Bristol-Myers Squibb Company stock research
FY2024 Q3
Bristol-Myers Squibb (BMY) Gross Margin — Quarter Ended Sep 30, 2024
Revenue decreased compared to the prior quarter while gross profit remained stable, resulting in an improved gross margin as cost of revenue declined. Versus the same quarter last year, revenue and gross profit were higher, but gross margin weakened due to a larger increase in cost of revenue.
Gross margin takeaway
Quarter ended Sep 30, 2024 · FY2024 Q3
Revenue decreased compared to the prior quarter while gross profit remained stable, resulting in an improved gross margin as cost of revenue declined. Versus the same quarter last year, revenue and gross profit were higher, but gross margin weakened due to a larger increase in cost of revenue.
- The gross margin improved sequentially as cost of revenue declined while gross profit held steady. The year-over-year weakening in gross margin was driven by cost of revenue growing faster than revenue.
- Compared to the prior quarter, revenue was lower and gross profit was unchanged, while cost of revenue was lower, leading to a higher gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but cost of revenue was substantially higher, resulting in a lower gross margin.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
75.1%
Gross profit
$8.9B
Revenue
$11.9B
Cost of revenue
$3.0B
Quarter-over-quarter change
+1.9 pts
Year-over-year change
-2.0 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 | $11.5B | $8.7B | $2.7B | 76.1% |
| Mar 31, 2024 | $11.9B | $8.9B | $2.9B | 75.3% |
| Jun 30, 2024 | $12.2B | $8.9B | $3.3B | 73.2% |
| Sep 30, 2024 | $11.9B | $8.9B | $3.0B | 75.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2024
+1.9 pts
Year-over-year change
Sep 30, 2023
-2.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improved sequentially as cost of revenue declined while gross profit held steady. The year-over-year weakening in gross margin was driven by cost of revenue growing faster than revenue.
Compared to the prior quarter, revenue was lower and gross profit was unchanged, while cost of revenue was lower, leading to a higher gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but cost of revenue was substantially higher, resulting in a lower gross margin.
Monitor the trajectory of cost of revenue relative to revenue, as its faster growth year-over-year compressed gross margin.