Fair Isaac Corporation stock research
FY2025 Q2
Fair Isaac (FICO) Gross Margin — Quarter Ended Mar 31, 2025
In the current quarter, revenue and gross profit increased compared to both the prior quarter and the same quarter last year, while cost of revenue remained relatively unchanged. Consequently, gross margin improved from the prior quarter and from a year ago.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q2
In the current quarter, revenue and gross profit increased compared to both the prior quarter and the same quarter last year, while cost of revenue remained relatively unchanged. Consequently, gross margin improved from the prior quarter and from a year ago.
- The primary observable driver of the gross margin improvement was the increase in revenue that exceeded the modest change in cost of revenue.
- Gross margin was higher than both the immediately preceding quarter and the same quarter one year earlier.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
82.4%
Gross profit
$411.1M
Revenue
$498.7M
Cost of revenue
$87.6M
Quarter-over-quarter change
+2.3 pts
Year-over-year change
+2.5 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 |
|---|---|---|---|---|
| Jun 30, 2024 | $447.8M | $359.6M | $88.2M | 80.3% |
| Sep 30, 2024 | $453.8M | $364.2M | $89.6M | 80.3% |
| Dec 31, 2024 | $440.0M | $352.6M | $87.3M | 80.1% |
| Mar 31, 2025 | $498.7M | $411.1M | $87.6M | 82.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
+2.3 pts
Year-over-year change
Mar 31, 2024
+2.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary observable driver of the gross margin improvement was the increase in revenue that exceeded the modest change in cost of revenue.
Gross margin was higher than both the immediately preceding quarter and the same quarter one year earlier.
Monitor the trend in cost of revenue, as it has shown little variation despite revenue growth.