Atmos Energy Corporation stock research
FY2023 Q2
Atmos Energy (ATO) Gross Margin — Quarter Ended Mar 31, 2023
This quarter, gross profit and gross margin both increased compared to the prior quarter, as revenue was stable while cost of revenue was lower. Relative to the same quarter a year ago, revenue was lower but cost of revenue declined more sharply, yielding a higher gross profit and gross margin.
Gross margin takeaway
Quarter ended Mar 31, 2023 · FY2023 Q2
This quarter, gross profit and gross margin both increased compared to the prior quarter, as revenue was stable while cost of revenue was lower. Relative to the same quarter a year ago, revenue was lower but cost of revenue declined more sharply, yielding a higher gross profit and gross margin.
- The strongest observable margin driver was the reduction in cost of revenue relative to revenue, which improved both sequentially and year-over-year.
- Gross margin was higher than both the immediately preceding quarter and the same quarter one year earlier. Gross profit was also higher than both prior periods, while revenue was stable sequentially and lower year-over-year. Cost of revenue was lower in both comparisons.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
56.8%
Gross profit
$874.8M
Revenue
$1.5B
Cost of revenue
$666.2M
Quarter-over-quarter change
n/a
Year-over-year change
+9.6 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, 2023 | $1.5B | $874.8M | $666.2M | 56.8% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Previous quarter unavailable
n/a
Year-over-year change
Mar 31, 2022
+9.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver was the reduction in cost of revenue relative to revenue, which improved both sequentially and year-over-year.
Gross margin was higher than both the immediately preceding quarter and the same quarter one year earlier. Gross profit was also higher than both prior periods, while revenue was stable sequentially and lower year-over-year. Cost of revenue was lower in both comparisons.
Monitor the outcome of ratemaking proceedings, as discussed in the Management Discussion and Analysis, which may affect future revenue and cost structures.