CV

Chevron Corporation stock research

Dec 31, 2024

FY2024 Q4

Chevron (CVX) Gross Margin — Quarter Ended Dec 31, 2024

Revenue declined slightly from the prior quarter and was lower than the same quarter last year. Gross profit decreased more than proportionally, leading to a weakened gross margin compared to both periods.

Gross margin takeaway

Quarter ended Dec 31, 2024 · FY2024 Q4

Revenue declined slightly from the prior quarter and was lower than the same quarter last year. Gross profit decreased more than proportionally, leading to a weakened gross margin compared to both periods.

  • The decline in gross margin was primarily driven by a higher cost of revenue relative to revenue compared to the prior year, as revenue decreased while cost of revenue increased.
  • Compared to the immediately preceding quarter, gross margin was slightly lower, while compared to the same quarter one year earlier, gross margin was significantly lower.

Gross margin snapshot

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

Gross margin

37.6%

Gross profit

$18.2B

Revenue

$48.3B

Cost of revenue

$30.1B

Quarter-over-quarter change

-0.1 pts

Year-over-year change

-4.2 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2024$46.6B$18.8B$27.7B40.4%
Jun 30, 2024$49.6B$18.7B$30.9B37.7%
Sep 30, 2024$48.9B$18.5B$30.4B37.8%
Dec 31, 2024$48.3B$18.2B$30.1B37.6%

Quarterly comparisons

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

Previous-quarter change

Sep 30, 2024

-0.1 pts

Year-over-year change

Dec 31, 2023

-4.2 pts

What the margin says

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

The decline in gross margin was primarily driven by a higher cost of revenue relative to revenue compared to the prior year, as revenue decreased while cost of revenue increased.

Compared to the immediately preceding quarter, gross margin was slightly lower, while compared to the same quarter one year earlier, gross margin was significantly lower.

Monitor the trend of cost of revenue, which increased year-over-year despite lower revenue.