Welltower Inc. stock research
FY2025 Q1
Welltower (WELL) Gross Margin — Quarter Ended Mar 31, 2025
Revenue, cost of revenue, and gross profit all increased in the current quarter compared with both the prior quarter and the same quarter one year earlier. The gross margin improved over both periods, as gross profit increased at a faster rate than revenue.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue, cost of revenue, and gross profit all increased in the current quarter compared with both the prior quarter and the same quarter one year earlier. The gross margin improved over both periods, as gross profit increased at a faster rate than revenue.
- The gross margin improvement is the strongest observable driver, with gross profit growing at a higher rate than revenue relative to both the prior quarter and the year-ago quarter. This relationship is consistent across both comparisons.
- Compared with the prior quarter, revenue, gross profit, and cost of revenue were higher, and gross margin improved. Compared with the same quarter one year earlier, all metrics were higher, and gross margin also improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
21.6%
Gross profit
$402.1M
Revenue
$1.9B
Cost of revenue
$1.5B
Quarter-over-quarter change
+1.6 pts
Year-over-year change
+2.2 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 |
|---|---|---|---|---|
| Jun 30, 2024 | $1.4B | $282.2M | $1.1B | 20.2% |
| Sep 30, 2024 | $1.5B | $298.8M | $1.2B | 19.8% |
| Dec 31, 2024 | $1.8B | $352.6M | $1.4B | 20.0% |
| Mar 31, 2025 | $1.9B | $402.1M | $1.5B | 21.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
+1.6 pts
Year-over-year change
Mar 31, 2024
+2.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improvement is the strongest observable driver, with gross profit growing at a higher rate than revenue relative to both the prior quarter and the year-ago quarter. This relationship is consistent across both comparisons.
Compared with the prior quarter, revenue, gross profit, and cost of revenue were higher, and gross margin improved. Compared with the same quarter one year earlier, all metrics were higher, and gross margin also improved.
Monitor the trend in cost of revenue relative to revenue in upcoming quarters to assess whether the gross margin improvement can be sustained.