Crown Castle Inc. stock research
FY2024 Q4
Crown Castle (CCI) Gross Margin — Quarter Ended Dec 31, 2024
Revenue and gross profit both decreased compared to the prior quarter, leading to a lower gross margin. Compared to the same quarter last year, revenue and gross profit improved sharply while cost of revenue fell, resulting in a much higher gross margin.
Gross margin takeaway
Quarter ended Dec 31, 2024 · FY2024 Q4
Revenue and gross profit both decreased compared to the prior quarter, leading to a lower gross margin. Compared to the same quarter last year, revenue and gross profit improved sharply while cost of revenue fell, resulting in a much higher gross margin.
- The strongest observable margin driver is the relationship between cost of revenue and revenue: cost of revenue decreased slightly quarter over quarter while revenue fell more, weakening gross margin. Year over year, cost of revenue dropped substantially as revenue rose, strongly boosting gross margin.
- Compared to the prior quarter, gross margin weakened as revenue and gross profit declined while cost of revenue was nearly stable. Compared to the same quarter last year, gross margin improved significantly due to higher revenue and a lower cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
46.9%
Gross profit
$23.0M
Revenue
$49.0M
Cost of revenue
$26.0M
Quarter-over-quarter change
-3.1 pts
Year-over-year change
+30.7 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 | $46.0M | $17.0M | $29.0M | 37.0% |
| Jun 30, 2024 | $43.0M | $18.0M | $25.0M | 41.9% |
| Sep 30, 2024 | $54.0M | $27.0M | $27.0M | 50.0% |
| Dec 31, 2024 | $49.0M | $23.0M | $26.0M | 46.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
-3.1 pts
Year-over-year change
Dec 31, 2023
+30.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between cost of revenue and revenue: cost of revenue decreased slightly quarter over quarter while revenue fell more, weakening gross margin. Year over year, cost of revenue dropped substantially as revenue rose, strongly boosting gross margin.
Compared to the prior quarter, gross margin weakened as revenue and gross profit declined while cost of revenue was nearly stable. Compared to the same quarter last year, gross margin improved significantly due to higher revenue and a lower cost of revenue.
Monitor cost of revenue trends given its material decline year over year and stability quarter over quarter against changing revenue.