DO

Healthpeak Properties, Inc. stock research

Dec 31, 2024

FY2024 Q4

Healthpeak Properties (DOC) Gross Margin — Quarter Ended Dec 31, 2024

Revenue increased while cost of revenue decreased, resulting in a smaller gross loss and an improved gross margin compared to the prior quarter. However, cost of revenue grew more than revenue relative to the same quarter last year, leading to a larger gross loss and a weakened gross margin year over year.

Gross margin takeaway

Quarter ended Dec 31, 2024 · FY2024 Q4

Revenue increased while cost of revenue decreased, resulting in a smaller gross loss and an improved gross margin compared to the prior quarter. However, cost of revenue grew more than revenue relative to the same quarter last year, leading to a larger gross loss and a weakened gross margin year over year.

  • The most significant observable driver of gross margin was the change in cost of revenue relative to revenue, as the current quarter's cost of revenue declined while revenue rose sequentially, narrowing the gross loss.
  • Compared to the previous quarter, gross margin improved as the gross loss decreased. Compared to the same quarter one year ago, gross margin weakened as the gross loss increased.

Gross margin snapshot

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

Gross margin

-89.8%

Gross profit

-$131.1M

Revenue

$146.0M

Cost of revenue

$277.0M

Quarter-over-quarter change

+6.4 pts

Year-over-year change

-25.2 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$138.8M-$105.0M$243.7M-75.6%
Jun 30, 2024$140.9M-$132.9M$273.8M-94.4%
Sep 30, 2024$142.8M-$137.4M$280.3M-96.2%
Dec 31, 2024$146.0M-$131.1M$277.0M-89.8%

Quarterly comparisons

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

Previous-quarter change

Sep 30, 2024

+6.4 pts

Year-over-year change

Dec 31, 2023

-25.2 pts

What the margin says

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

The most significant observable driver of gross margin was the change in cost of revenue relative to revenue, as the current quarter's cost of revenue declined while revenue rose sequentially, narrowing the gross loss.

Compared to the previous quarter, gross margin improved as the gross loss decreased. Compared to the same quarter one year ago, gross margin weakened as the gross loss increased.

Monitor the trajectory of cost of revenue relative to revenue, as its growth rate has a direct impact on gross margin.