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 Steel Dynamics (STLD) revenue becomes net income?

For TTM through Q1 2026, Steel Dynamics turned $19.01B of revenue into $1.37B of net income — a net margin of 7.2%. The waterfall shows where the rest goes: cost of revenue, operating expenses, non-operating items, and taxes.

What are Steel Dynamics (STLD) gross, operating, and net margins?

For TTM through Q1 2026, Steel Dynamics reported a gross margin of 14%, an operating margin of 9.4%, and a net margin of 7.2%. Each subtotal in the waterfall corresponds to one of these margins.

Why does Steel Dynamics (STLD) 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.

Steel Dynamics (STLD) Income Statement Waterfall

Revenue

$19.01B

Gross Margin

+14.0%

Operating Margin

+9.4%

Net Margin

+7.2%

Income statement waterfall for Steel Dynamics (STLD) — TTM through Q1 2026

Net income: $1.37B

Margin breakdown for Steel Dynamics (STLD) — TTM through Q1 2026

Line item	Amount	Running total
Revenue	$19.01B	$19.01B
Cost of Revenue	−$16.35B	$2.66B
Gross Profit	$2.66B	$2.66B
Operating Expenses	−$872.80M	$1.79B
Operating Income	$1.79B	$1.79B
Other Income / Expense	$86.27M	$1.88B
Pre-tax Income	$1.88B	$1.88B
Income Tax	−$505.37M	$1.37B
Net Income	$1.37B	$1.37B

Revenue$19.01B
Cost of Revenue−$16.35B
Gross Profit$2.66B
Operating Expenses−$872.80M
Operating Income$1.79B
Other Income / Expense$86.27M
Pre-tax Income$1.88B
Income Tax−$505.37M
Net Income$1.37B

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Steel Dynamics (STLD) Key Financials

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Income statement waterfall for Steel Dynamics (STLD) — TTM through Q1 2026

Margin breakdown for Steel Dynamics (STLD) — TTM through Q1 2026

Frequently asked questions

+What is an income statement waterfall?

+How much of Steel Dynamics (STLD) revenue becomes net income?

+What are Steel Dynamics (STLD) gross, operating, and net margins?

+Why does Steel Dynamics (STLD) have such a high (or low) gross margin?

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

Data & methodology

+What is this view?

+How to read this waterfall

+How is the data calculated?

+What is the USD toggle?

Steel Dynamics (STLD) Key Financials

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