Abbott Laboratories stock research
FY2025 Q4
Abbott Laboratories (ABT) Gross Margin — Quarter Ended Dec 31, 2025
Revenue, gross profit, and gross margin all improved compared with both the immediately preceding quarter and the same quarter one year earlier. Cost of revenue was lower quarter over quarter and stable year over year, supporting the expansion in gross margin.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue, gross profit, and gross margin all improved compared with both the immediately preceding quarter and the same quarter one year earlier. Cost of revenue was lower quarter over quarter and stable year over year, supporting the expansion in gross margin.
- The strongest observable margin driver was the combination of higher revenue and a lower cost of revenue compared with the prior quarter, which lifted gross profit and gross margin. This pattern was consistent with the year-ago comparison, where revenue and gross profit also increased while cost of revenue remained essentially unchanged.
- Revenue, gross profit, and gross margin were each higher sequentially and higher year over year. Cost of revenue was lower than the preceding quarter and approximately level with the year-ago quarter.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
57.0%
Gross profit
$6.5B
Revenue
$11.5B
Cost of revenue
$4.9B
Quarter-over-quarter change
+1.7 pts
Year-over-year change
+2.1 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 |
|---|---|---|---|---|
| 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% |
| Dec 31, 2025 | $11.5B | $6.5B | $4.9B | 57.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
+1.7 pts
Year-over-year change
Dec 31, 2024
+2.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver was the combination of higher revenue and a lower cost of revenue compared with the prior quarter, which lifted gross profit and gross margin. This pattern was consistent with the year-ago comparison, where revenue and gross profit also increased while cost of revenue remained essentially unchanged.
Revenue, gross profit, and gross margin were each higher sequentially and higher year over year. Cost of revenue was lower than the preceding quarter and approximately level with the year-ago quarter.
Monitor whether cost of revenue can remain stable while revenue continues to grow, as this dynamic has supported sequential and annual gross margin improvement.