FC

Freeport-McMoRan Inc. stock research

Mar 31, 2025

FY2025 Q1

Freeport-McMoRan (FCX) Gross Margin — Quarter Ended Mar 31, 2025

The company's gross margin weakened in the current quarter compared to both the immediately preceding quarter and the same quarter one year ago. Revenue and gross profit were lower, while cost of revenue declined less than revenue.

Gross margin takeaway

Quarter ended Mar 31, 2025 · FY2025 Q1

The company's gross margin weakened in the current quarter compared to both the immediately preceding quarter and the same quarter one year ago. Revenue and gross profit were lower, while cost of revenue declined less than revenue.

  • The primary observable factor was that cost of revenue did not decline in proportion to the decrease in revenue, leading to margin compression.
  • Compared to the prior quarter, revenue, gross profit, and gross margin were lower, while cost of revenue was slightly lower. Year-over-year, all three metrics were lower, with gross margin notably weaker.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

24.3%

Gross profit

$1.4B

Revenue

$5.6B

Cost of revenue

$4.2B

Quarter-over-quarter change

-2.7 pts

Year-over-year change

-4.3 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2024$6.4B$2.0B$4.4B31.5%
Sep 30, 2024$6.7B$2.0B$4.7B30.0%
Dec 31, 2024$5.9B$1.6B$4.3B27.0%
Mar 31, 2025$5.6B$1.4B$4.2B24.3%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Dec 31, 2024

-2.7 pts

Year-over-year change

Mar 31, 2024

-4.3 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The primary observable factor was that cost of revenue did not decline in proportion to the decrease in revenue, leading to margin compression.

Compared to the prior quarter, revenue, gross profit, and gross margin were lower, while cost of revenue was slightly lower. Year-over-year, all three metrics were lower, with gross margin notably weaker.

Track whether cost of revenue continues to decline at a slower pace than revenue.

FCX Gross Margin — Quarter Ended Mar 31, 2025