Martin Marietta Materials, Inc. stock research
FY2024 Q2
Martin Marietta Materials (MLM) Gross Margin — Quarter Ended Jun 30, 2024
Revenue and gross profit both increased compared to the prior quarter, while cost of revenue rose at a slower pace, leading to an improved gross margin. Compared to the same quarter last year, revenue was higher but gross profit was lower, and cost of revenue decreased less proportionally, resulting in a weakened gross margin.
Gross margin takeaway
Quarter ended Jun 30, 2024 · FY2024 Q2
Revenue and gross profit both increased compared to the prior quarter, while cost of revenue rose at a slower pace, leading to an improved gross margin. Compared to the same quarter last year, revenue was higher but gross profit was lower, and cost of revenue decreased less proportionally, resulting in a weakened gross margin.
- The strongest observable margin driver is the relationship between revenue and cost of revenue: revenue grew faster than cost of revenue from the prior quarter, supporting margin improvement.
- Compared to the prior quarter, gross margin improved as revenue increased more than cost of revenue. Compared to the same quarter last year, gross margin weakened as revenue rose but gross profit fell.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
27.6%
Gross profit
$540.0M
Revenue
$2.0B
Cost of revenue
$1.2B
Quarter-over-quarter change
+3.9 pts
Year-over-year change
-3.2 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 |
|---|---|---|---|---|
| Sep 30, 2023 | $2.0B | $676.0M | $1.3B | 33.9% |
| Dec 31, 2023 | $682.0M | $206.0M | $476.0M | 30.2% |
| Mar 31, 2024 | $1.1B | $250.0M | $979.0M | 23.7% |
| Jun 30, 2024 | $2.0B | $540.0M | $1.2B | 27.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2024
+3.9 pts
Year-over-year change
Jun 30, 2023
-3.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between revenue and cost of revenue: revenue grew faster than cost of revenue from the prior quarter, supporting margin improvement.
Compared to the prior quarter, gross margin improved as revenue increased more than cost of revenue. Compared to the same quarter last year, gross margin weakened as revenue rose but gross profit fell.
Monitor the trend in cost of revenue relative to revenue, as its movement directly impacts gross margin.