SBA Communications Corporation stock research
FY2025 Q2
SBA Communications (SBAC) Gross Margin — Quarter Ended Jun 30, 2025
For the current quarter, gross profit exceeded revenue, resulting in a gross margin above one hundred percent. Cost of revenue was also higher than revenue, contributing to an unusual margin structure where gross profit is the dominant component.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
For the current quarter, gross profit exceeded revenue, resulting in a gross margin above one hundred percent. Cost of revenue was also higher than revenue, contributing to an unusual margin structure where gross profit is the dominant component.
- The gross margin is primarily shaped by the large gross profit relative to revenue, with gross profit remaining at a high level while revenue is comparatively small. This relationship makes the margin highly sensitive to changes in revenue.
- Compared to the prior quarter, revenue and gross profit both increased, but gross margin weakened as cost of revenue grew faster than revenue. Compared to the same quarter last year, revenue turned from negative to positive, gross profit edged higher, and gross margin improved substantially.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
784.1%
Gross profit
$526.9M
Revenue
$67.2M
Cost of revenue
$172.1M
Quarter-over-quarter change
-278.7 pts
Year-over-year change
+871.5 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, 2024 | -$594.3M | $519.2M | $141.3M | -87.4% |
| Sep 30, 2024 | $41.9M | $517.3M | $150.3M | 1234.6% |
| Mar 31, 2025 | $48.0M | $510.6M | $153.7M | 1062.8% |
| Jun 30, 2025 | $67.2M | $526.9M | $172.1M | 784.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
-278.7 pts
Year-over-year change
Jun 30, 2024
+871.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin is primarily shaped by the large gross profit relative to revenue, with gross profit remaining at a high level while revenue is comparatively small. This relationship makes the margin highly sensitive to changes in revenue.
Compared to the prior quarter, revenue and gross profit both increased, but gross margin weakened as cost of revenue grew faster than revenue. Compared to the same quarter last year, revenue turned from negative to positive, gross profit edged higher, and gross margin improved substantially.
Monitor revenue trends, as shifts in revenue have a pronounced effect on gross margin given the relatively stable gross profit level.