WE

WEC Energy Group, Inc. stock research

Mar 31, 2025

FY2025 Q1

WEC Energy Group (WEC) Gross Margin — Quarter Ended Mar 31, 2025

Revenue and gross profit both rose compared to both the prior quarter and the same quarter a year ago. Gross margin was higher than the year-ago level but weakened relative to the preceding quarter, indicating a mixed trajectory.

Gross margin takeaway

Quarter ended Mar 31, 2025 · FY2025 Q1

Revenue and gross profit both rose compared to both the prior quarter and the same quarter a year ago. Gross margin was higher than the year-ago level but weakened relative to the preceding quarter, indicating a mixed trajectory.

  • The relationship among revenue, cost of revenue, and gross profit shows that revenue grew at a slower pace than gross profit compared to a year ago, supporting gross margin improvement. Sequentially, however, cost of revenue increased at a higher rate than revenue, compressing gross margin.
  • Compared to the prior quarter, revenue and gross profit were higher, while gross margin weakened. Versus the same quarter one year earlier, revenue, gross profit, and gross margin were all higher.

Gross margin snapshot

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

Gross margin

63.0%

Gross profit

$2.0B

Revenue

$3.1B

Cost of revenue

$1.2B

Quarter-over-quarter change

-4.7 pts

Year-over-year change

-2.4 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2024$1.8B$1.3B$469.7M73.5%
Sep 30, 2024$1.9B$1.3B$520.8M72.1%
Dec 31, 2024$2.3B$1.5B$738.4M67.7%
Mar 31, 2025$3.1B$2.0B$1.2B63.0%

Quarterly comparisons

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

Previous-quarter change

Dec 31, 2024

-4.7 pts

Year-over-year change

Mar 31, 2024

-2.4 pts

What the margin says

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

The relationship among revenue, cost of revenue, and gross profit shows that revenue grew at a slower pace than gross profit compared to a year ago, supporting gross margin improvement. Sequentially, however, cost of revenue increased at a higher rate than revenue, compressing gross margin.

Compared to the prior quarter, revenue and gross profit were higher, while gross margin weakened. Versus the same quarter one year earlier, revenue, gross profit, and gross margin were all higher.

Monitor whether cost of revenue continues to grow at a faster rate than revenue, which could further pressure gross margin.

WEC Gross Margin — Quarter Ended Mar 31, 2025