Broadridge Financial Solutions, Inc. stock research
FY2026 Q1
Broadridge Financial Solutions (BR) Gross Margin — Quarter Ended Sep 30, 2025
Revenue and gross profit were lower than the prior quarter but higher than the same quarter last year. Gross margin weakened sequentially but improved year-over-year.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2026 Q1
Revenue and gross profit were lower than the prior quarter but higher than the same quarter last year. Gross margin weakened sequentially but improved year-over-year.
- The sequential decline in gross margin was driven by a proportionally smaller decrease in cost of revenue relative to revenue. Year-over-year, revenue grew faster than cost of revenue, leading to margin expansion.
- Compared to the immediately preceding quarter, revenue, gross profit, and gross margin all decreased. Compared to the same quarter one year earlier, all three metrics increased.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
26.6%
Gross profit
$422.6M
Revenue
$1.6B
Cost of revenue
$1.2B
Quarter-over-quarter change
-10.7 pts
Year-over-year change
+2.1 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 |
|---|---|---|---|---|
| Dec 31, 2024 | $1.6B | $443.4M | $1.1B | 27.9% |
| Mar 31, 2025 | $1.8B | $575.8M | $1.2B | 31.8% |
| Jun 30, 2025 | $2.1B | $769.8M | $1.3B | 37.3% |
| Sep 30, 2025 | $1.6B | $422.6M | $1.2B | 26.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
-10.7 pts
Year-over-year change
Sep 30, 2024
+2.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The sequential decline in gross margin was driven by a proportionally smaller decrease in cost of revenue relative to revenue. Year-over-year, revenue grew faster than cost of revenue, leading to margin expansion.
Compared to the immediately preceding quarter, revenue, gross profit, and gross margin all decreased. Compared to the same quarter one year earlier, all three metrics increased.
Monitor the relationship between revenue growth and cost of revenue changes in future periods.