Occidental Petroleum Corporation stock research
FY2025 Q2
Occidental Petroleum (OXY) Gross Margin — Quarter Ended Jun 30, 2025
Revenue and gross profit both increased from the preceding quarter, while cost of revenue rose less proportionally, resulting in a slightly improved gross margin. Compared with the same quarter one year earlier, revenue and gross profit were lower, cost of revenue was also lower, and gross margin remained unchanged.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
Revenue and gross profit both increased from the preceding quarter, while cost of revenue rose less proportionally, resulting in a slightly improved gross margin. Compared with the same quarter one year earlier, revenue and gross profit were lower, cost of revenue was also lower, and gross margin remained unchanged.
- The gross margin improvement from the preceding quarter was driven by a smaller relative increase in cost of revenue compared with the increase in revenue. Year-over-year, the margin was stable as cost of revenue declined in line with the decline in revenue.
- Sequentially, gross margin improved slightly as revenue grew faster than cost of revenue. Year-over-year, gross margin was unchanged despite lower revenue and cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
86.6%
Gross profit
$5.5B
Revenue
$6.3B
Cost of revenue
$847.0M
Quarter-over-quarter change
+0.4 pts
Year-over-year change
-0.0 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 | $7.0B | $6.1B | $889.0M | 87.3% |
| Dec 31, 2024 | $2.2B | $1.7B | $494.0M | 77.1% |
| Mar 31, 2025 | $5.8B | $5.0B | $801.0M | 86.2% |
| Jun 30, 2025 | $6.3B | $5.5B | $847.0M | 86.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
+0.4 pts
Year-over-year change
Jun 30, 2024
-0.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improvement from the preceding quarter was driven by a smaller relative increase in cost of revenue compared with the increase in revenue. Year-over-year, the margin was stable as cost of revenue declined in line with the decline in revenue.
Sequentially, gross margin improved slightly as revenue grew faster than cost of revenue. Year-over-year, gross margin was unchanged despite lower revenue and cost of revenue.
Monitor the trend in cost of revenue relative to revenue to assess whether the current margin level can be sustained.