BA

Baxter International Inc. stock research

Mar 31, 2023

FY2023 Q1

Baxter International (BAX) Gross Margin — Quarter Ended Mar 31, 2023

Revenue less cost of revenue yields gross profit, and gross margin is the ratio of gross profit to revenue. Compared to the prior quarter and the same quarter a year earlier, revenue was lower while gross margin was higher.

Gross margin takeaway

Quarter ended Mar 31, 2023 · FY2023 Q1

Revenue less cost of revenue yields gross profit, and gross margin is the ratio of gross profit to revenue. Compared to the prior quarter and the same quarter a year earlier, revenue was lower while gross margin was higher.

  • The gross margin rate improved relative to both the immediately preceding quarter and the same quarter one year earlier, marking the strongest observable trend in the period.
  • Sequentially, revenue decreased and gross profit decreased, but gross margin increased. Year-over-year, revenue also decreased and gross profit decreased, while gross margin increased.

Gross margin snapshot

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

Gross margin

39.5%

Gross profit

$964.0M

Revenue

$2.4B

Cost of revenue

$2.2B

Quarter-over-quarter change

n/a

Year-over-year change

+4.0 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$2.4B$964.0M$2.2B39.5%

Quarterly comparisons

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

Previous-quarter change

Previous quarter unavailable

n/a

Year-over-year change

Mar 31, 2022

+4.0 pts

What the margin says

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

The gross margin rate improved relative to both the immediately preceding quarter and the same quarter one year earlier, marking the strongest observable trend in the period.

Sequentially, revenue decreased and gross profit decreased, but gross margin increased. Year-over-year, revenue also decreased and gross profit decreased, while gross margin increased.

Monitor inventory levels, which increased from the end of the prior fiscal year.