Colgate-Palmolive Company stock research
FY2025 Q4
Colgate-Palmolive (CL) Gross Margin — Quarter Ended Dec 31, 2025
Revenue increased from the prior quarter, while cost of revenue remained steady, resulting in higher gross profit and an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but cost of revenue also increased, leading to a slightly lower gross margin.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue increased from the prior quarter, while cost of revenue remained steady, resulting in higher gross profit and an improved gross margin. Compared to the same quarter last year, revenue and gross profit were higher, but cost of revenue also increased, leading to a slightly lower gross margin.
- The strongest observable driver of the gross margin improvement from the prior quarter was the combination of higher revenue and unchanged cost of revenue, which expanded gross profit relative to revenue.
- Compared to the prior quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin was slightly weaker.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
60.2%
Gross profit
$3.1B
Revenue
$5.2B
Cost of revenue
$2.1B
Quarter-over-quarter change
+0.7 pts
Year-over-year change
-0.2 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, 2025 | $4.9B | $3.0B | $1.9B | 60.8% |
| Jun 30, 2025 | $5.1B | $3.1B | $2.0B | 60.1% |
| Sep 30, 2025 | $5.1B | $3.0B | $2.1B | 59.4% |
| Dec 31, 2025 | $5.2B | $3.1B | $2.1B | 60.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
+0.7 pts
Year-over-year change
Dec 31, 2024
-0.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver of the gross margin improvement from the prior quarter was the combination of higher revenue and unchanged cost of revenue, which expanded gross profit relative to revenue.
Compared to the prior quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin was slightly weaker.
Monitor the trend in cost of revenue relative to revenue, as it remained unchanged sequentially but increased year-over-year.