Extra Space Storage Inc. stock research
FY2024 Q4
Extra Space Storage (EXR) Gross Margin — Quarter Ended Dec 31, 2024
Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross profit and gross margin weakened over both periods, with gross profit remaining negative and gross margin declining further.
Gross margin takeaway
Quarter ended Dec 31, 2024 · FY2024 Q4
Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross profit and gross margin weakened over both periods, with gross profit remaining negative and gross margin declining further.
- The relationship between revenue and cost of revenue shows that cost of revenue grew faster than revenue, driving gross profit lower and gross margin more negative. This pattern is consistent across both comparison periods.
- Compared to the immediately preceding quarter, revenue was higher but cost of revenue was also higher, resulting in a lower gross profit and a more negative gross margin. Versus the same quarter one year earlier, revenue was higher while cost of revenue was higher, again leading to a lower gross profit and a more negative gross margin.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
-614.0%
Gross profit
-$190.1M
Revenue
$31.0M
Cost of revenue
$221.1M
Quarter-over-quarter change
-14.5 pts
Year-over-year change
-72.0 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, 2024 | $30.1M | -$174.4M | $204.5M | -578.4% |
| Jun 30, 2024 | $29.9M | -$167.0M | $196.9M | -559.5% |
| Sep 30, 2024 | $29.9M | -$179.2M | $209.0M | -599.5% |
| Dec 31, 2024 | $31.0M | -$190.1M | $221.1M | -614.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
-14.5 pts
Year-over-year change
Dec 31, 2023
-72.0 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 shows that cost of revenue grew faster than revenue, driving gross profit lower and gross margin more negative. This pattern is consistent across both comparison periods.
Compared to the immediately preceding quarter, revenue was higher but cost of revenue was also higher, resulting in a lower gross profit and a more negative gross margin. Versus the same quarter one year earlier, revenue was higher while cost of revenue was higher, again leading to a lower gross profit and a more negative gross margin.
Monitor the trajectory of cost of revenue relative to revenue, as its faster growth continues to pressure gross margin.