ONEOK, Inc. stock research
FY2025 Q4
ONEOK (OKE) Gross Margin — Quarter Ended Dec 31, 2025
Revenue increased compared to the prior quarter and the same quarter last year. Gross profit remained stable sequentially but rose from the year-ago period, while cost of revenue grew at a faster pace, leading to a lower gross margin on both comparisons.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue increased compared to the prior quarter and the same quarter last year. Gross profit remained stable sequentially but rose from the year-ago period, while cost of revenue grew at a faster pace, leading to a lower gross margin on both comparisons.
- The most notable driver of the margin change was the increase in cost of revenue relative to revenue. This relationship weakened gross margin in both sequential and year-over-year comparisons.
- Sequentially, gross margin weakened as cost of revenue grew more than revenue. Year-over-year, gross margin also weakened as cost of revenue increased substantially.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
29.4%
Gross profit
$2.7B
Revenue
$9.1B
Cost of revenue
$6.4B
Quarter-over-quarter change
-1.5 pts
Year-over-year change
-6.3 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 |
|---|---|---|---|---|
| Mar 31, 2025 | $8.0B | $2.4B | $5.7B | 29.7% |
| Jun 30, 2025 | $7.9B | $2.5B | $5.4B | 32.0% |
| Sep 30, 2025 | $8.6B | $2.7B | $6.0B | 30.9% |
| Dec 31, 2025 | $9.1B | $2.7B | $6.4B | 29.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
-1.5 pts
Year-over-year change
Dec 31, 2024
-6.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most notable driver of the margin change was the increase in cost of revenue relative to revenue. This relationship weakened gross margin in both sequential and year-over-year comparisons.
Sequentially, gross margin weakened as cost of revenue grew more than revenue. Year-over-year, gross margin also weakened as cost of revenue increased substantially.
Monitor the trend of cost of revenue growth relative to revenue growth.