WEC Energy Group, Inc. stock research
FY2025 Q3
WEC Energy Group (WEC) Gross Margin — Quarter Ended Sep 30, 2025
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. However, gross margin declined slightly as cost of revenue rose at a faster pace than revenue.
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. However, gross margin declined slightly as cost of revenue rose at a faster pace than revenue.
- The primary driver of the margin change is the relationship between cost of revenue and revenue growth. Cost of revenue increased more than revenue, leading to a lower gross margin.
- Compared to the immediately preceding quarter, gross margin was slightly lower. Compared to the same quarter one year earlier, gross margin was also lower, reflecting a continued trend of cost outpacing revenue growth.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
71.1%
Gross profit
$1.5B
Revenue
$2.1B
Cost of revenue
$608.1M
Quarter-over-quarter change
-0.5 pts
Year-over-year change
-1.0 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 | $2.3B | $1.5B | $738.4M | 67.7% |
| Mar 31, 2025 | $3.1B | $2.0B | $1.2B | 63.0% |
| Jun 30, 2025 | $2.0B | $1.4B | $570.5M | 71.6% |
| Sep 30, 2025 | $2.1B | $1.5B | $608.1M | 71.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
-0.5 pts
Year-over-year change
Sep 30, 2024
-1.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary driver of the margin change is the relationship between cost of revenue and revenue growth. Cost of revenue increased more than revenue, leading to a lower gross margin.
Compared to the immediately preceding quarter, gross margin was slightly lower. Compared to the same quarter one year earlier, gross margin was also lower, reflecting a continued trend of cost outpacing revenue growth.
Monitor whether cost of revenue continues to grow at a rate higher than revenue, which could further pressure gross margin.