United Rentals, Inc. stock research
FY2024 Q1
United Rentals (URI) Gross Margin — Quarter Ended Mar 31, 2024
Revenue was lower than the previous quarter but higher than a year earlier. Gross profit and cost of revenue both decreased compared to the prior period, while gross margin weakened sequentially but improved from the same quarter last year.
Gross margin takeaway
Quarter ended Mar 31, 2024 · FY2024 Q1
Revenue was lower than the previous quarter but higher than a year earlier. Gross profit and cost of revenue both decreased compared to the prior period, while gross margin weakened sequentially but improved from the same quarter last year.
- Gross margin declined from the prior quarter as the change in cost of revenue was proportionally larger than the change in revenue.
- Compared to the previous quarter, revenue, gross profit, and gross margin were all lower. Compared to the same quarter one year ago, revenue and gross profit were higher and gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
38.6%
Gross profit
$1.3B
Revenue
$3.5B
Cost of revenue
$2.1B
Quarter-over-quarter change
-149.6 pts
Year-over-year change
+0.8 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, 2023 | $3.3B | $1.2B | $2.0B | 37.8% |
| Jun 30, 2023 | -$1.6B | $1.4B | $2.1B | -87.4% |
| Sep 30, 2023 | $842.0M | $1.6B | $2.2B | 188.2% |
| Mar 31, 2024 | $3.5B | $1.3B | $2.1B | 38.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2023
-149.6 pts
Year-over-year change
Mar 31, 2023
+0.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin declined from the prior quarter as the change in cost of revenue was proportionally larger than the change in revenue.
Compared to the previous quarter, revenue, gross profit, and gross margin were all lower. Compared to the same quarter one year ago, revenue and gross profit were higher and gross margin improved.
Monitor the proportion of cost of revenue relative to revenue in upcoming quarters.