CO

Cencora, Inc. stock research

Mar 31, 2023

FY2023 Q2

Cencora (COR) Gross Margin — Quarter Ended Mar 31, 2023

Revenue increased compared to the preceding quarter, and gross profit grew at a faster pace, leading to an improvement in gross margin. However, gross margin was lower than the same quarter one year earlier, as gross profit growth did not keep pace with revenue growth over that period.

Gross margin takeaway

Quarter ended Mar 31, 2023 · FY2023 Q2

Revenue increased compared to the preceding quarter, and gross profit grew at a faster pace, leading to an improvement in gross margin. However, gross margin was lower than the same quarter one year earlier, as gross profit growth did not keep pace with revenue growth over that period.

  • The strongest observable driver is the sequential increase in gross margin, which resulted from a greater proportional rise in gross profit relative to revenue.
  • Gross margin improved from the preceding quarter, but weakened compared to the same quarter one year earlier.

Gross margin snapshot

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

Gross margin

3.6%

Gross profit

$2.3B

Revenue

$63.5B

Cost of revenue

$61.2B

Quarter-over-quarter change

n/a

Year-over-year change

-0.3 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2023$63.5B$2.3B$61.2B3.6%

Quarterly comparisons

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

Previous-quarter change

Previous quarter unavailable

n/a

Year-over-year change

Mar 31, 2022

-0.3 pts

What the margin says

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

The strongest observable driver is the sequential increase in gross margin, which resulted from a greater proportional rise in gross profit relative to revenue.

Gross margin improved from the preceding quarter, but weakened compared to the same quarter one year earlier.

Monitor the relative growth rates of revenue and cost of revenue to assess future margin trends.

COR Gross Margin — Quarter Ended Mar 31, 2023