United Rentals, Inc. stock research
FY2025 Q3
United Rentals (URI) Gross Margin — Quarter Ended Sep 30, 2025
Revenue, gross profit, and cost of revenue all increased compared with both the prior quarter and the same quarter last year. Gross margin improved sequentially but weakened relative to the year-ago period.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2025 Q3
Revenue, gross profit, and cost of revenue all increased compared with both the prior quarter and the same quarter last year. Gross margin improved sequentially but weakened relative to the year-ago period.
- The growth in gross profit outpaced the growth in cost of revenue when compared with the prior quarter, leading to an improved gross margin. However, relative to the year-ago quarter, cost of revenue rose faster than gross profit, compressing the margin.
- Sequentially, revenue and gross profit were higher, and the gross margin improved. Compared with the same quarter one year earlier, revenue and gross profit were also higher, but the gross margin was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
177.5%
Gross profit
$1.7B
Revenue
$938.0M
Cost of revenue
$2.6B
Quarter-over-quarter change
+1.7 pts
Year-over-year change
-11.1 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 |
|---|---|---|---|---|
| Sep 30, 2024 | $874.0M | $1.6B | $2.3B | 188.6% |
| Mar 31, 2025 | $893.0M | $1.4B | $2.4B | 151.8% |
| Jun 30, 2025 | $872.0M | $1.5B | $2.4B | 175.8% |
| Sep 30, 2025 | $938.0M | $1.7B | $2.6B | 177.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
+1.7 pts
Year-over-year change
Sep 30, 2024
-11.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The growth in gross profit outpaced the growth in cost of revenue when compared with the prior quarter, leading to an improved gross margin. However, relative to the year-ago quarter, cost of revenue rose faster than gross profit, compressing the margin.
Sequentially, revenue and gross profit were higher, and the gross margin improved. Compared with the same quarter one year earlier, revenue and gross profit were also higher, but the gross margin was lower.
Monitor the relationship between cost of revenue and revenue growth, as the year-over-year margin decline suggests cost growth outpaced revenue expansion.