BL

Builders FirstSource, Inc. stock research

Sep 30, 2024

FY2024 Q3

Builders FirstSource (BLDR) Gross Margin — Quarter Ended Sep 30, 2024

Revenue and gross profit both decreased compared to the prior quarter and the same quarter last year, while cost of revenue also declined. Gross margin remained stable versus the prior quarter but weakened compared to the same quarter one year earlier.

Gross margin takeaway

Quarter ended Sep 30, 2024 · FY2024 Q3

Revenue and gross profit both decreased compared to the prior quarter and the same quarter last year, while cost of revenue also declined. Gross margin remained stable versus the prior quarter but weakened compared to the same quarter one year earlier.

  • The gross margin percentage was unchanged from the prior quarter, indicating that the proportional relationship between revenue and cost of revenue held steady. The decline in gross margin versus the year-ago quarter was driven by a proportionally larger decrease in gross profit relative to revenue.
  • Compared to the prior quarter, revenue and cost of revenue both decreased, and gross margin was unchanged. Compared to the same quarter one year earlier, revenue and gross profit were lower, and gross margin weakened.

Gross margin snapshot

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

Gross margin

32.8%

Gross profit

$1.4B

Revenue

$4.2B

Cost of revenue

$2.8B

Quarter-over-quarter change

-0.1 pts

Year-over-year change

-2.1 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$4.2B$1.5B$2.7B35.3%
Mar 31, 2024$3.9B$1.3B$2.6B33.4%
Jun 30, 2024$4.5B$1.5B$3.0B32.8%
Sep 30, 2024$4.2B$1.4B$2.8B32.8%

Quarterly comparisons

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

Previous-quarter change

Jun 30, 2024

-0.1 pts

Year-over-year change

Sep 30, 2023

-2.1 pts

What the margin says

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

The gross margin percentage was unchanged from the prior quarter, indicating that the proportional relationship between revenue and cost of revenue held steady. The decline in gross margin versus the year-ago quarter was driven by a proportionally larger decrease in gross profit relative to revenue.

Compared to the prior quarter, revenue and cost of revenue both decreased, and gross margin was unchanged. Compared to the same quarter one year earlier, revenue and gross profit were lower, and gross margin weakened.

Monitor whether the gross margin can maintain its current level relative to the prior quarter, given the decline in revenue and gross profit.