Church & Dwight Co., Inc. stock research
FY2023 Q3
Church & Dwight (CHD) Gross Margin — Quarter Ended Sep 30, 2023
Revenue remained unchanged while cost of revenue declined, resulting in higher gross profit and an improved gross margin. The current quarter's gross margin is higher than the previous quarter and the same quarter last year.
Gross margin takeaway
Quarter ended Sep 30, 2023 · FY2023 Q3
Revenue remained unchanged while cost of revenue declined, resulting in higher gross profit and an improved gross margin. The current quarter's gross margin is higher than the previous quarter and the same quarter last year.
- The strongest observable margin driver is the improvement in gross margin, which increased from both the prior quarter and the prior year.
- Compared to the immediately preceding quarter, revenue was stable, cost of revenue was lower, and gross profit and gross margin were higher. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue also increased but at a slower pace.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
44.4%
Gross profit
$646.3M
Revenue
$1.5B
Cost of revenue
$809.6M
Quarter-over-quarter change
+0.5 pts
Year-over-year change
+2.7 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 | $1.4B | $622.0M | $807.8M | 43.5% |
| Jun 30, 2023 | $1.5B | $638.9M | $815.3M | 43.9% |
| Sep 30, 2023 | $1.5B | $646.3M | $809.6M | 44.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2023
+0.5 pts
Year-over-year change
Sep 30, 2022
+2.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the improvement in gross margin, which increased from both the prior quarter and the prior year.
Compared to the immediately preceding quarter, revenue was stable, cost of revenue was lower, and gross profit and gross margin were higher. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue also increased but at a slower pace.
Monitor the trend of cost of revenue relative to revenue, as it directly influences gross margin.