BM

Bristol-Myers Squibb Company stock research

Dec 31, 2023

FY2023 Q4

Bristol-Myers Squibb (BMY) Gross Margin — Quarter Ended Dec 31, 2023

Revenue and gross profit both increased compared to the prior quarter, while cost of revenue also rose. Gross margin weakened slightly versus both the prior quarter and the same quarter a year ago.

Gross margin takeaway

Quarter ended Dec 31, 2023 · FY2023 Q4

Revenue and gross profit both increased compared to the prior quarter, while cost of revenue also rose. Gross margin weakened slightly versus both the prior quarter and the same quarter a year ago.

  • The relationship between revenue and cost of revenue drove the gross margin change. Revenue grew more than cost of revenue in absolute terms, but the proportion of cost to revenue increased, leading to a slightly lower margin.
  • Compared to the prior quarter, revenue and gross profit were higher, but gross margin was lower. Versus the same quarter one year earlier, revenue was slightly higher, gross profit was slightly lower, and gross margin was lower.

Gross margin snapshot

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

Gross margin

76.1%

Gross profit

$8.7B

Revenue

$11.5B

Cost of revenue

$2.7B

Quarter-over-quarter change

-1.1 pts

Year-over-year change

-1.2 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$11.3B$8.8B$2.6B77.4%
Jun 30, 2023$11.2B$8.3B$2.9B74.4%
Sep 30, 2023$11.0B$8.5B$2.5B77.1%
Dec 31, 2023$11.5B$8.7B$2.7B76.1%

Quarterly comparisons

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

Previous-quarter change

Sep 30, 2023

-1.1 pts

Year-over-year change

Dec 31, 2022

-1.2 pts

What the margin says

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

The relationship between revenue and cost of revenue drove the gross margin change. Revenue grew more than cost of revenue in absolute terms, but the proportion of cost to revenue increased, leading to a slightly lower margin.

Compared to the prior quarter, revenue and gross profit were higher, but gross margin was lower. Versus the same quarter one year earlier, revenue was slightly higher, gross profit was slightly lower, and gross margin was lower.

Monitor the trend in cost of revenue relative to revenue, as its increasing share contributed to the margin decline.