UR

United Rentals, Inc. stock research

Mar 31, 2025

FY2025 Q1

United Rentals (URI) Gross Margin — Quarter Ended Mar 31, 2025

In the current quarter, gross profit exceeds revenue, while cost of revenue is higher than both, resulting in a gross margin above one hundred percent. Revenue and gross profit are lower than both the immediately preceding quarter and the same quarter one year earlier, while cost of revenue is lower than the prior quarter but higher than the year-ago period.

Gross margin takeaway

Quarter ended Mar 31, 2025 · FY2025 Q1

In the current quarter, gross profit exceeds revenue, while cost of revenue is higher than both, resulting in a gross margin above one hundred percent. Revenue and gross profit are lower than both the immediately preceding quarter and the same quarter one year earlier, while cost of revenue is lower than the prior quarter but higher than the year-ago period.

  • The strongest observable margin driver is the inverted relationship between gross profit and revenue, which produces a gross margin above one hundred percent. This pattern is a material departure from typical financial reporting conventions.
  • The current quarter's gross margin is higher than both the prior quarter and the year-ago quarter, driven by the anomalous metric values. Revenue and gross profit are lower in both comparisons, while cost of revenue shows mixed trends.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

151.8%

Gross profit

$1.4B

Revenue

$893.0M

Cost of revenue

$2.4B

Quarter-over-quarter change

-36.7 pts

Year-over-year change

+113.2 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2024$3.5B$1.3B$2.1B38.6%
Jun 30, 2024-$1.8B$1.5B$2.3B-84.8%
Sep 30, 2024$874.0M$1.6B$2.3B188.6%
Mar 31, 2025$893.0M$1.4B$2.4B151.8%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Sep 30, 2024

-36.7 pts

Year-over-year change

Mar 31, 2024

+113.2 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The strongest observable margin driver is the inverted relationship between gross profit and revenue, which produces a gross margin above one hundred percent. This pattern is a material departure from typical financial reporting conventions.

The current quarter's gross margin is higher than both the prior quarter and the year-ago quarter, driven by the anomalous metric values. Revenue and gross profit are lower in both comparisons, while cost of revenue shows mixed trends.

Monitor the consistency of the reported revenue, gross profit, and cost of revenue figures, as they do not follow standard accounting relationships.