Becton, Dickinson and Company stock research
FY2024 Q4
Becton, Dickinson and (BDX) Gross Margin — Quarter Ended Sep 30, 2024
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue rose less sharply than gross profit. Gross margin improved relative to the year-ago quarter but weakened slightly from the preceding quarter.
Gross margin takeaway
Quarter ended Sep 30, 2024 · FY2024 Q4
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue rose less sharply than gross profit. Gross margin improved relative to the year-ago quarter but weakened slightly from the preceding quarter.
- The strongest observable driver is the relationship between gross profit and cost of revenue: gross profit grew faster than cost of revenue compared to the year-ago quarter, leading to a higher gross margin. Compared to the prior quarter, cost of revenue increased at a pace that slightly outpaced gross profit, resulting in a marginal margin decline.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, but gross margin was lower. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
45.7%
Gross profit
$2.5B
Revenue
$5.4B
Cost of revenue
$3.0B
Quarter-over-quarter change
-0.5 pts
Year-over-year change
+12.3 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, 2023 | $4.7B | $2.0B | $2.7B | 43.1% |
| Mar 31, 2024 | $5.0B | $2.3B | $2.7B | 45.7% |
| Jun 30, 2024 | $5.0B | $2.3B | $2.7B | 46.2% |
| Sep 30, 2024 | $5.4B | $2.5B | $3.0B | 45.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2024
-0.5 pts
Year-over-year change
Sep 30, 2023
+12.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver is the relationship between gross profit and cost of revenue: gross profit grew faster than cost of revenue compared to the year-ago quarter, leading to a higher gross margin. Compared to the prior quarter, cost of revenue increased at a pace that slightly outpaced gross profit, resulting in a marginal margin decline.
Compared to the immediately preceding quarter, revenue and gross profit were higher, but gross margin was lower. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue was lower.
Monitor the trend in cost of revenue relative to revenue, as its growth rate influenced the quarter-over-quarter margin change.