Trane Technologies plc stock research
FY2025 Q1
Trane Technologies (TT) Gross Margin — Quarter Ended Mar 31, 2025
Revenue and gross profit both increased compared to the same quarter one year earlier, while cost of revenue also rose. Gross margin improved over the prior year, but the comparison with the immediately preceding quarter is not available because gross profit, cost of revenue, and gross margin for that quarter were not supplied.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue and gross profit both increased compared to the same quarter one year earlier, while cost of revenue also rose. Gross margin improved over the prior year, but the comparison with the immediately preceding quarter is not available because gross profit, cost of revenue, and gross margin for that quarter were not supplied.
- The strongest observable margin driver is the relationship between revenue and cost of revenue: revenue grew more than cost of revenue relative to the year-ago quarter, leading to an improved gross margin.
- Compared to the same quarter one year earlier, revenue and gross profit are higher, cost of revenue is higher, and gross margin has improved. Comparison with the immediately preceding quarter is not possible due to missing data for that period.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
35.8%
Gross profit
$1.7B
Revenue
$4.7B
Cost of revenue
$3.0B
Quarter-over-quarter change
-0.5 pts
Year-over-year change
+1.1 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 | $4.2B | $1.5B | $2.8B | 34.6% |
| Jun 30, 2024 | $5.3B | $1.9B | $3.4B | 36.5% |
| Sep 30, 2024 | $5.4B | $2.0B | $3.5B | 36.3% |
| Mar 31, 2025 | $4.7B | $1.7B | $3.0B | 35.8% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
-0.5 pts
Year-over-year change
Mar 31, 2024
+1.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between revenue and cost of revenue: revenue grew more than cost of revenue relative to the year-ago quarter, leading to an improved gross margin.
Compared to the same quarter one year earlier, revenue and gross profit are higher, cost of revenue is higher, and gross margin has improved. Comparison with the immediately preceding quarter is not possible due to missing data for that period.
Monitor the trend in cost of revenue relative to revenue in future quarters to see if the margin improvement can be sustained.