The Mosaic Company stock research
FY2024 Q2
The Mosaic (MOS) Gross Margin — Quarter Ended Jun 30, 2024
Revenue increased compared to the prior quarter, but gross profit was slightly lower, resulting in a weakened gross margin. Compared to the same quarter last year, revenue, gross profit, and gross margin were all lower.
Gross margin takeaway
Quarter ended Jun 30, 2024 · FY2024 Q2
Revenue increased compared to the prior quarter, but gross profit was slightly lower, resulting in a weakened gross margin. Compared to the same quarter last year, revenue, gross profit, and gross margin were all lower.
- Cost of revenue increased at a faster pace than revenue from the prior quarter, compressing gross margin. The year-over-year decline in gross margin was driven by a proportionally larger drop in gross profit relative to revenue.
- Compared to the immediately preceding quarter, gross margin weakened as gross profit decreased slightly while revenue increased. Compared to the same quarter one year earlier, gross margin was lower, with both revenue and gross profit declining.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
14.0%
Gross profit
$394.0M
Revenue
$2.8B
Cost of revenue
$2.4B
Quarter-over-quarter change
-0.9 pts
Year-over-year change
-2.8 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 | $3.5B | $409.6M | $3.1B | 11.5% |
| Dec 31, 2023 | $3.1B | $559.5M | $2.6B | 17.8% |
| Mar 31, 2024 | $2.7B | $399.2M | $2.3B | 14.9% |
| Jun 30, 2024 | $2.8B | $394.0M | $2.4B | 14.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2024
-0.9 pts
Year-over-year change
Jun 30, 2023
-2.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Cost of revenue increased at a faster pace than revenue from the prior quarter, compressing gross margin. The year-over-year decline in gross margin was driven by a proportionally larger drop in gross profit relative to revenue.
Compared to the immediately preceding quarter, gross margin weakened as gross profit decreased slightly while revenue increased. Compared to the same quarter one year earlier, gross margin was lower, with both revenue and gross profit declining.
Monitor the trajectory of cost of revenue relative to revenue, as its faster growth in the current quarter was the primary observable factor behind the margin compression.