CF Industries Holdings, Inc. stock research
FY2025 Q2
CF Industries Holdings (CF) Gross Margin — Quarter Ended Jun 30, 2025
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue was stable versus the prior quarter and higher year over year. Gross margin improved from the prior quarter but weakened compared to the same quarter last year.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue was stable versus the prior quarter and higher year over year. Gross margin improved from the prior quarter but weakened compared to the same quarter last year.
- The improvement in gross margin from the prior quarter was driven by a larger increase in revenue relative to cost of revenue, as revenue rose while cost of revenue remained unchanged.
- Compared to the prior quarter, gross margin improved as revenue grew faster than cost of revenue. Compared to the same quarter last year, gross margin weakened because cost of revenue increased more than revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
39.9%
Gross profit
$755.0M
Revenue
$1.9B
Cost of revenue
$1.1B
Quarter-over-quarter change
+5.6 pts
Year-over-year change
-3.2 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, 2024 | $1.4B | $444.0M | $926.0M | 32.4% |
| Dec 31, 2024 | $1.5B | $524.0M | $1.0B | 34.4% |
| Mar 31, 2025 | $1.7B | $572.0M | $1.1B | 34.4% |
| Jun 30, 2025 | $1.9B | $755.0M | $1.1B | 39.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
+5.6 pts
Year-over-year change
Jun 30, 2024
-3.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The improvement in gross margin from the prior quarter was driven by a larger increase in revenue relative to cost of revenue, as revenue rose while cost of revenue remained unchanged.
Compared to the prior quarter, gross margin improved as revenue grew faster than cost of revenue. Compared to the same quarter last year, gross margin weakened because cost of revenue increased more than revenue.
Monitor the trajectory of cost of revenue relative to revenue, as a higher cost base could pressure gross margin in future periods.