ConocoPhillips stock research
FY2025 Q4
ConocoPhillips (COP) Gross Margin — Quarter Ended Dec 31, 2025
Revenue and gross profit both decreased compared to the prior quarter and the same quarter last year. Gross margin weakened relative to both periods, as the decline in gross profit outpaced the reduction in revenue.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue and gross profit both decreased compared to the prior quarter and the same quarter last year. Gross margin weakened relative to both periods, as the decline in gross profit outpaced the reduction in revenue.
- The decline in gross profit was the primary factor behind the margin compression, as cost of revenue decreased at a slower rate than revenue.
- Compared to the prior quarter, revenue and gross profit were lower, while cost of revenue also decreased. Gross margin weakened. Versus the same quarter a year ago, revenue and gross profit were lower, cost of revenue was slightly higher, and gross margin weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
54.4%
Gross profit
$6.2B
Revenue
$11.4B
Cost of revenue
$5.2B
Quarter-over-quarter change
-1.7 pts
Year-over-year change
-5.8 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, 2025 | $14.5B | $8.3B | $6.2B | 57.3% |
| Jun 30, 2025 | $12.6B | $7.5B | $5.1B | 59.7% |
| Sep 30, 2025 | $13.3B | $7.5B | $5.9B | 56.1% |
| Dec 31, 2025 | $11.4B | $6.2B | $5.2B | 54.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
-1.7 pts
Year-over-year change
Dec 31, 2024
-5.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The decline in gross profit was the primary factor behind the margin compression, as cost of revenue decreased at a slower rate than revenue.
Compared to the prior quarter, revenue and gross profit were lower, while cost of revenue also decreased. Gross margin weakened. Versus the same quarter a year ago, revenue and gross profit were lower, cost of revenue was slightly higher, and gross margin weakened.
Monitor the trajectory of cost of revenue relative to revenue, as its slower decline contributed to margin pressure.