FL

Flex Ltd. stock research

Jun 30, 2023

FY2024 Q1

Flex (FLEX) Gross Margin — Quarter Ended Jun 30, 2023

Revenue decreased compared to the prior quarter and the same quarter last year, while gross profit increased relative to the prior quarter but decreased relative to the year-ago quarter. The filing notes that the company is monitoring the conflict in Ukraine with no material impact to date, and that a subsidiary completed a follow-on offering.

Gross margin takeaway

Quarter ended Jun 30, 2023 · FY2024 Q1

Revenue decreased compared to the prior quarter and the same quarter last year, while gross profit increased relative to the prior quarter but decreased relative to the year-ago quarter. The filing notes that the company is monitoring the conflict in Ukraine with no material impact to date, and that a subsidiary completed a follow-on offering.

  • The sequential improvement in gross margin was associated with a higher gross profit despite lower revenue, while the year-over-year decline reflected a lower gross profit relative to revenue.
  • Compared to the prior quarter, gross margin improved; compared to the same quarter last year, gross margin weakened.

Gross margin snapshot

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

Gross margin

6.9%

Gross profit

$476.0M

Revenue

$6.9B

Cost of revenue

$6.4B

Quarter-over-quarter change

n/a

Year-over-year change

-0.1 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2023$6.9B$476.0M$6.4B6.9%

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

Jul 1, 2022

-0.1 pts

What the margin says

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

The sequential improvement in gross margin was associated with a higher gross profit despite lower revenue, while the year-over-year decline reflected a lower gross profit relative to revenue.

Compared to the prior quarter, gross margin improved; compared to the same quarter last year, gross margin weakened.

Monitor the trend in cost of revenue, which increased sequentially even as revenue declined.