Bristol-Myers Squibb Company stock research
FY2023 Q2
Bristol-Myers Squibb (BMY) Gross Margin — Quarter Ended Jun 30, 2023
Revenue and gross profit both declined compared with the prior quarter and the same quarter last year, while cost of revenue increased relative to both periods. As a result, gross margin weakened sequentially and year-over-year.
Gross margin takeaway
Quarter ended Jun 30, 2023 · FY2023 Q2
Revenue and gross profit both declined compared with the prior quarter and the same quarter last year, while cost of revenue increased relative to both periods. As a result, gross margin weakened sequentially and year-over-year.
- The most observable driver of the margin change is the relationship between cost of revenue and revenue: cost of revenue rose while revenue fell, causing gross profit to contract more than proportionally.
- Compared with the immediately preceding quarter, revenue was slightly lower, gross profit was lower, and cost of revenue was higher, leading to a weaker gross margin. Versus the same quarter one year earlier, revenue and gross profit were lower, cost of revenue was higher, and gross margin was also weaker.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
74.4%
Gross profit
$8.3B
Revenue
$11.2B
Cost of revenue
$2.9B
Quarter-over-quarter change
-3.0 pts
Year-over-year change
-2.7 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, 2023 | $11.3B | $8.8B | $2.6B | 77.4% |
| Jun 30, 2023 | $11.2B | $8.3B | $2.9B | 74.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2023
-3.0 pts
Year-over-year change
Jun 30, 2022
-2.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most observable driver of the margin change is the relationship between cost of revenue and revenue: cost of revenue rose while revenue fell, causing gross profit to contract more than proportionally.
Compared with the immediately preceding quarter, revenue was slightly lower, gross profit was lower, and cost of revenue was higher, leading to a weaker gross margin. Versus the same quarter one year earlier, revenue and gross profit were lower, cost of revenue was higher, and gross margin was also weaker.
Monitor the trend in cost of revenue, as its increase relative to revenue was the primary observable factor in the margin decline.