Smurfit Westrock Plc stock research
FY2024 Q4
Smurfit Westrock (SW) Gross Margin — Quarter Ended Dec 31, 2024
Revenue was lower than the previous quarter, while gross profit remained stable and cost of revenue declined, resulting in an improved gross margin. Compared to the same quarter one year earlier, revenue and gross profit were significantly higher but gross margin was lower.
Gross margin takeaway
Quarter ended Dec 31, 2024 · FY2024 Q4
Revenue was lower than the previous quarter, while gross profit remained stable and cost of revenue declined, resulting in an improved gross margin. Compared to the same quarter one year earlier, revenue and gross profit were significantly higher but gross margin was lower.
- Cost of revenue declined relative to the previous quarter, which supported gross profit stability and drove the gross margin improvement.
- Sequentially, revenue decreased, gross profit was flat, cost of revenue decreased, and gross margin improved. Year over year, revenue and gross profit increased substantially, while gross margin weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
19.1%
Gross profit
$1.4B
Revenue
$7.5B
Cost of revenue
$6.1B
Quarter-over-quarter change
+1.5 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 |
|---|---|---|---|---|
| Mar 31, 2024 | $2.9B | $710.0M | $2.2B | 24.2% |
| Jun 30, 2024 | $3.0B | $693.0M | $2.3B | 23.3% |
| Sep 30, 2024 | $7.7B | $1.4B | $6.3B | 17.6% |
| Dec 31, 2024 | $7.5B | $1.4B | $6.1B | 19.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
+1.5 pts
Year-over-year change
Dec 31, 2023
-5.4 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Cost of revenue declined relative to the previous quarter, which supported gross profit stability and drove the gross margin improvement.
Sequentially, revenue decreased, gross profit was flat, cost of revenue decreased, and gross margin improved. Year over year, revenue and gross profit increased substantially, while gross margin weakened.
Monitor whether the recent stability in gross profit can be maintained if revenue continues to decline.