Broadridge Financial Solutions, Inc. stock research
FY2023 Q4
Broadridge Financial Solutions (BR) Gross Margin — Quarter Ended Jun 30, 2023
Revenue and gross profit increased compared to both the prior quarter and the same quarter a year ago, while cost of revenue also rose. Gross margin improved from both periods, indicating a stronger relationship between gross profit and cost of revenue.
Gross margin takeaway
Quarter ended Jun 30, 2023 · FY2023 Q4
Revenue and gross profit increased compared to both the prior quarter and the same quarter a year ago, while cost of revenue also rose. Gross margin improved from both periods, indicating a stronger relationship between gross profit and cost of revenue.
- Gross profit is the difference between revenue and cost of revenue, and the current quarter's gross margin reflects the share of revenue retained after deducting those costs. Revenue and cost of revenue both increased, but gross profit rose by a larger amount, leading to a higher gross margin.
- Compared to the prior quarter, gross margin improved as revenue and gross profit both increased while cost of revenue also rose. Compared to the same quarter last year, gross margin also improved, with gross profit increasing more than cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
37.0%
Gross profit
$679.9M
Revenue
$1.8B
Cost of revenue
$1.2B
Quarter-over-quarter change
+6.1 pts
Year-over-year change
+3.5 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 | $1.6B | $508.0M | $1.1B | 30.9% |
| Jun 30, 2023 | $1.8B | $679.9M | $1.2B | 37.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2023
+6.1 pts
Year-over-year change
Jun 30, 2022
+3.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross profit is the difference between revenue and cost of revenue, and the current quarter's gross margin reflects the share of revenue retained after deducting those costs. Revenue and cost of revenue both increased, but gross profit rose by a larger amount, leading to a higher gross margin.
Compared to the prior quarter, gross margin improved as revenue and gross profit both increased while cost of revenue also rose. Compared to the same quarter last year, gross margin also improved, with gross profit increasing more than cost of revenue.
Monitor the trend of cost of revenue relative to revenue, as changes in this relationship directly affect gross margin.