Bitmine Immersion Technologies, Inc. stock research
FY2023 Q3
Bitmine Immersion Technologies (BMNR) Gross Margin — Quarter Ended May 31, 2023
Revenue was lower than the prior quarter but substantially higher than the same quarter last year. Gross profit improved sequentially and year-over-year, while cost of revenue decreased from the prior quarter but was also lower than the year-ago period, resulting in a gross margin that strengthened sequentially and improved from a negative margin a year earlier.
Gross margin takeaway
Quarter ended May 31, 2023 · FY2023 Q3
Revenue was lower than the prior quarter but substantially higher than the same quarter last year. Gross profit improved sequentially and year-over-year, while cost of revenue decreased from the prior quarter but was also lower than the year-ago period, resulting in a gross margin that strengthened sequentially and improved from a negative margin a year earlier.
- The sequential improvement in gross margin was driven by a lower cost of revenue relative to revenue, as revenue declined modestly while cost of revenue fell more sharply. Year-over-year, the margin shift from negative to positive was supported by both higher revenue and a lower absolute cost of revenue.
- Compared to the immediately preceding quarter, gross margin improved as cost of revenue decreased at a faster rate than the decline in revenue. Compared to the same quarter one year earlier, gross margin strengthened significantly, moving from a deeply negative position to a positive figure.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
49.1%
Gross profit
$69734
Revenue
$142126
Cost of revenue
$72392
Quarter-over-quarter change
+10.2 pts
Year-over-year change
+550.9 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 |
|---|---|---|---|---|
| Feb 28, 2023 | $156090 | $60633 | $95457 | 38.8% |
| May 31, 2023 | $142126 | $69734 | $72392 | 49.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Feb 28, 2023
+10.2 pts
Year-over-year change
May 31, 2022
+550.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The sequential improvement in gross margin was driven by a lower cost of revenue relative to revenue, as revenue declined modestly while cost of revenue fell more sharply. Year-over-year, the margin shift from negative to positive was supported by both higher revenue and a lower absolute cost of revenue.
Compared to the immediately preceding quarter, gross margin improved as cost of revenue decreased at a faster rate than the decline in revenue. Compared to the same quarter one year earlier, gross margin strengthened significantly, moving from a deeply negative position to a positive figure.
Monitor the trajectory of cost of revenue relative to revenue, as the current quarter's margin expansion depended heavily on cost reduction rather than revenue growth.