CR

Charles River Laboratories International, Inc. stock research

Mar 30, 2024

FY2024 Q1

Charles River Laboratories International (CRL) Gross Margin — Quarter Ended Mar 30, 2024

Revenue was stable compared to the prior quarter and the same quarter last year. Gross profit decreased and cost of revenue increased relative to the year-ago quarter, resulting in a lower gross margin.

Gross margin takeaway

Quarter ended Mar 30, 2024 · FY2024 Q1

Revenue was stable compared to the prior quarter and the same quarter last year. Gross profit decreased and cost of revenue increased relative to the year-ago quarter, resulting in a lower gross margin.

  • The decline in gross margin was driven by a higher cost of revenue relative to revenue, as gross profit fell while revenue remained flat year over year.
  • Compared to the prior quarter, revenue was unchanged but gross margin data is not available for that period. Compared to the same quarter one year earlier, revenue was stable, gross profit was lower, cost of revenue was higher, and gross margin weakened.

Gross margin snapshot

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

Gross margin

34.1%

Gross profit

$344.8M

Revenue

$1.0B

Cost of revenue

$666.7M

Quarter-over-quarter change

-1.2 pts

Year-over-year change

-2.6 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Apr 1, 2023$1.0B$377.7M$651.7M36.7%
Jul 1, 2023$1.1B$399.0M$661.0M37.6%
Sep 30, 2023$1.0B$361.8M$664.8M35.2%
Mar 30, 2024$1.0B$344.8M$666.7M34.1%

Quarterly comparisons

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

Previous-quarter change

Sep 30, 2023

-1.2 pts

Year-over-year change

Apr 1, 2023

-2.6 pts

What the margin says

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

The decline in gross margin was driven by a higher cost of revenue relative to revenue, as gross profit fell while revenue remained flat year over year.

Compared to the prior quarter, revenue was unchanged but gross margin data is not available for that period. Compared to the same quarter one year earlier, revenue was stable, gross profit was lower, cost of revenue was higher, and gross margin weakened.

Monitor the trajectory of cost of revenue relative to revenue, as its increase outpaced revenue growth year over year.