Vulcan Materials Company stock research
FY2023 Q4
Vulcan Materials (VMC) Gross Margin — Quarter Ended Dec 31, 2023
Revenue and gross profit both increased compared to the same quarter one year earlier, while cost of revenue was stable, resulting in a higher gross margin. Sequentially, revenue and gross profit declined from the immediately preceding quarter, and gross margin weakened.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2023 Q4
Revenue and gross profit both increased compared to the same quarter one year earlier, while cost of revenue was stable, resulting in a higher gross margin. Sequentially, revenue and gross profit declined from the immediately preceding quarter, and gross margin weakened.
- The strongest observable driver of gross margin in the current quarter is the relationship between revenue and cost of revenue: gross profit grew at a faster pace than cost of revenue relative to the year-ago quarter, but slowed relative to the prior quarter.
- Compared to the same quarter one year earlier, gross margin is higher. Compared to the immediately preceding quarter, gross margin is lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
25.7%
Gross profit
$472.2M
Revenue
$1.8B
Cost of revenue
$1.4B
Quarter-over-quarter change
-1.3 pts
Year-over-year change
+5.5 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 | $1.6B | $302.0M | $1.3B | 18.3% |
| Jun 30, 2023 | $2.1B | $583.3M | $1.5B | 27.6% |
| Sep 30, 2023 | $2.2B | $591.0M | $1.6B | 27.0% |
| Dec 31, 2023 | $1.8B | $472.2M | $1.4B | 25.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2023
-1.3 pts
Year-over-year change
Dec 31, 2022
+5.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver of gross margin in the current quarter is the relationship between revenue and cost of revenue: gross profit grew at a faster pace than cost of revenue relative to the year-ago quarter, but slowed relative to the prior quarter.
Compared to the same quarter one year earlier, gross margin is higher. Compared to the immediately preceding quarter, gross margin is lower.
Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters, as it directly affects gross margin stability.