Apple Inc. stock research
FY2024 Q4
Apple (AAPL) Gross Margin — Quarter Ended Sep 28, 2024
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin was slightly lower than the prior quarter but higher than the same quarter last year, reflecting a mixed sequential and year-over-year performance.
Gross margin takeaway
Quarter ended Sep 28, 2024 · FY2024 Q4
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin was slightly lower than the prior quarter but higher than the same quarter last year, reflecting a mixed sequential and year-over-year performance.
- The strongest observable margin driver is the relationship between revenue and cost of revenue, where revenue grew faster than cost of revenue compared to the same quarter last year, supporting margin improvement.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, but gross margin was slightly lower. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
46.2%
Gross profit
$43.9B
Revenue
$94.9B
Cost of revenue
$51.1B
Quarter-over-quarter change
-0.0 pts
Year-over-year change
+1.1 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 |
|---|---|---|---|---|
| Dec 30, 2023 | $119.6B | $54.9B | $64.7B | 45.9% |
| Mar 30, 2024 | $90.8B | $42.3B | $48.5B | 46.6% |
| Jun 29, 2024 | $85.8B | $39.7B | $46.1B | 46.3% |
| Sep 28, 2024 | $94.9B | $43.9B | $51.1B | 46.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 29, 2024
-0.0 pts
Year-over-year change
Sep 30, 2023
+1.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between revenue and cost of revenue, where revenue grew faster than cost of revenue compared to the same quarter last year, supporting margin improvement.
Compared to the immediately preceding quarter, revenue and gross profit were higher, but gross margin was slightly lower. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher.
Monitor the trend in cost of revenue relative to revenue, as its growth rate may influence future gross margin stability.