Revenue Analysis:
OC has shown variations in Total and Operating Revenue over the observed period. The Total Revenue increased from $2,310,000,000 in Q1 2023 to a peak of $2,479,000,000 by Q3 2023, before slightly decreasing to $2,300,000,000 by Q1 2024. Gross Profit followed a similar trend, peaking at $727,000,000 in Q3 2023 and reducing to $680,000,000 by Q1 2024. This suggests a fluctuating but generally strong revenue-generating capability.
Cost Management:
The Cost of Revenue and Total Expenses have been significant, with the Cost of Revenue peaking at $1,811,000,000 in Q3 2023. While the Total Expenses also peaked at $2,076,000,000 in Q2 2023, a reduction in both metrics by Q1 2024 ($1,620,000,000 and $1,897,000,000, respectively) indicates some efficiency improvements in cost management.
Profitability Analysis:
OC’s EBITDA increased from $472,000,000 in Q1 2023 to $534,000,000 by Q1 2024, indicating improved profitability. Operating Income also increased from $345,000,000 to $403,000,000 in the same period. However, the Pretax Income and Net Income showed significant variance, with Pretax Income moving from $512,000,000 in Q1 2023 to $386,000,000 by Q1 2024, and Net Income rising significantly in the last year from $131,000,000 in Q4 2023 to $299,000,000 in Q1 2024.
Cash Flow Indicators:
Reconciled Depreciation remained relatively stable, with minimal fluctuations, ranging from $127,000,000 to $163,000,000 over the observed periods. Interest Expense has been consistent at around $17,000,000 to $23,000,000. The stability in these areas suggests predictable cash flow related to operational activities and financing costs.
Taxation:
The Tax Rate for Calculations varied from 0.23 to 0.25 across the periods. Tax Provision was highest at $121,000,000 in Mid-2023 but has seen reductions in subsequent quarters, settling at $88,000,000 by Q1 2024. Notably, the tax impact due to Unusual Items was evident in Early 2023, amounting to $47,250,000.
Shareholder Metrics:
Both Diluted and Basic EPS showed substantial growth from Q4 2023 to Q1 2024, rising from 1.46 and 1.48 respectively to 3.4 and 3.42. Continuing this trend, Average Shares slightly decreased, which could explain part of the EPS rise due to fewer shares being outstanding. Net Income Available to Common Stockholders increased significantly, which is a positive indicator for shareholder value.
Conclusion:
While revenue saw an overall decreasing trend after Q3 2023, cost management improvements have led to increased profitability by Q1 2024 as evidenced in the EBITDA and Net Income metrics. The significant uptick in Net Income in the recent quarter should be seen positively by investors, despite fluctuations in other metrics. Future focus should possibly remain on enhancing operational efficiency and maintaining cost controls to bolster profitability further.