — | — | — | — | |
| Valero Energy Corp. | 11.11% | — | — | — | — | |
| ROE, Sector | ||||||
| Oil, Gas & Consumable Fuels | 6.26% | — | — | — | — | |
| ROE, Industry | ||||||
| Energy | 3.86% | — | — | — | — | |
Based on: 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).
1 2019 Calculation
ROE = 100 × Net income attributable to Kinder Morgan, Inc. ÷ Total Kinder Morgan, Inc.’s stockholders’ equity
= 100 × 2,190 ÷ 33,742 = 6.49%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROE | A profitability ratio calculated as net income divided by shareholders’ equity. | Kinder Morgan Inc. ROE improved from 2017 to 2018 and from 2018 to 2019. |
Return on Assets (ROA)
Kinder Morgan Inc., ROA calculation, comparison to benchmarks
| Dec 31, 2019 | Dec 31, 2018 | Dec 31, 2017 | Dec 31, 2016 | Dec 31, 2015 | ||
|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||
| Net income attributable to Kinder Morgan, Inc. | 2,190) | 1,609) | 183) | 708) | 253) | |
| Total assets | 74,157) | 78,866) | 79,055) | 80,305) | 84,104) | |
| Profitability Ratio | ||||||
| ROA1 | 2.95% | 2.04% | 0.23% | 0.88% | 0.30% | |
| Benchmarks | ||||||
| ROA, Competitors2 | ||||||
| Chevron Corp. | 1.23% | — | — | — | — | |
| ConocoPhillips | 10.20% | — | — | — | — | |
| Exxon Mobil Corp. | 3.95% | — | — | — | — | |
| Marathon Petroleum Corp. | 2.68% | — | — | — | — | |
| Occidental Petroleum Corp. | -0.61% | — | — | — | — | |
| Valero Energy Corp. | 4.50% | — | — | — | — | |
| ROA, Sector | ||||||
| Oil, Gas & Consumable Fuels | 3.09% | — | — | — | — | |
| ROA, Industry | ||||||
| Energy | 1.89% | — | — | — | — | |
Based on: 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).
1 2019 Calculation
ROA = 100 × Net income attributable to Kinder Morgan, Inc. ÷ Total assets
= 100 × 2,190 ÷ 74,157 = 2.95%
2 Click competitor name to see calculations.
| Profitability ratio | Description | The company |
|---|---|---|
| ROA | A profitability ratio calculated as net income divided by total assets. | Kinder Morgan Inc. ROA improved from 2017 to 2018 and from 2018 to 2019. |