Caterpillar Inc. stock research
FY2024 Q2
Caterpillar (CAT) Gross Margin — Quarter Ended Jun 30, 2024
Revenue and gross profit were both higher than the immediately preceding quarter, while cost of revenue also increased. Gross margin improved from the prior quarter and showed a larger improvement compared to the same quarter one year earlier.
Gross margin takeaway
Quarter ended Jun 30, 2024 · FY2024 Q2
Revenue and gross profit were both higher than the immediately preceding quarter, while cost of revenue also increased. Gross margin improved from the prior quarter and showed a larger improvement compared to the same quarter one year earlier.
- Gross margin strengthened from the same quarter last year, driven by gross profit growing faster than cost of revenue on a relative basis. The improvement from both comparison periods indicates a consistent upward trend.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was higher, and gross margin improved. Compared to the same quarter one year ago, revenue was lower, but gross profit was higher and cost of revenue was lower, resulting in a meaningfully higher gross margin.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
39.2%
Gross profit
$6.5B
Revenue
$16.7B
Cost of revenue
$10.2B
Quarter-over-quarter change
+0.3 pts
Year-over-year change
+3.1 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 |
|---|---|---|---|---|
| Sep 30, 2023 | $16.8B | $6.2B | $10.6B | 37.0% |
| Dec 31, 2023 | $17.1B | $6.1B | $11.0B | 35.5% |
| Mar 31, 2024 | $15.8B | $6.1B | $9.7B | 38.8% |
| Jun 30, 2024 | $16.7B | $6.5B | $10.2B | 39.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2024
+0.3 pts
Year-over-year change
Jun 30, 2023
+3.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin strengthened from the same quarter last year, driven by gross profit growing faster than cost of revenue on a relative basis. The improvement from both comparison periods indicates a consistent upward trend.
Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was higher, and gross margin improved. Compared to the same quarter one year ago, revenue was lower, but gross profit was higher and cost of revenue was lower, resulting in a meaningfully higher gross margin.
Monitor the relative movement of cost of revenue compared to revenue in future filings to assess margin sustainability.