EQ

Equinix, Inc. stock research

Sep 30, 2025

FY2025 Q3

Equinix (EQIX) Gross Margin — Quarter Ended Sep 30, 2025

Revenue and gross profit were both higher than a year earlier but stable compared to the prior quarter. Gross margin improved from the same quarter last year but weakened sequentially, reflecting a mixed performance.

Gross margin takeaway

Quarter ended Sep 30, 2025 · FY2025 Q3

Revenue and gross profit were both higher than a year earlier but stable compared to the prior quarter. Gross margin improved from the same quarter last year but weakened sequentially, reflecting a mixed performance.

  • Gross margin improved year-over-year, the strongest observable directional change among the metrics. However, the sequential decline indicates a recent shift in the balance between revenue and cost of revenue.
  • Compared to the prior quarter, revenue and gross profit were unchanged while gross margin was lower. Year-over-year, revenue and gross profit were higher with gross margin also higher.

Gross margin snapshot

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

Gross margin

50.7%

Gross profit

$1.2B

Revenue

$2.3B

Cost of revenue

$1.1B

Quarter-over-quarter change

-1.3 pts

Year-over-year change

+0.6 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Dec 31, 2024$2.3B$1.1B$1.2B47.1%
Mar 31, 2025$2.2B$1.1B$1.1B51.3%
Jun 30, 2025$2.3B$1.2B$1.1B52.0%
Sep 30, 2025$2.3B$1.2B$1.1B50.7%

Quarterly comparisons

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

Previous-quarter change

Jun 30, 2025

-1.3 pts

Year-over-year change

Sep 30, 2024

+0.6 pts

What the margin says

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

Gross margin improved year-over-year, the strongest observable directional change among the metrics. However, the sequential decline indicates a recent shift in the balance between revenue and cost of revenue.

Compared to the prior quarter, revenue and gross profit were unchanged while gross margin was lower. Year-over-year, revenue and gross profit were higher with gross margin also higher.

Monitor whether gross margin continues to weaken sequentially or stabilizes in coming quarters.