Becton, Dickinson and Company stock research
FY2025 Q1
Becton, Dickinson and (BDX) Gross Margin — Quarter Ended Dec 31, 2024
Revenue and gross profit both decreased compared to the prior quarter, while cost of revenue declined at a slower pace, resulting in a lower gross margin. Versus the same quarter last year, revenue and gross profit increased, cost of revenue rose proportionally, and gross margin was stable.
Gross margin takeaway
Quarter ended Dec 31, 2024 · FY2025 Q1
Revenue and gross profit both decreased compared to the prior quarter, while cost of revenue declined at a slower pace, resulting in a lower gross margin. Versus the same quarter last year, revenue and gross profit increased, cost of revenue rose proportionally, and gross margin was stable.
- The gross margin weakened sequentially as cost of revenue declined less than revenue, compressing profitability. On a year-over-year basis, the margin was essentially unchanged, indicating that the relationship among revenue, cost of revenue, and gross profit remained consistent.
- Compared to the immediately preceding quarter, revenue and gross profit were lower, cost of revenue was lower, and gross margin weakened. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was mixed—slightly higher but essentially stable.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
43.2%
Gross profit
$2.2B
Revenue
$5.2B
Cost of revenue
$2.9B
Quarter-over-quarter change
-2.5 pts
Year-over-year change
+0.2 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, 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% |
| Dec 31, 2024 | $5.2B | $2.2B | $2.9B | 43.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
-2.5 pts
Year-over-year change
Dec 31, 2023
+0.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin weakened sequentially as cost of revenue declined less than revenue, compressing profitability. On a year-over-year basis, the margin was essentially unchanged, indicating that the relationship among revenue, cost of revenue, and gross profit remained consistent.
Compared to the immediately preceding quarter, revenue and gross profit were lower, cost of revenue was lower, and gross margin weakened. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was mixed—slightly higher but essentially stable.
Monitor the trajectory of cost of revenue relative to revenue, as the sequential decline in cost of revenue lagged the revenue decline, pressuring margin.