SBA Communications Corporation stock research
FY2024 Q2
SBA Communications (SBAC) Gross Margin — Quarter Ended Jun 30, 2024
Revenue was negative, which combined with a positive gross profit resulted in a negative gross margin. Cost of revenue was lower than gross profit, yet the negative revenue drove the margin into negative territory.
Gross margin takeaway
Quarter ended Jun 30, 2024 · FY2024 Q2
Revenue was negative, which combined with a positive gross profit resulted in a negative gross margin. Cost of revenue was lower than gross profit, yet the negative revenue drove the margin into negative territory.
- The negative revenue figure is the primary factor behind the negative gross margin, as gross profit remained positive and cost of revenue was relatively stable.
- Compared to the immediately preceding quarter, revenue turned from positive to negative, gross profit was slightly lower, cost of revenue was higher, and gross margin weakened from positive to negative. Compared to the same quarter one year earlier, revenue remained negative but was less negative, gross profit was slightly lower, cost of revenue was lower, and gross margin improved from a more negative level.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
-87.4%
Gross profit
$519.2M
Revenue
-$594.3M
Cost of revenue
$141.3M
Quarter-over-quarter change
-166.4 pts
Year-over-year change
+5.4 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 |
|---|---|---|---|---|
| Jun 30, 2023 | -$564.9M | $524.3M | $154.3M | -92.8% |
| Sep 30, 2023 | $45.1M | $532.8M | $149.8M | 1181.2% |
| Mar 31, 2024 | $657.9M | $519.9M | $138.0M | 79.0% |
| Jun 30, 2024 | -$594.3M | $519.2M | $141.3M | -87.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2024
-166.4 pts
Year-over-year change
Jun 30, 2023
+5.4 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The negative revenue figure is the primary factor behind the negative gross margin, as gross profit remained positive and cost of revenue was relatively stable.
Compared to the immediately preceding quarter, revenue turned from positive to negative, gross profit was slightly lower, cost of revenue was higher, and gross margin weakened from positive to negative. Compared to the same quarter one year earlier, revenue remained negative but was less negative, gross profit was slightly lower, cost of revenue was lower, and gross margin improved from a more negative level.
Monitor the trajectory of revenue, as its sign and magnitude directly determine gross margin direction.