Coherent Corp. stock research
FY2024 Q4
Coherent (COHR) Gross Margin — Quarter Ended Jun 30, 2024
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue rose less proportionally. Gross margin improved sequentially and year-over-year, reflecting a stronger relationship between revenue and cost of revenue.
Gross margin takeaway
Quarter ended Jun 30, 2024 · FY2024 Q4
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue rose less proportionally. Gross margin improved sequentially and year-over-year, reflecting a stronger relationship between revenue and cost of revenue.
- The strongest observable margin driver is the improvement in gross margin relative to both the prior quarter and the year-ago quarter, driven by revenue growth outpacing cost of revenue growth.
- Compared to the immediately preceding quarter, gross margin was higher, supported by a larger increase in revenue relative to cost of revenue. Versus the same quarter one year earlier, gross margin also improved, with revenue growing while cost of revenue remained relatively stable.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
32.9%
Gross profit
$431.9M
Revenue
$1.3B
Cost of revenue
$882.4M
Quarter-over-quarter change
+2.5 pts
Year-over-year change
+4.4 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 |
|---|---|---|---|---|
| Sep 30, 2023 | $1.1B | $306.9M | $746.2M | 29.1% |
| Dec 31, 2023 | $1.1B | $350.6M | $780.8M | 31.0% |
| Mar 31, 2024 | $1.2B | $366.5M | $842.3M | 30.3% |
| Jun 30, 2024 | $1.3B | $431.9M | $882.4M | 32.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2024
+2.5 pts
Year-over-year change
Jun 30, 2023
+4.4 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 relative to both the prior quarter and the year-ago quarter, driven by revenue growth outpacing cost of revenue growth.
Compared to the immediately preceding quarter, gross margin was higher, supported by a larger increase in revenue relative to cost of revenue. Versus the same quarter one year earlier, gross margin also improved, with revenue growing while cost of revenue remained relatively stable.
Monitor the trend in cost of revenue relative to revenue, as any acceleration in cost growth could pressure gross margin.