Albemarle Corporation stock research
FY2024 Q4
Albemarle (ALB) Gross Margin — Quarter Ended Dec 31, 2024
Revenue and cost of revenue both decreased compared to the prior quarter and the same quarter last year, while gross profit turned positive from negative in both comparisons. Gross margin improved significantly, shifting from a negative to a positive figure.
Gross margin takeaway
Quarter ended Dec 31, 2024 · FY2024 Q4
Revenue and cost of revenue both decreased compared to the prior quarter and the same quarter last year, while gross profit turned positive from negative in both comparisons. Gross margin improved significantly, shifting from a negative to a positive figure.
- The strongest observable margin driver is the shift in gross profit from a loss to a profit, which directly lifted gross margin into positive territory. This change occurred alongside a reduction in cost of revenue that outpaced the decline in revenue.
- Compared to the immediately preceding quarter, revenue was lower and cost of revenue was lower, while gross profit improved from negative to positive. Versus the same quarter one year earlier, revenue was lower and cost of revenue was lower, with gross profit also improving from negative to positive.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
11.2%
Gross profit
$138.2M
Revenue
$1.2B
Cost of revenue
$1.1B
Quarter-over-quarter change
+18.9 pts
Year-over-year change
+41.1 pts
Quarterly gross margin trend
A four-quarter view of the revenue and direct-cost bridge behind gross margin.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Mar 31, 2024 | $1.4B | $38.9M | $1.3B | 2.9% |
| Jun 30, 2024 | $1.4B | -$10.6M | $1.4B | -0.7% |
| Sep 30, 2024 | $1.4B | -$104.0M | $1.5B | -7.7% |
| Dec 31, 2024 | $1.2B | $138.2M | $1.1B | 11.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
+18.9 pts
Year-over-year change
Dec 31, 2023
+41.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the shift in gross profit from a loss to a profit, which directly lifted gross margin into positive territory. This change occurred alongside a reduction in cost of revenue that outpaced the decline in revenue.
Compared to the immediately preceding quarter, revenue was lower and cost of revenue was lower, while gross profit improved from negative to positive. Versus the same quarter one year earlier, revenue was lower and cost of revenue was lower, with gross profit also improving from negative to positive.
Monitor whether the positive gross profit can be sustained in future quarters given the ongoing decline in revenue.