AP

Amphenol Corporation stock research

Dec 31, 2025

FY2025 Q4

Amphenol (APH) Gross Margin — Quarter Ended Dec 31, 2025

Revenue and cost of revenue both increased this quarter, while gross profit grew at a greater pace, resulting in a higher gross margin. The relationships among the metrics show that the company generated more profit from each dollar of revenue compared to prior periods.

Gross margin takeaway

Quarter ended Dec 31, 2025 · FY2025 Q4

Revenue and cost of revenue both increased this quarter, while gross profit grew at a greater pace, resulting in a higher gross margin. The relationships among the metrics show that the company generated more profit from each dollar of revenue compared to prior periods.

  • The strongest observable margin driver is the difference between revenue growth and cost of revenue growth, which allowed gross profit to expand and gross margin to improve. This pattern held when comparing with both the immediately preceding quarter and the same quarter one year earlier.
  • Gross margin improved compared with the previous quarter, as revenue and gross profit both increased while cost of revenue rose at a slower rate. Relative to the same quarter one year earlier, gross margin was higher, driven by a larger increase in revenue relative to cost of revenue.

Gross margin snapshot

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

Gross margin

38.2%

Gross profit

$2.5B

Revenue

$6.4B

Cost of revenue

$4.0B

Quarter-over-quarter change

+0.1 pts

Year-over-year change

+3.9 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, 2025$4.8B$1.6B$3.2B34.2%
Jun 30, 2025$5.7B$2.1B$3.6B36.3%
Sep 30, 2025$6.2B$2.4B$3.8B38.1%
Dec 31, 2025$6.4B$2.5B$4.0B38.2%

Quarterly comparisons

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

Previous-quarter change

Sep 30, 2025

+0.1 pts

Year-over-year change

Dec 31, 2024

+3.9 pts

What the margin says

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

The strongest observable margin driver is the difference between revenue growth and cost of revenue growth, which allowed gross profit to expand and gross margin to improve. This pattern held when comparing with both the immediately preceding quarter and the same quarter one year earlier.

Gross margin improved compared with the previous quarter, as revenue and gross profit both increased while cost of revenue rose at a slower rate. Relative to the same quarter one year earlier, gross margin was higher, driven by a larger increase in revenue relative to cost of revenue.

Monitor the company's compliance with debt covenants as described in the filing, since any breach could have a material adverse effect.