CF Industries Holdings, Inc. stock research
FY2026 Q1
CF Industries Holdings (CF) Gross Margin — Quarter Ended Mar 31, 2026
Revenue increased compared with the prior quarter and the same quarter last year. Gross profit rose year over year but declined sequentially, as cost of revenue grew faster than revenue, leading gross margin to weaken relative to the prior quarter while improving versus a year ago.
Gross margin takeaway
Quarter ended Mar 31, 2026 · FY2026 Q1
Revenue increased compared with the prior quarter and the same quarter last year. Gross profit rose year over year but declined sequentially, as cost of revenue grew faster than revenue, leading gross margin to weaken relative to the prior quarter while improving versus a year ago.
- Gross margin improved year over year as revenue growth outpaced the increase in cost of revenue. Sequentially, gross margin contracted because cost of revenue rose more rapidly than revenue.
- Compared with the immediately preceding quarter, gross margin was lower, driven by a larger increase in cost of revenue relative to revenue. Versus the same quarter one year earlier, gross margin was higher, supported by stronger revenue growth against a similar cost base.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
37.6%
Gross profit
$746.0M
Revenue
$2.0B
Cost of revenue
$1.2B
Quarter-over-quarter change
-3.3 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 |
|---|---|---|---|---|
| Jun 30, 2025 | $1.9B | $755.0M | $1.1B | 39.9% |
| Sep 30, 2025 | $1.7B | $632.0M | $1.0B | 38.1% |
| Dec 31, 2025 | $1.9B | $765.0M | $1.1B | 40.9% |
| Mar 31, 2026 | $2.0B | $746.0M | $1.2B | 37.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2025
-3.3 pts
Year-over-year change
Mar 31, 2025
+3.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin improved year over year as revenue growth outpaced the increase in cost of revenue. Sequentially, gross margin contracted because cost of revenue rose more rapidly than revenue.
Compared with the immediately preceding quarter, gross margin was lower, driven by a larger increase in cost of revenue relative to revenue. Versus the same quarter one year earlier, gross margin was higher, supported by stronger revenue growth against a similar cost base.
Monitor the trajectory of cost of revenue relative to revenue in subsequent quarters, as its faster sequential growth compressed gross margin.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| CF Industries Holdings, Inc. (CF) | 37.6% |