Waste Management, Inc. stock research
FY2024 Q2
Waste Management (WM) Gross Margin — Quarter Ended Jun 30, 2024
Revenue and gross profit both rose from the prior quarter and from the same quarter a year earlier. Gross margin was unchanged from the prior quarter and higher than the year-ago quarter.
Gross margin takeaway
Quarter ended Jun 30, 2024 · FY2024 Q2
Revenue and gross profit both rose from the prior quarter and from the same quarter a year earlier. Gross margin was unchanged from the prior quarter and higher than the year-ago quarter.
- The increase in revenue outpaced the increase in cost of revenue relative to the same quarter last year, supporting a higher gross margin. Compared to the prior quarter, revenue and cost of revenue grew at a similar pace, leaving gross margin stable.
- Revenue and gross profit were higher than both the prior quarter and the same quarter one year earlier. Cost of revenue was higher than the prior quarter and also higher than the year-ago quarter. Gross margin was stable sequentially and improved year over year.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
39.1%
Gross profit
$2.1B
Revenue
$5.4B
Cost of revenue
$3.3B
Quarter-over-quarter change
-0.1 pts
Year-over-year change
+1.3 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 |
|---|---|---|---|---|
| Sep 30, 2023 | $5.2B | $2.0B | $3.2B | 38.7% |
| Dec 31, 2023 | $5.2B | $2.1B | $3.1B | 39.7% |
| Mar 31, 2024 | $5.2B | $2.0B | $3.1B | 39.1% |
| Jun 30, 2024 | $5.4B | $2.1B | $3.3B | 39.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2024
-0.1 pts
Year-over-year change
Jun 30, 2023
+1.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The increase in revenue outpaced the increase in cost of revenue relative to the same quarter last year, supporting a higher gross margin. Compared to the prior quarter, revenue and cost of revenue grew at a similar pace, leaving gross margin stable.
Revenue and gross profit were higher than both the prior quarter and the same quarter one year earlier. Cost of revenue was higher than the prior quarter and also higher than the year-ago quarter. Gross margin was stable sequentially and improved year over year.
Monitor the estimated liability increase related to the expected disposition of an investment in a waste diversion technology business, as disclosed in the filing.