Marathon Petroleum Corporation stock research
FY2024 Q2
Marathon Petroleum (MPC) Gross Margin — Quarter Ended Jun 30, 2024
Revenue increased compared to the prior quarter, while gross profit also rose, leading to an improvement in gross margin. However, compared to the same quarter last year, gross profit and gross margin were lower despite higher revenue.
Gross margin takeaway
Quarter ended Jun 30, 2024 · FY2024 Q2
Revenue increased compared to the prior quarter, while gross profit also rose, leading to an improvement in gross margin. However, compared to the same quarter last year, gross profit and gross margin were lower despite higher revenue.
- The relationship between revenue and cost of revenue shifted favorably from the prior quarter, as gross profit grew at a faster pace relative to revenue. This was the strongest observable driver of the margin improvement.
- Gross margin improved sequentially from the prior quarter but weakened compared to the same quarter one year earlier. Revenue was higher than both the prior quarter and the year-ago quarter.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
10.5%
Gross profit
$4.0B
Revenue
$37.9B
Cost of revenue
$33.9B
Quarter-over-quarter change
+1.0 pts
Year-over-year change
-2.1 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 | $40.9B | $6.0B | $34.9B | 14.6% |
| Dec 31, 2023 | $36.3B | $3.7B | $32.6B | 10.1% |
| Mar 31, 2024 | $32.7B | $3.1B | $29.6B | 9.5% |
| Jun 30, 2024 | $37.9B | $4.0B | $33.9B | 10.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2024
+1.0 pts
Year-over-year change
Jun 30, 2023
-2.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The relationship between revenue and cost of revenue shifted favorably from the prior quarter, as gross profit grew at a faster pace relative to revenue. This was the strongest observable driver of the margin improvement.
Gross margin improved sequentially from the prior quarter but weakened compared to the same quarter one year earlier. Revenue was higher than both the prior quarter and the year-ago quarter.
Monitor the trajectory of gross profit relative to revenue in upcoming quarters to assess whether the margin improvement can be sustained.