BS

Boston Scientific Corporation stock research

Dec 31, 2023

FY2023 Q4

Boston Scientific (BSX) Gross Margin — Quarter Ended Dec 31, 2023

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue remained stable. Gross margin improved slightly versus both periods.

Gross margin takeaway

Quarter ended Dec 31, 2023 · FY2023 Q4

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue remained stable. Gross margin improved slightly versus both periods.

  • The improvement in gross margin was driven by revenue growth outpacing the change in cost of revenue, which remained relatively flat.
  • Compared to the prior quarter, gross margin improved slightly. Versus the same quarter last year, gross margin also showed a modest improvement.

Gross margin snapshot

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

Gross margin

69.2%

Gross profit

$2.6B

Revenue

$3.7B

Cost of revenue

$1.1B

Quarter-over-quarter change

+0.5 pts

Year-over-year change

+0.4 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$3.4B$2.3B$1.0B69.3%
Jun 30, 2023$3.6B$2.5B$1.1B70.6%
Sep 30, 2023$3.5B$2.4B$1.1B68.8%
Dec 31, 2023$3.7B$2.6B$1.1B69.2%

Quarterly comparisons

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

Previous-quarter change

Sep 30, 2023

+0.5 pts

Year-over-year change

Dec 31, 2022

+0.4 pts

What the margin says

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

The improvement in gross margin was driven by revenue growth outpacing the change in cost of revenue, which remained relatively flat.

Compared to the prior quarter, gross margin improved slightly. Versus the same quarter last year, gross margin also showed a modest improvement.

Monitor the trend in cost of revenue, as its stability was a key factor in the margin improvement.