Carvana Co. stock research
FY2025 Q2
Carvana (CVNA) Gross Margin — Quarter Ended Jun 30, 2025
Revenue and gross profit both increased compared to the previous quarter and the same quarter last year, while cost of revenue also rose. Gross margin remained stable from the prior quarter and improved relative to the year-ago period, reflecting a higher proportion of gross profit relative to revenue.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
Revenue and gross profit both increased compared to the previous quarter and the same quarter last year, while cost of revenue also rose. Gross margin remained stable from the prior quarter and improved relative to the year-ago period, reflecting a higher proportion of gross profit relative to revenue.
- The strongest observable driver is gross margin stability quarter over quarter, supported by a similar rate of gross profit growth relative to revenue. This indicates consistent cost efficiency in converting revenue into gross profit.
- Compared to the immediately preceding quarter, gross margin remained unchanged, while revenue and gross profit grew at comparable rates. Relative to the same quarter one year earlier, gross margin is higher, driven by a larger share of gross profit in revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
22.0%
Gross profit
$1.1B
Revenue
$4.8B
Cost of revenue
$3.8B
Quarter-over-quarter change
+0.0 pts
Year-over-year change
+1.0 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 | $3.7B | $807.0M | $2.8B | 22.1% |
| Dec 31, 2024 | $3.5B | $763.0M | $2.8B | 21.5% |
| Mar 31, 2025 | $4.2B | $929.0M | $3.3B | 22.0% |
| Jun 30, 2025 | $4.8B | $1.1B | $3.8B | 22.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
+0.0 pts
Year-over-year change
Jun 30, 2024
+1.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver is gross margin stability quarter over quarter, supported by a similar rate of gross profit growth relative to revenue. This indicates consistent cost efficiency in converting revenue into gross profit.
Compared to the immediately preceding quarter, gross margin remained unchanged, while revenue and gross profit grew at comparable rates. Relative to the same quarter one year earlier, gross margin is higher, driven by a larger share of gross profit in revenue.
Monitor whether cost of revenue growth outpaces revenue growth in future periods, as that could pressure gross margin.