Abbott Laboratories stock research
FY2025 Q1
Abbott Laboratories (ABT) Gross Margin — Quarter Ended Mar 31, 2025
Revenue decreased from the prior quarter while gross profit declined slightly less, resulting in an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, and gross margin also improved.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue decreased from the prior quarter while gross profit declined slightly less, resulting in an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, and gross margin also improved.
- The gross margin improved sequentially and year-over-year, driven by a proportionally smaller decline in gross profit relative to revenue in the current quarter versus the prior quarter, and a larger increase in gross profit relative to revenue versus the year-ago quarter.
- Compared to the immediately preceding quarter, revenue was lower but gross margin was higher, indicating that cost of revenue declined more than revenue. Versus the same quarter one year earlier, both revenue and gross profit were higher, with gross margin also higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
56.9%
Gross profit
$5.9B
Revenue
$10.4B
Cost of revenue
$4.5B
Quarter-over-quarter change
+1.9 pts
Year-over-year change
+1.7 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 |
|---|---|---|---|---|
| Jun 30, 2024 | $10.4B | $5.8B | $4.6B | 55.6% |
| Sep 30, 2024 | $10.6B | $5.9B | $4.7B | 55.8% |
| Dec 31, 2024 | $11.0B | $6.0B | $4.9B | 55.0% |
| Mar 31, 2025 | $10.4B | $5.9B | $4.5B | 56.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
+1.9 pts
Year-over-year change
Mar 31, 2024
+1.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improved sequentially and year-over-year, driven by a proportionally smaller decline in gross profit relative to revenue in the current quarter versus the prior quarter, and a larger increase in gross profit relative to revenue versus the year-ago quarter.
Compared to the immediately preceding quarter, revenue was lower but gross margin was higher, indicating that cost of revenue declined more than revenue. Versus the same quarter one year earlier, both revenue and gross profit were higher, with gross margin also higher.
Monitor the trend in cost of revenue relative to revenue, as its proportion declined this quarter but remains a key factor for margin stability.