EMCOR Group, Inc. stock research
FY2025 Q3
EMCOR Group (EME) Gross Margin — Quarter Ended Sep 30, 2025
Revenue and gross profit both increased compared to the same quarter last year, while cost of revenue rose proportionally, resulting in a slightly lower gross margin. Compared to the immediately preceding quarter, revenue, gross profit, cost of revenue, and gross margin were all stable.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2025 Q3
Revenue and gross profit both increased compared to the same quarter last year, while cost of revenue rose proportionally, resulting in a slightly lower gross margin. Compared to the immediately preceding quarter, revenue, gross profit, cost of revenue, and gross margin were all stable.
- The strongest observable margin driver is the stability of gross margin between the current and immediately preceding quarter, indicating consistent cost and revenue relationships. The slight weakening compared to the same quarter last year is driven by a higher proportion of cost of revenue relative to revenue.
- Compared to the same quarter one year earlier, revenue and gross profit were higher, but gross margin was slightly lower. Compared to the immediately preceding quarter, all metrics were essentially unchanged.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
19.4%
Gross profit
$835.3M
Revenue
$4.3B
Cost of revenue
$3.5B
Quarter-over-quarter change
+0.0 pts
Year-over-year change
-0.5 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 |
|---|---|---|---|---|
| Dec 31, 2024 | $3.8B | $757.0M | $3.0B | 20.1% |
| Mar 31, 2025 | $3.9B | $722.7M | $3.1B | 18.7% |
| Jun 30, 2025 | $4.3B | $833.8M | $3.5B | 19.4% |
| Sep 30, 2025 | $4.3B | $835.3M | $3.5B | 19.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
+0.0 pts
Year-over-year change
Sep 30, 2024
-0.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the stability of gross margin between the current and immediately preceding quarter, indicating consistent cost and revenue relationships. The slight weakening compared to the same quarter last year is driven by a higher proportion of cost of revenue relative to revenue.
Compared to the same quarter one year earlier, revenue and gross profit were higher, but gross margin was slightly lower. Compared to the immediately preceding quarter, all metrics were essentially unchanged.
Monitor the trend in gross margin relative to revenue growth, as the slight year-over-year weakening may persist if cost of revenue continues to rise proportionally.