Fastenal Company stock research
FY2025 Q4
Fastenal (FAST) Gross Margin — Quarter Ended Dec 31, 2025
Revenue and gross profit for the quarter were lower than the prior quarter but higher than the same quarter last year. Gross margin weakened compared to both periods, reflecting a less favorable relationship between revenue and cost of revenue.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue and gross profit for the quarter were lower than the prior quarter but higher than the same quarter last year. Gross margin weakened compared to both periods, reflecting a less favorable relationship between revenue and cost of revenue.
- The decline in gross margin from both the prior quarter and the prior year quarter was the strongest observable driver, as revenue decreased while cost of revenue did not decline proportionally.
- Compared to the immediately preceding quarter, revenue was lower and cost of revenue was lower, but gross profit and gross margin were both lower. Compared to the same quarter one year earlier, revenue and gross profit were higher, while gross margin was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
44.3%
Gross profit
$898.7M
Revenue
$2.0B
Cost of revenue
$1.1B
Quarter-over-quarter change
-0.9 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 |
|---|---|---|---|---|
| Mar 31, 2025 | $2.0B | $883.9M | $1.1B | 45.1% |
| Jun 30, 2025 | $2.1B | $942.8M | $1.1B | 45.3% |
| Sep 30, 2025 | $2.1B | $965.8M | $1.2B | 45.3% |
| Dec 31, 2025 | $2.0B | $898.7M | $1.1B | 44.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
-0.9 pts
Year-over-year change
Dec 31, 2024
-0.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The decline in gross margin from both the prior quarter and the prior year quarter was the strongest observable driver, as revenue decreased while cost of revenue did not decline proportionally.
Compared to the immediately preceding quarter, revenue was lower and cost of revenue was lower, but gross profit and gross margin were both lower. Compared to the same quarter one year earlier, revenue and gross profit were higher, while gross margin was lower.
Monitor whether revenue stabilizes or grows in upcoming quarters, as the recent decline coincided with a weaker gross margin.