CO

The Cooper Companies, Inc. stock research

Jul 31, 2025

FY2025 Q3

The Cooper Companies (COO) Gross Margin — Quarter Ended Jul 31, 2025

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. The gross margin weakened sequentially but improved versus the year-ago period.

Gross margin takeaway

Quarter ended Jul 31, 2025 · FY2025 Q3

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. The gross margin weakened sequentially but improved versus the year-ago period.

  • The strongest observable margin driver in the current quarter is revenue growth, as gross profit increased despite a higher cost of revenue. The gross margin decline from the prior quarter suggests that cost of revenue grew faster than revenue.
  • Compared to the prior quarter, gross margin was lower, while versus the same quarter one year ago, gross margin was higher. Revenue and gross profit were up in both comparisons.

Gross margin snapshot

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

Gross margin

65.3%

Gross profit

$692.0M

Revenue

$1.1B

Cost of revenue

$368.3M

Quarter-over-quarter change

-2.5 pts

Year-over-year change

-0.9 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Oct 31, 2024$1.0B$677.7M$340.7M66.5%
Jan 31, 2025$964.7M$660.2M$304.5M68.4%
Apr 30, 2025$1.0B$679.1M$323.2M67.8%
Jul 31, 2025$1.1B$692.0M$368.3M65.3%

Quarterly comparisons

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

Previous-quarter change

Apr 30, 2025

-2.5 pts

Year-over-year change

Jul 31, 2024

-0.9 pts

What the margin says

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

The strongest observable margin driver in the current quarter is revenue growth, as gross profit increased despite a higher cost of revenue. The gross margin decline from the prior quarter suggests that cost of revenue grew faster than revenue.

Compared to the prior quarter, gross margin was lower, while versus the same quarter one year ago, gross margin was higher. Revenue and gross profit were up in both comparisons.

Monitor the relationship between revenue growth and cost of revenue growth, as the current quarter's sequential gross margin decline indicates cost growth outpaced revenue growth.