Coherent Corp. stock research
FY2024 Q2
Coherent (COHR) Gross Margin — Quarter Ended Dec 31, 2023
Revenue was flat compared to the immediately preceding quarter but lower than the same quarter one year earlier. Gross profit and gross margin improved both sequentially and year-over-year, while cost of revenue increased from the prior quarter and decreased from the prior year.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2024 Q2
Revenue was flat compared to the immediately preceding quarter but lower than the same quarter one year earlier. Gross profit and gross margin improved both sequentially and year-over-year, while cost of revenue increased from the prior quarter and decreased from the prior year.
- The gross margin strengthened relative to both the prior quarter and the year-ago period, driven by a larger increase in gross profit compared to the change in revenue on a sequential basis and a smaller decline in gross profit relative to the revenue decline on a year-over-year basis.
- Revenue was unchanged from the preceding quarter and lower than the same quarter one year earlier. Gross profit and gross margin were higher than both the prior quarter and the year-ago period. Cost of revenue was higher than the prior quarter but lower than the prior year.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
31.0%
Gross profit
$350.6M
Revenue
$1.1B
Cost of revenue
$780.8M
Quarter-over-quarter change
+1.8 pts
Year-over-year change
+1.0 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 | $1.2B | $420.2M | $820.0M | 33.9% |
| Jun 30, 2023 | $1.2B | $343.4M | $861.7M | 28.5% |
| Sep 30, 2023 | $1.1B | $306.9M | $746.2M | 29.1% |
| Dec 31, 2023 | $1.1B | $350.6M | $780.8M | 31.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2023
+1.8 pts
Year-over-year change
Dec 31, 2022
+1.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin strengthened relative to both the prior quarter and the year-ago period, driven by a larger increase in gross profit compared to the change in revenue on a sequential basis and a smaller decline in gross profit relative to the revenue decline on a year-over-year basis.
Revenue was unchanged from the preceding quarter and lower than the same quarter one year earlier. Gross profit and gross margin were higher than both the prior quarter and the year-ago period. Cost of revenue was higher than the prior quarter but lower than the prior year.
Monitor the trajectory of cost of revenue relative to revenue, as its sequential increase exceeded the change in revenue, yet the year-over-year decline was less than the revenue decline.