Freeport-McMoRan Inc. stock research
FY2024 Q3
Freeport-McMoRan (FCX) Gross Margin — Quarter Ended Sep 30, 2024
Revenue increased while cost of revenue grew at the same rate, leaving gross profit unchanged and causing gross margin to weaken slightly from the prior quarter. Compared with the same quarter last year, both revenue and cost were higher, with gross profit improving modestly while gross margin remained broadly stable.
Gross margin takeaway
Quarter ended Sep 30, 2024 · FY2024 Q3
Revenue increased while cost of revenue grew at the same rate, leaving gross profit unchanged and causing gross margin to weaken slightly from the prior quarter. Compared with the same quarter last year, both revenue and cost were higher, with gross profit improving modestly while gross margin remained broadly stable.
- The most observable margin driver this quarter is the parallel increase in cost of revenue alongside revenue, which prevented gross profit from expanding and led to a lower gross margin.
- Gross margin weakened sequentially from the prior quarter but was nearly in line with the same quarter one year earlier.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
30.0%
Gross profit
$2.0B
Revenue
$6.7B
Cost of revenue
$4.7B
Quarter-over-quarter change
-1.5 pts
Year-over-year change
-0.3 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, 2023 | $5.8B | $1.8B | $3.9B | 31.9% |
| Mar 31, 2024 | $6.2B | $1.8B | $4.4B | 28.5% |
| Jun 30, 2024 | $6.4B | $2.0B | $4.4B | 31.5% |
| Sep 30, 2024 | $6.7B | $2.0B | $4.7B | 30.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2024
-1.5 pts
Year-over-year change
Sep 30, 2023
-0.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most observable margin driver this quarter is the parallel increase in cost of revenue alongside revenue, which prevented gross profit from expanding and led to a lower gross margin.
Gross margin weakened sequentially from the prior quarter but was nearly in line with the same quarter one year earlier.
Monitor the relationship between cost growth and revenue growth in future quarters.