Smurfit Westrock Plc stock research
FY2026 Q1
Smurfit Westrock (SW) Gross Margin — Quarter Ended Mar 31, 2026
Revenue was slightly higher than the prior quarter but unchanged from a year ago. Gross profit decreased relative to both periods as cost of revenue increased, resulting in a lower gross margin.
Gross margin takeaway
Quarter ended Mar 31, 2026 · FY2026 Q1
Revenue was slightly higher than the prior quarter but unchanged from a year ago. Gross profit decreased relative to both periods as cost of revenue increased, resulting in a lower gross margin.
- The primary driver of the margin decline was a rise in cost of revenue that outpaced revenue growth. The filing notes higher cost of goods sold, including accelerated depreciation for machine closures, as contributing factors.
- Compared to the immediately preceding quarter, gross margin was lower. Compared to the same quarter one year earlier, gross margin was also lower, with the year-over-year decline more pronounced as cost of revenue rose while revenue remained flat.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
16.4%
Gross profit
$1.3B
Revenue
$7.7B
Cost of revenue
$6.4B
Quarter-over-quarter change
-1.8 pts
Year-over-year change
-4.2 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 |
|---|---|---|---|---|
| Jun 30, 2025 | $7.9B | $1.5B | $6.4B | 19.1% |
| Sep 30, 2025 | $8.0B | $1.6B | $6.4B | 19.6% |
| Dec 31, 2025 | $7.6B | $1.4B | $6.2B | 18.2% |
| Mar 31, 2026 | $7.7B | $1.3B | $6.4B | 16.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2025
-1.8 pts
Year-over-year change
Mar 31, 2025
-4.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary driver of the margin decline was a rise in cost of revenue that outpaced revenue growth. The filing notes higher cost of goods sold, including accelerated depreciation for machine closures, as contributing factors.
Compared to the immediately preceding quarter, gross margin was lower. Compared to the same quarter one year earlier, gross margin was also lower, with the year-over-year decline more pronounced as cost of revenue rose while revenue remained flat.
Monitor the impact of machine closures on cost of goods sold, as accelerated depreciation was cited in the filing.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| Smurfit Westrock Plc (SW) | 16.4% |