What is an income statement waterfall?

An income statement waterfall is a bar chart that walks from total revenue down to net income, with each step showing how much a cost or tax line removes (or adds). Subtotals — gross profit, operating income, pre-tax income — are anchored to zero so the cascade reconciles exactly to the bottom line.

How much of STAG Industrial (STAG) revenue becomes net income?

For TTM through Q1 2026, STAG Industrial turned $864M of revenue into $244M of net income — a net margin of 28.3%. The waterfall shows where the rest goes: cost of revenue, operating expenses, non-operating items, and taxes.

What are STAG Industrial (STAG) gross, operating, and net margins?

For TTM through Q1 2026, STAG Industrial reported a gross margin of 61.8%, an operating margin of 37.9%, and a net margin of 28.3%. Each subtotal in the waterfall corresponds to one of these margins.

Why does STAG Industrial (STAG) have such a high (or low) gross margin?

Gross margin (gross profit ÷ revenue) reflects how much of each revenue dollar remains after direct production costs. Capital-light software and platform businesses often show gross margins above 60–80% because their cost of revenue is mainly hosting and support. Hardware, retail, and commodity businesses show lower gross margins because raw materials and manufacturing costs are significant. The waterfall makes this visible at a glance — the size of the "Cost of Revenue" bar relative to Revenue is the gross margin complement.

What is the difference between gross, operating, and net margin?

Gross margin = (Revenue − Cost of Revenue) ÷ Revenue. It measures production efficiency. Operating margin = Operating Income ÷ Revenue. It adds operating expenses (R&D, S&M, G&A) and measures the profitability of core operations. Net margin = Net Income ÷ Revenue. It also includes interest, other income/expense, and taxes, and represents the shareholder take after everything.

STAG Industrial (STAG) Income Statement Waterfall

Revenue

$864M

Gross Margin

+61.8%

Operating Margin

+37.9%

Net Margin

+28.3%

Income statement waterfall for STAG Industrial (STAG) — TTM through Q1 2026

Net income: $244M

Margin breakdown for STAG Industrial (STAG) — TTM through Q1 2026

Line item	Amount	Running total
Revenue	$864M	$864M
Cost of Revenue	-$330M	$533M
Gross Profit	$533M	$533M
Operating Expenses	-$206M	$328M
Operating Income	$328M	$328M
Other Income / Expense	-$78.4M	$249M
Pre-tax Income	$249M	$249M
Income Tax	$0.00	$249M
Other Items	-$5.14M	$244M
Net Income	$244M	$244M

Revenue$864M
Cost of Revenue-$330M
Gross Profit$533M
Operating Expenses-$206M
Operating Income$328M
Other Income / Expense-$78.4M
Pre-tax Income$249M
Income Tax$0.00
Other Items-$5.14M
Net Income$244M

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Operating Margin37.9%

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Operations

Employees93.0

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