Deckers Outdoor Corporation stock research
FY2026 Q2
Deckers Outdoor (DECK) Gross Margin — Quarter Ended Sep 30, 2025
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin improved slightly versus the prior quarter and was higher than the year-ago period, reflecting a favorable relationship between revenue growth and cost of revenue.
Gross margin takeaway
Quarter ended Sep 30, 2025 · FY2026 Q2
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin improved slightly versus the prior quarter and was higher than the year-ago period, reflecting a favorable relationship between revenue growth and cost of revenue.
- The strongest observable margin driver is the sequential improvement in gross margin from the prior quarter, as revenue grew faster than cost of revenue.
- Compared to the immediately preceding quarter, revenue, gross profit, and gross margin were all higher. Versus the same quarter one year earlier, revenue and gross profit were higher, and gross margin was also higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
56.2%
Gross profit
$803.8M
Revenue
$1.4B
Cost of revenue
$627.0M
Quarter-over-quarter change
+0.4 pts
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.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Dec 31, 2024 | $1.8B | $1.1B | $724.5M | 60.3% |
| Mar 31, 2025 | $1.0B | $579.8M | $442.0M | 56.7% |
| Jun 30, 2025 | $964.5M | $537.9M | $426.6M | 55.8% |
| Sep 30, 2025 | $1.4B | $803.8M | $627.0M | 56.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2025
+0.4 pts
Year-over-year change
Sep 30, 2024
+0.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the sequential improvement in gross margin from the prior quarter, as revenue grew faster than cost of revenue.
Compared to the immediately preceding quarter, revenue, gross profit, and gross margin were all higher. Versus the same quarter one year earlier, revenue and gross profit were higher, and gross margin was also higher.
Monitor the trend in cost of revenue relative to revenue, as its growth rate influences gross margin stability.