F

Ford Motor Company stock research

Jun 30, 2023

FY2023 Q2

Ford Motor (F) Gross Margin — Quarter Ended Jun 30, 2023

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 from the prior quarter but weakened compared to the same quarter one year earlier.

Gross margin takeaway

Quarter ended Jun 30, 2023 · FY2023 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 from the prior quarter but weakened compared to the same quarter one year earlier.

  • The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth. Revenue increased more than cost of revenue compared to the prior quarter, leading to a slight gross margin improvement.
  • Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was lower.

Gross margin snapshot

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

Gross margin

16.6%

Gross profit

$7.5B

Revenue

$45.0B

Cost of revenue

$37.5B

Quarter-over-quarter change

+0.2 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.

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2023$41.5B$6.8B$34.7B16.4%
Jun 30, 2023$45.0B$7.5B$37.5B16.6%

Quarterly comparisons

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

Previous-quarter change

Mar 31, 2023

+0.2 pts

Year-over-year change

Jun 30, 2022

-0.8 pts

What the margin says

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

The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth. Revenue increased more than cost of revenue compared to the prior quarter, leading to a slight gross margin improvement.

Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was lower.

Monitor the trend of cost of revenue relative to revenue, as its growth rate may affect future gross margin stability.