Freeport-McMoRan Inc. stock research
FY2025 Q4
Freeport-McMoRan (FCX) Gross Margin — Quarter Ended Dec 31, 2025
Revenue decreased from the prior quarter and from the same quarter a year ago, while cost of revenue decreased only slightly relative to the prior quarter and increased relative to the year-ago quarter. Consequently, gross profit and gross margin both declined sharply, with the margin weakening significantly.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue decreased from the prior quarter and from the same quarter a year ago, while cost of revenue decreased only slightly relative to the prior quarter and increased relative to the year-ago quarter. Consequently, gross profit and gross margin both declined sharply, with the margin weakening significantly.
- The primary observable driver is that the decline in revenue was proportionally much larger than the reduction in cost of revenue, compressing gross profit. Compared to the year-ago quarter, cost of revenue rose even as revenue fell, further eroding margins.
- Compared to the immediately preceding quarter, both revenue and gross profit were lower, and gross margin weakened. Compared to the same quarter one year earlier, revenue was lower, gross profit was substantially lower, and gross margin also weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
12.4%
Gross profit
$651.0M
Revenue
$5.3B
Cost of revenue
$4.6B
Quarter-over-quarter change
-16.8 pts
Year-over-year change
-14.6 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 | $5.6B | $1.4B | $4.2B | 24.3% |
| Jun 30, 2025 | $7.5B | $2.6B | $5.0B | 34.2% |
| Sep 30, 2025 | $6.8B | $2.0B | $4.8B | 29.2% |
| Dec 31, 2025 | $5.3B | $651.0M | $4.6B | 12.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
-16.8 pts
Year-over-year change
Dec 31, 2024
-14.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary observable driver is that the decline in revenue was proportionally much larger than the reduction in cost of revenue, compressing gross profit. Compared to the year-ago quarter, cost of revenue rose even as revenue fell, further eroding margins.
Compared to the immediately preceding quarter, both revenue and gross profit were lower, and gross margin weakened. Compared to the same quarter one year earlier, revenue was lower, gross profit was substantially lower, and gross margin also weakened.
Monitor the relationship between revenue and cost of revenue, as a further divergence could continue to pressure gross margin.