AL

Albemarle Corporation stock research

Sep 30, 2024

FY2024 Q3

Albemarle (ALB) Gross Margin — Quarter Ended Sep 30, 2024

Revenue was stable compared to the prior quarter but lower than the same quarter last year. Gross profit turned negative, and gross margin weakened, as cost of revenue exceeded revenue.

Gross margin takeaway

Quarter ended Sep 30, 2024 · FY2024 Q3

Revenue was stable compared to the prior quarter but lower than the same quarter last year. Gross profit turned negative, and gross margin weakened, as cost of revenue exceeded revenue.

  • The most observable driver is the relationship between cost of revenue and revenue; cost of revenue was higher than revenue, leading to a negative gross margin.
  • Compared to the immediately preceding quarter, gross profit was lower and gross margin weakened. Compared to the same quarter one year earlier, revenue was lower, gross profit was lower, and gross margin weakened.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

-7.7%

Gross profit

-$104.0M

Revenue

$1.4B

Cost of revenue

$1.5B

Quarter-over-quarter change

-6.9 pts

Year-over-year change

-10.1 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Dec 31, 2023$2.4B-$704.1M$3.1B-29.9%
Mar 31, 2024$1.4B$38.9M$1.3B2.9%
Jun 30, 2024$1.4B-$10.6M$1.4B-0.7%
Sep 30, 2024$1.4B-$104.0M$1.5B-7.7%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Jun 30, 2024

-6.9 pts

Year-over-year change

Sep 30, 2023

-10.1 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The most observable driver is the relationship between cost of revenue and revenue; cost of revenue was higher than revenue, leading to a negative gross margin.

Compared to the immediately preceding quarter, gross profit was lower and gross margin weakened. Compared to the same quarter one year earlier, revenue was lower, gross profit was lower, and gross margin weakened.

Monitor the trajectory of cost of revenue relative to revenue, as it has exceeded revenue in the current quarter.