Edwards Lifesciences Corporation stock research
FY2025 Q4
Edwards Lifesciences (EW) Gross Margin — Quarter Ended Dec 31, 2025
Revenue was essentially unchanged from the prior quarter, while gross profit slightly increased and cost of revenue decreased. Compared with the same quarter one year earlier, revenue and gross profit were both higher, cost of revenue was also higher, and gross margin weakened slightly.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue was essentially unchanged from the prior quarter, while gross profit slightly increased and cost of revenue decreased. Compared with the same quarter one year earlier, revenue and gross profit were both higher, cost of revenue was also higher, and gross margin weakened slightly.
- The gross margin improved relative to the immediately preceding quarter and weakened versus the same quarter one year earlier. The change from the prior quarter was driven by a slightly lower cost of revenue relative to revenue.
- Sequentially, gross margin improved slightly; year-over-year, gross margin was lower. Revenue and gross profit were each higher year-over-year but stable sequentially.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
78.1%
Gross profit
$1.2B
Revenue
$1.6B
Cost of revenue
$343.0M
Quarter-over-quarter change
+0.4 pts
Year-over-year change
-0.8 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, 2025 | $1.4B | $1.1B | $301.6M | 78.7% |
| Jun 30, 2025 | $1.5B | $1.2B | $344.4M | 77.5% |
| Sep 30, 2025 | $1.6B | $1.2B | $345.2M | 77.8% |
| Dec 31, 2025 | $1.6B | $1.2B | $343.0M | 78.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
+0.4 pts
Year-over-year change
Dec 31, 2024
-0.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improved relative to the immediately preceding quarter and weakened versus the same quarter one year earlier. The change from the prior quarter was driven by a slightly lower cost of revenue relative to revenue.
Sequentially, gross margin improved slightly; year-over-year, gross margin was lower. Revenue and gross profit were each higher year-over-year but stable sequentially.
Monitor the relationship between cost of revenue and revenue, as cost of revenue declined sequentially while revenue held steady, contributing to the margin improvement.