EM

Emerson Electric Co. stock research

Jun 30, 2024

FY2024 Q3

Emerson Electric (EMR) Gross Margin — Quarter Ended Jun 30, 2024

Revenue was unchanged from the preceding quarter, while gross profit and cost of revenue also held steady, leading to a modest improvement in gross margin. Compared with the same quarter a year earlier, revenue and gross profit were both higher, and gross margin was also higher, reflecting a stronger relationship between gross profit and revenue.

Gross margin takeaway

Quarter ended Jun 30, 2024 · FY2024 Q3

Revenue was unchanged from the preceding quarter, while gross profit and cost of revenue also held steady, leading to a modest improvement in gross margin. Compared with the same quarter a year earlier, revenue and gross profit were both higher, and gross margin was also higher, reflecting a stronger relationship between gross profit and revenue.

  • The gross margin percentage increased from the prior quarter and from the year-ago period, indicating that for each dollar of revenue, a larger share remained as gross profit.
  • Compared to the preceding quarter, revenue was stable, gross profit was stable, and gross margin was slightly higher. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue was also higher.

Gross margin snapshot

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

Gross margin

52.8%

Gross profit

$2.3B

Revenue

$4.4B

Cost of revenue

$2.1B

Quarter-over-quarter change

+0.6 pts

Year-over-year change

+2.3 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2023$3.9B$2.0B$2.0B50.5%
Dec 31, 2023$4.1B$1.9B$2.2B46.5%
Mar 31, 2024$4.4B$2.3B$2.1B52.2%
Jun 30, 2024$4.4B$2.3B$2.1B52.8%

Quarterly comparisons

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

Previous-quarter change

Mar 31, 2024

+0.6 pts

Year-over-year change

Jun 30, 2023

+2.3 pts

What the margin says

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

The gross margin percentage increased from the prior quarter and from the year-ago period, indicating that for each dollar of revenue, a larger share remained as gross profit.

Compared to the preceding quarter, revenue was stable, gross profit was stable, and gross margin was slightly higher. Compared to the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue was also higher.

Monitor the integration of the NI acquisition and the planned divestiture of the Copeland interest, as disclosed in the filing.

EMR Gross Margin — Quarter Ended Jun 30, 2024