AbbVie Inc. stock research
FY2024 Q3
AbbVie (ABBV) Gross Margin — Quarter Ended Sep 30, 2024
Revenue remained stable quarter over quarter, while gross profit was slightly lower, resulting in an unchanged gross margin. Compared to the same quarter last year, revenue increased and cost of revenue decreased, leading to a significantly higher gross margin.
Gross margin takeaway
Quarter ended Sep 30, 2024 · FY2024 Q3
Revenue remained stable quarter over quarter, while gross profit was slightly lower, resulting in an unchanged gross margin. Compared to the same quarter last year, revenue increased and cost of revenue decreased, leading to a significantly higher gross margin.
- The year-over-year improvement in gross margin was driven by a lower cost of revenue while revenue increased. This relationship directly boosted gross profit relative to the prior year.
- Compared to the prior quarter, revenue was unchanged, gross profit was slightly lower, and gross margin remained stable. Compared to the same quarter one year earlier, revenue was higher, cost of revenue was lower, and gross margin improved significantly.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
70.9%
Gross profit
$10.2B
Revenue
$14.5B
Cost of revenue
$4.2B
Quarter-over-quarter change
-0.1 pts
Year-over-year change
+17.4 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 | $13.9B | $7.4B | $6.5B | 53.4% |
| Mar 31, 2024 | $12.3B | $8.2B | $4.1B | 66.7% |
| Jun 30, 2024 | $14.5B | $10.3B | $4.2B | 70.9% |
| Sep 30, 2024 | $14.5B | $10.2B | $4.2B | 70.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2024
-0.1 pts
Year-over-year change
Sep 30, 2023
+17.4 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The year-over-year improvement in gross margin was driven by a lower cost of revenue while revenue increased. This relationship directly boosted gross profit relative to the prior year.
Compared to the prior quarter, revenue was unchanged, gross profit was slightly lower, and gross margin remained stable. Compared to the same quarter one year earlier, revenue was higher, cost of revenue was lower, and gross margin improved significantly.
Monitor the trajectory of gross profit relative to revenue, as the slight decline from the previous quarter contrasts with stable revenue.