Westinghouse Air Brake Technologies Corporation stock research
FY2025 Q3
Westinghouse Air Brake Technologies (WAB) Gross Margin — Quarter Ended Sep 30, 2025
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin remained stable versus the prior quarter and improved compared to the year-ago period.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2025 Q3
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin remained stable versus the prior quarter and improved compared to the year-ago period.
- The strongest observable driver is the improvement in gross margin compared to the same quarter last year, as gross profit grew faster than cost of revenue relative to revenue.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was higher, and gross margin was stable. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
34.7%
Gross profit
$1.0B
Revenue
$2.9B
Cost of revenue
$1.9B
Quarter-over-quarter change
+0.1 pts
Year-over-year change
+1.7 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 |
|---|---|---|---|---|
| Dec 31, 2024 | $2.6B | $797.0M | $1.8B | 30.9% |
| Mar 31, 2025 | $2.6B | $900.0M | $1.7B | 34.5% |
| Jun 30, 2025 | $2.7B | $938.0M | $1.8B | 34.7% |
| Sep 30, 2025 | $2.9B | $1.0B | $1.9B | 34.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
+0.1 pts
Year-over-year change
Sep 30, 2024
+1.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver is the improvement in gross margin compared to the same quarter last year, as gross profit grew faster than cost of revenue relative to revenue.
Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was higher, and gross margin was stable. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin improved.
Monitor the trend in cost of revenue relative to revenue, as it increased in both comparisons and could pressure gross margin if it outpaces revenue growth.