PPG Industries, Inc. stock research
FY2024 Q3
PPG Industries (PPG) Gross Margin — Quarter Ended Sep 30, 2024
Revenue, gross profit, and cost of revenue all decreased compared to the prior quarter and the same quarter last year. Gross margin weakened from the prior quarter but improved from the year-ago period.
Gross margin takeaway
Quarter ended Sep 30, 2024 · FY2024 Q3
Revenue, gross profit, and cost of revenue all decreased compared to the prior quarter and the same quarter last year. Gross margin weakened from the prior quarter but improved from the year-ago period.
- The margin decline from the prior quarter coincided with a larger decrease in revenue relative to cost of revenue. The year-over-year improvement coincided with a larger decrease in cost of revenue relative to revenue.
- Compared to the prior quarter, revenue and gross profit were lower, and gross margin weakened. Compared to the same quarter last year, revenue and gross profit were lower, but gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
40.9%
Gross profit
$1.7B
Revenue
$4.0B
Cost of revenue
$2.4B
Quarter-over-quarter change
-1.2 pts
Year-over-year change
+0.2 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 |
|---|---|---|---|---|
| Dec 31, 2023 | $2.3B | $882.0M | $1.5B | 37.6% |
| Mar 31, 2024 | $3.8B | $1.6B | $2.2B | 42.7% |
| Jun 30, 2024 | $4.2B | $1.8B | $2.5B | 42.1% |
| Sep 30, 2024 | $4.0B | $1.7B | $2.4B | 40.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2024
-1.2 pts
Year-over-year change
Sep 30, 2023
+0.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The margin decline from the prior quarter coincided with a larger decrease in revenue relative to cost of revenue. The year-over-year improvement coincided with a larger decrease in cost of revenue relative to revenue.
Compared to the prior quarter, revenue and gross profit were lower, and gross margin weakened. Compared to the same quarter last year, revenue and gross profit were lower, but gross margin improved.
Monitor the trend in cost of revenue relative to revenue, as shifts in this relationship have been the key observable factor in margin changes.