CoStar Group, Inc. stock research
FY2026 Q1
CoStar Group (CSGP) Gross Margin & Quarterly History
Explore CoStar Group, Inc. (CSGP) gross margin from 2023 through the latest reported quarter, using SEC-sourced revenue, gross profit, and direct costs.
Gross margin takeaway
Quarter ended Mar 31, 2026 · FY2026 Q1
Revenue and gross profit were lower than the prior quarter but higher than the same quarter last year. Cost of revenue increased relative to both prior periods, leading to a gross margin that weakened compared to both the prior quarter and the year-ago quarter.
- The primary observable margin driver is the increase in cost of revenue relative to revenue. The filing's management discussion focuses on liquidity and capital resources, with no direct commentary on margin drivers.
- Compared to the prior quarter, revenue and gross profit decreased while cost of revenue increased, resulting in a lower gross margin. Compared to the same quarter a year ago, revenue and gross profit grew, but cost of revenue grew at a faster pace, causing gross margin to decline.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
78.1%
Gross profit
$701.0M
Revenue
$897.0M
Cost of revenue
$196.0M
Quarter-over-quarter change
-0.4 pts
Year-over-year change
-0.9 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 | $781.3M | $613.5M | $167.8M | 78.5% |
| Sep 30, 2025 | $833.6M | $661.4M | $172.2M | 79.3% |
| Dec 31, 2025 | $899.9M | $707.2M | $192.7M | 78.6% |
| Mar 31, 2026 | $897.0M | $701.0M | $196.0M | 78.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2025
-0.4 pts
Year-over-year change
Mar 31, 2025
-0.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary observable margin driver is the increase in cost of revenue relative to revenue. The filing's management discussion focuses on liquidity and capital resources, with no direct commentary on margin drivers.
Compared to the prior quarter, revenue and gross profit decreased while cost of revenue increased, resulting in a lower gross margin. Compared to the same quarter a year ago, revenue and gross profit grew, but cost of revenue grew at a faster pace, causing gross margin to decline.
Monitor the relationship between cost of revenue growth and revenue growth in upcoming quarters.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| CoStar Group, Inc. (CSGP) | 78.1% |