CN

CenterPoint Energy, Inc. stock research

Mar 31, 2024

FY2024 Q1

CenterPoint Energy (CNP) Gross Margin — Quarter Ended Mar 31, 2024

Revenue and gross profit both improved sequentially but declined compared with the same quarter a year earlier, while cost of revenue held steady. Gross margin remained at the same level sequentially and widened relative to the year-ago quarter.

Gross margin takeaway

Quarter ended Mar 31, 2024 · FY2024 Q1

Revenue and gross profit both improved sequentially but declined compared with the same quarter a year earlier, while cost of revenue held steady. Gross margin remained at the same level sequentially and widened relative to the year-ago quarter.

  • Revenue and gross profit moved in lockstep because cost of revenue was negligible throughout the periods. The strongest observable driver was the alignment between revenue growth and gross profit growth, which kept gross margin at its upper bound.
  • Revenue and gross profit were higher than the preceding quarter but lower than the same quarter one year earlier. Gross margin was unchanged versus the preceding quarter and improved from the year-ago quarter.

Gross margin snapshot

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

Gross margin

100.0%

Gross profit

$2.6B

Revenue

$2.6B

Cost of revenue

$1.0M

Quarter-over-quarter change

+0.0 pts

Year-over-year change

+1.4 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2023$1.9B$1.8B$57.0M97.0%
Sep 30, 2023$1.9B$1.9B$1.0M99.9%
Dec 31, 2023$2.1B$2.1B$1.0M100.0%
Mar 31, 2024$2.6B$2.6B$1.0M100.0%

Quarterly comparisons

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

Previous-quarter change

Dec 31, 2023

+0.0 pts

Year-over-year change

Mar 31, 2023

+1.4 pts

What the margin says

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

Revenue and gross profit moved in lockstep because cost of revenue was negligible throughout the periods. The strongest observable driver was the alignment between revenue growth and gross profit growth, which kept gross margin at its upper bound.

Revenue and gross profit were higher than the preceding quarter but lower than the same quarter one year earlier. Gross margin was unchanged versus the preceding quarter and improved from the year-ago quarter.

Monitor any change in cost of revenue, which has been minimal in the reported periods.