Extra Space Storage Inc. stock research
FY2023 Q1
Extra Space Storage (EXR) Gross Margin — Quarter Ended Mar 31, 2023
Revenue was higher than both the prior quarter and the same quarter a year earlier. Cost of revenue was also higher, and gross profit was lower, resulting in a weakened gross margin that remained negative.
Gross margin takeaway
Quarter ended Mar 31, 2023 · FY2023 Q1
Revenue was higher than both the prior quarter and the same quarter a year earlier. Cost of revenue was also higher, and gross profit was lower, resulting in a weakened gross margin that remained negative.
- The gap between revenue and cost of revenue widened, as cost of revenue grew more than revenue. This was the primary factor behind the decline in gross profit and the further weakening of gross margin.
- Compared with the immediately preceding quarter, revenue was slightly higher but gross profit was lower and gross margin weakened. Versus the same quarter one year earlier, revenue was higher while gross profit was lower and gross margin also weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
-447.9%
Gross profit
-$95.8M
Revenue
$21.4M
Cost of revenue
$117.2M
Quarter-over-quarter change
n/a
Year-over-year change
-29.1 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 | $21.4M | -$95.8M | $117.2M | -447.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Previous quarter unavailable
n/a
Year-over-year change
Mar 31, 2022
-29.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gap between revenue and cost of revenue widened, as cost of revenue grew more than revenue. This was the primary factor behind the decline in gross profit and the further weakening of gross margin.
Compared with the immediately preceding quarter, revenue was slightly higher but gross profit was lower and gross margin weakened. Versus the same quarter one year earlier, revenue was higher while gross profit was lower and gross margin also weakened.
Monitor the trend of cost of revenue relative to revenue, as the widening gap has been the strongest observable driver of margin pressure.