Healthpeak Properties, Inc. stock research
FY2025 Q1
Healthpeak Properties (DOC) Gross Margin — Quarter Ended Mar 31, 2025
Revenue increased compared with both the prior quarter and the same quarter last year, yet gross profit remained negative and gross margin weakened versus the year-ago period. The larger cost of revenue outpaced the revenue growth, resulting in an expanded negative gross margin.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue increased compared with both the prior quarter and the same quarter last year, yet gross profit remained negative and gross margin weakened versus the year-ago period. The larger cost of revenue outpaced the revenue growth, resulting in an expanded negative gross margin.
- The relationship between revenue and cost of revenue drove the negative gross margin. Although revenue rose, cost of revenue increased at a faster pace than revenue when compared with the same quarter one year earlier, and it declined more slowly than revenue versus the prior quarter.
- Compared with the immediately preceding quarter, gross margin improved as the negative margin narrowed, driven by a larger decline in cost of revenue relative to revenue. Compared with the same quarter one year earlier, gross margin weakened as cost of revenue grew faster than revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
-83.4%
Gross profit
-$124.2M
Revenue
$148.9M
Cost of revenue
$273.1M
Quarter-over-quarter change
+6.4 pts
Year-over-year change
-7.8 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, 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% |
| Mar 31, 2025 | $148.9M | -$124.2M | $273.1M | -83.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
+6.4 pts
Year-over-year change
Mar 31, 2024
-7.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The relationship between revenue and cost of revenue drove the negative gross margin. Although revenue rose, cost of revenue increased at a faster pace than revenue when compared with the same quarter one year earlier, and it declined more slowly than revenue versus the prior quarter.
Compared with the immediately preceding quarter, gross margin improved as the negative margin narrowed, driven by a larger decline in cost of revenue relative to revenue. Compared with the same quarter one year earlier, gross margin weakened as cost of revenue grew faster than revenue.
Monitor whether the cost of revenue continues to increase relative to revenue, as this pattern has pressured gross margin.