ONEOK, Inc. stock research
FY2025 Q2
ONEOK (OKE) Gross Margin — Quarter Ended Jun 30, 2025
Revenue decreased slightly from the prior quarter, while gross profit increased, leading to an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but gross margin was lower due to a proportionally larger increase in cost of revenue.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
Revenue decreased slightly from the prior quarter, while gross profit increased, leading to an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but gross margin was lower due to a proportionally larger increase in cost of revenue.
- The improvement in gross margin from the prior quarter was driven by a reduction in cost of revenue relative to revenue. The strongest observable driver is the lower cost of revenue, which outpaced the slight decline in revenue.
- Compared to the prior quarter, gross margin improved as gross profit rose while revenue fell slightly. Versus the same quarter last year, gross margin weakened because cost of revenue grew faster than revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
32.0%
Gross profit
$2.5B
Revenue
$7.9B
Cost of revenue
$5.4B
Quarter-over-quarter change
+2.3 pts
Year-over-year change
-8.9 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 |
|---|---|---|---|---|
| Sep 30, 2024 | $5.0B | $2.0B | $3.0B | 39.7% |
| Dec 31, 2024 | $7.0B | $2.5B | $4.5B | 35.8% |
| Mar 31, 2025 | $8.0B | $2.4B | $5.7B | 29.7% |
| Jun 30, 2025 | $7.9B | $2.5B | $5.4B | 32.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
+2.3 pts
Year-over-year change
Jun 30, 2024
-8.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The improvement in gross margin from the prior quarter was driven by a reduction in cost of revenue relative to revenue. The strongest observable driver is the lower cost of revenue, which outpaced the slight decline in revenue.
Compared to the prior quarter, gross margin improved as gross profit rose while revenue fell slightly. Versus the same quarter last year, gross margin weakened because cost of revenue grew faster than revenue.
Monitor the trend in cost of revenue, as its growth relative to revenue has a significant impact on gross margin.