DuPont de Nemours, Inc. stock research
FY2023 Q3
DuPont de Nemours (DD) Gross Margin — Quarter Ended Sep 30, 2023
Revenue and cost of revenue were stable compared to the prior quarter, while gross profit held steady, leading to an improvement in gross margin. Versus the same quarter last year, revenue and gross profit were lower, cost of revenue declined, and gross margin weakened.
Gross margin takeaway
Quarter ended Sep 30, 2023 · FY2023 Q3
Revenue and cost of revenue were stable compared to the prior quarter, while gross profit held steady, leading to an improvement in gross margin. Versus the same quarter last year, revenue and gross profit were lower, cost of revenue declined, and gross margin weakened.
- Gross margin improved sequentially as the relationship between cost of revenue and revenue shifted favorably, even though both absolute amounts were relatively unchanged. The year-over-year decline in gross margin was driven by a proportionally smaller reduction in cost of revenue relative to the drop in revenue.
- Compared to the prior quarter, gross margin was higher, while versus the same quarter last year it was lower. Revenue and cost of revenue were essentially flat sequentially but both were down from the prior year.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
36.1%
Gross profit
$1.1B
Revenue
$3.1B
Cost of revenue
$2.0B
Quarter-over-quarter change
+1.7 pts
Year-over-year change
-0.7 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 | $3.0B | $1.0B | $2.0B | 34.3% |
| Jun 30, 2023 | $3.1B | $1.1B | $2.0B | 34.4% |
| Sep 30, 2023 | $3.1B | $1.1B | $2.0B | 36.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2023
+1.7 pts
Year-over-year change
Sep 30, 2022
-0.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin improved sequentially as the relationship between cost of revenue and revenue shifted favorably, even though both absolute amounts were relatively unchanged. The year-over-year decline in gross margin was driven by a proportionally smaller reduction in cost of revenue relative to the drop in revenue.
Compared to the prior quarter, gross margin was higher, while versus the same quarter last year it was lower. Revenue and cost of revenue were essentially flat sequentially but both were down from the prior year.
Monitor whether the sequential improvement in gross margin can be sustained given the stable revenue and cost of revenue levels.