Generac Holdings Inc. stock research
FY2025 Q1
Generac Holdings (GNRC) Gross Margin — Quarter Ended Mar 31, 2025
In the first quarter of fiscal 2025, revenue, gross profit, and gross margin all increased compared to the same quarter last year, with cost of revenue remaining relatively stable. However, compared to the immediately preceding quarter, revenue, gross profit, and gross margin decreased, while cost of revenue also decreased.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
In the first quarter of fiscal 2025, revenue, gross profit, and gross margin all increased compared to the same quarter last year, with cost of revenue remaining relatively stable. However, compared to the immediately preceding quarter, revenue, gross profit, and gross margin decreased, while cost of revenue also decreased.
- The strongest observable margin driver is the improvement in gross margin compared to one year earlier, as gross profit grew while cost of revenue was nearly unchanged.
- Compared to the prior quarter, gross margin weakened; compared to the same quarter last year, gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
39.5%
Gross profit
$372.0M
Revenue
$942.1M
Cost of revenue
$570.1M
Quarter-over-quarter change
-1.1 pts
Year-over-year change
+3.9 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 |
|---|---|---|---|---|
| Jun 30, 2024 | $998.2M | $375.6M | $622.6M | 37.6% |
| Sep 30, 2024 | $1.2B | $472.3M | $701.3M | 40.2% |
| Dec 31, 2024 | $1.2B | $501.4M | $733.4M | 40.6% |
| Mar 31, 2025 | $942.1M | $372.0M | $570.1M | 39.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
-1.1 pts
Year-over-year change
Mar 31, 2024
+3.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the improvement in gross margin compared to one year earlier, as gross profit grew while cost of revenue was nearly unchanged.
Compared to the prior quarter, gross margin weakened; compared to the same quarter last year, gross margin improved.
Monitor the increase in inventory levels reported on the balance sheet.