F5, Inc. stock research
FY2023 Q2
F5 (FFIV) Gross Margin — Quarter Ended Mar 31, 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 remained stable versus the prior quarter but weakened compared to the same quarter one year earlier.
Gross margin takeaway
Quarter ended Mar 31, 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 remained stable versus the prior quarter but weakened compared to the same quarter one year earlier.
- The strongest observable margin driver is the stability of gross margin relative to the immediate prior quarter, as both revenue and cost of revenue increased proportionally.
- Compared to the prior quarter, revenue and gross profit were slightly higher, cost of revenue was slightly higher, and gross margin was unchanged. Compared to the same quarter last year, revenue and gross profit were higher, cost of revenue was higher, and gross margin was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
77.9%
Gross profit
$547.5M
Revenue
$703.2M
Cost of revenue
$155.7M
Quarter-over-quarter change
n/a
Year-over-year change
-2.2 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, 2023 | $703.2M | $547.5M | $155.7M | 77.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Previous quarter unavailable
n/a
Year-over-year change
Mar 31, 2022
-2.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the stability of gross margin relative to the immediate prior quarter, as both revenue and cost of revenue increased proportionally.
Compared to the prior quarter, revenue and gross profit were slightly higher, cost of revenue was slightly higher, and gross margin was unchanged. Compared to the same quarter last year, revenue and gross profit were higher, cost of revenue was higher, and gross margin was lower.
Monitor the trend in cost of revenue relative to revenue, as its increase outpaced revenue growth compared to the year-ago quarter.