AM

AMETEK, Inc. stock research

Jun 30, 2023

FY2023 Q2

AMETEK (AME) Gross Margin — Quarter Ended Jun 30, 2023

Revenue was stable compared with the immediately preceding quarter, while gross profit rose and cost of revenue declined, leading to an unchanged gross margin. Versus the same quarter one year earlier, revenue, gross profit, and cost of revenue all increased, and gross margin improved.

Gross margin takeaway

Quarter ended Jun 30, 2023 · FY2023 Q2

Revenue was stable compared with the immediately preceding quarter, while gross profit rose and cost of revenue declined, leading to an unchanged gross margin. Versus the same quarter one year earlier, revenue, gross profit, and cost of revenue all increased, and gross margin improved.

  • Gross margin held steady sequentially while improving year over year, indicating that the relationship among revenue, gross profit, and cost of revenue shifted favorably on an annual basis.
  • Compared with the preceding quarter, revenue was similar, gross profit was higher, cost of revenue was lower, and gross margin was unchanged. Compared with the same quarter one year earlier, revenue, gross profit, and cost of revenue were all higher, and gross margin was higher.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

36.0%

Gross profit

$592.9M

Revenue

$1.6B

Cost of revenue

$1.1B

Quarter-over-quarter change

+0.0 pts

Year-over-year change

+1.3 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2023$1.6B$574.6M$1.0B36.0%
Jun 30, 2023$1.6B$592.9M$1.1B36.0%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Mar 31, 2023

+0.0 pts

Year-over-year change

Jun 30, 2022

+1.3 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

Gross margin held steady sequentially while improving year over year, indicating that the relationship among revenue, gross profit, and cost of revenue shifted favorably on an annual basis.

Compared with the preceding quarter, revenue was similar, gross profit was higher, cost of revenue was lower, and gross margin was unchanged. Compared with the same quarter one year earlier, revenue, gross profit, and cost of revenue were all higher, and gross margin was higher.

Monitor whether cost of revenue can continue to decline sequentially while revenue remains stable, as this dynamic directly supports gross margin.