Broadridge Financial Solutions, Inc. stock research
FY2025 Q2
Broadridge Financial Solutions (BR) Gross Margin — Quarter Ended Dec 31, 2024
Revenue was higher while cost of revenue remained similar, leading to a higher gross profit and an improved gross margin. The gross margin strengthened compared to both the prior quarter and the same quarter one year earlier.
Gross margin takeaway
Quarter ended Dec 31, 2024 · FY2025 Q2
Revenue was higher while cost of revenue remained similar, leading to a higher gross profit and an improved gross margin. The gross margin strengthened compared to both the prior quarter and the same quarter one year earlier.
- The strongest observable margin driver was the increase in revenue combined with stable cost of revenue, which directly boosted gross profit and margin.
- Compared to the prior quarter, revenue and gross profit were higher, cost of revenue was similar, and gross margin improved. Compared to the same quarter last year, revenue and gross profit were higher, cost of revenue was similar, and gross margin improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
27.9%
Gross profit
$443.4M
Revenue
$1.6B
Cost of revenue
$1.1B
Quarter-over-quarter change
+3.5 pts
Year-over-year change
+3.1 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, 2024 | $1.7B | $539.2M | $1.2B | 31.2% |
| Jun 30, 2024 | $1.9B | $691.2M | $1.3B | 35.6% |
| Sep 30, 2024 | $1.4B | $347.9M | $1.1B | 24.5% |
| Dec 31, 2024 | $1.6B | $443.4M | $1.1B | 27.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
+3.5 pts
Year-over-year change
Dec 31, 2023
+3.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver was the increase in revenue combined with stable cost of revenue, which directly boosted gross profit and margin.
Compared to the prior quarter, revenue and gross profit were higher, cost of revenue was similar, and gross margin improved. Compared to the same quarter last year, revenue and gross profit were higher, cost of revenue was similar, and gross margin improved.
Monitor cash and cash equivalents, as the company states that cash from operations and existing resources are expected to cover working capital and other cash needs.