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 Westamerica Bancorporation (WABC) revenue becomes net income?

For TTM through Q2 2026, Westamerica Bancorporation turned $266M of revenue into $111M of net income — a net margin of 41.7%. The waterfall shows where the rest goes: cost of revenue, operating expenses, non-operating items, and taxes.

What are Westamerica Bancorporation (WABC) gross, operating, and net margins?

For TTM through Q2 2026, Westamerica Bancorporation reported a gross margin of 94.9%, an operating margin of 56.1%, and a net margin of 41.7%. Each subtotal in the waterfall corresponds to one of these margins.

Why does Westamerica Bancorporation (WABC) 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.

Westamerica Bancorporation (WABC) Income Statement Waterfall

Revenue

$266M

Gross Margin

+94.9%

Operating Margin

+56.1%

Net Margin

+41.7%

Income statement waterfall for Westamerica Bancorporation (WABC) — TTM through Q2 2026

Net income: $111M

Margin breakdown for Westamerica Bancorporation (WABC) — TTM through Q2 2026

Line item	Amount	Running total
Revenue	$266M	$266M
Cost of Revenue	-$13.4M	$252M
Gross Profit	$252M	$252M
Operating Expenses	-$103M	$149M
Operating Income	$149M	$149M
Pre-tax Income	$149M	$149M
Income Tax	-$38.2M	$111M
Net Income	$111M	$111M

Revenue$266M
Cost of Revenue-$13.4M
Gross Profit$252M
Operating Expenses-$103M
Operating Income$149M
Pre-tax Income$149M
Income Tax-$38.2M
Net Income$111M

Want to see what changed vs last year?Profit Bridge

Frequently asked questions

Data & methodology

Westamerica Bancorporation (WABC) Key Financials

Charts, filings, and peer comparison for every metric

Income Statement

Balance Sheet

Profitability

Cash Flow

Capital Return

Forecast & Valuation

Operations

Employees627.0

Explore more

Deep-dives across the income statement, cash flow, capital return, and valuation

Overview

WABC Overview

Counters