Healthpeak Properties, Inc. stock research
FY2023 Q4
Healthpeak Properties (DOC) Gross Margin — Quarter Ended Dec 31, 2023
Revenue was higher than the prior quarter but gross profit remained negative, widening the gap between revenue and cost of revenue. Gross margin improved sequentially yet remained deeply negative, and compared to the same quarter a year earlier, both revenue and profitability weakened substantially.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2023 Q4
Revenue was higher than the prior quarter but gross profit remained negative, widening the gap between revenue and cost of revenue. Gross margin improved sequentially yet remained deeply negative, and compared to the same quarter a year earlier, both revenue and profitability weakened substantially.
- Gross profit and gross margin both improved from the prior quarter, indicating a relative reduction in cost of revenue compared to revenue. However, gross margin remains negative, meaning cost of revenue continues to exceed revenue.
- Current quarter gross margin was higher than the immediately preceding quarter but lower than the same quarter a year earlier. Revenue increased from the prior quarter but was far below the year-ago level, while cost of revenue declined slightly from the prior quarter but remained above current revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
-64.6%
Gross profit
-$88.1M
Revenue
$136.3M
Cost of revenue
$224.4M
Quarter-over-quarter change
+9.3 pts
Year-over-year change
-122.5 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, 2023 | $127.1M | -$96.0M | $223.1M | -75.5% |
| Jun 30, 2023 | $130.2M | -$91.7M | $221.8M | -70.4% |
| Sep 30, 2023 | $133.8M | -$98.9M | $232.7M | -73.9% |
| Dec 31, 2023 | $136.3M | -$88.1M | $224.4M | -64.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2023
+9.3 pts
Year-over-year change
Dec 31, 2022
-122.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross profit and gross margin both improved from the prior quarter, indicating a relative reduction in cost of revenue compared to revenue. However, gross margin remains negative, meaning cost of revenue continues to exceed revenue.
Current quarter gross margin was higher than the immediately preceding quarter but lower than the same quarter a year earlier. Revenue increased from the prior quarter but was far below the year-ago level, while cost of revenue declined slightly from the prior quarter but remained above current revenue.
Monitor whether revenue can continue to increase relative to cost of revenue to reduce the negative gross margin.