Abbott Laboratories stock research
FY2025 Q3
Abbott Laboratories (ABT) Gross Margin — Quarter Ended Sep 30, 2025
Revenue and gross profit both increased compared to the previous quarter and the same quarter last year, while cost of revenue also rose. Gross margin weakened slightly from the previous quarter and was lower than the year-ago period, indicating that the increase in cost of revenue absorbed a larger share of revenue.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2025 Q3
Revenue and gross profit both increased compared to the previous quarter and the same quarter last year, while cost of revenue also rose. Gross margin weakened slightly from the previous quarter and was lower than the year-ago period, indicating that the increase in cost of revenue absorbed a larger share of revenue.
- The strongest observable margin driver is the relationship between revenue growth and the change in cost of revenue; revenue increased while gross margin declined, meaning cost of revenue grew at a faster pace relative to revenue.
- Compared to the prior quarter, revenue was higher and cost of revenue was higher, with gross profit unchanged and gross margin lower. Compared to the same quarter one year earlier, revenue was higher, gross profit was higher, cost of revenue was higher, and gross margin was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
55.4%
Gross profit
$6.3B
Revenue
$11.4B
Cost of revenue
$5.1B
Quarter-over-quarter change
-1.1 pts
Year-over-year change
-0.5 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 31, 2024 | $11.0B | $6.0B | $4.9B | 55.0% |
| Mar 31, 2025 | $10.4B | $5.9B | $4.5B | 56.9% |
| Jun 30, 2025 | $11.1B | $6.3B | $4.9B | 56.4% |
| Sep 30, 2025 | $11.4B | $6.3B | $5.1B | 55.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
-1.1 pts
Year-over-year change
Sep 30, 2024
-0.5 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 growth and the change in cost of revenue; revenue increased while gross margin declined, meaning cost of revenue grew at a faster pace relative to revenue.
Compared to the prior quarter, revenue was higher and cost of revenue was higher, with gross profit unchanged and gross margin lower. Compared to the same quarter one year earlier, revenue was higher, gross profit was higher, cost of revenue was higher, and gross margin was lower.
Monitor the trend in cost of revenue relative to revenue to assess whether the margin compression observed this quarter persists.