Corning Incorporated stock research
FY2025 Q1
Corning (GLW) Gross Margin — Quarter Ended Mar 31, 2025
Revenue less cost of revenue yields gross profit, and gross profit divided by revenue defines gross margin. In the current quarter, gross profit and gross margin both increased as cost of revenue changed at a different rate than revenue.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue less cost of revenue yields gross profit, and gross profit divided by revenue defines gross margin. In the current quarter, gross profit and gross margin both increased as cost of revenue changed at a different rate than revenue.
- The strongest observable margin driver is the movement of cost of revenue relative to revenue. Cost of revenue declined from the prior quarter while revenue was stable, and rose at a slower pace than revenue compared to the same quarter last year.
- Compared to the immediately preceding quarter, gross margin improved as cost of revenue decreased while revenue held steady. Compared to the same quarter one year earlier, gross margin strengthened as revenue grew with a proportionally smaller increase in cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
35.2%
Gross profit
$1.2B
Revenue
$3.5B
Cost of revenue
$2.2B
Quarter-over-quarter change
+1.0 pts
Year-over-year change
+1.8 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 |
|---|---|---|---|---|
| Jun 30, 2024 | $3.3B | $949.0M | $2.3B | 29.2% |
| Sep 30, 2024 | $3.4B | $1.1B | $2.3B | 33.5% |
| Dec 31, 2024 | $3.5B | $1.2B | $2.3B | 34.2% |
| Mar 31, 2025 | $3.5B | $1.2B | $2.2B | 35.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
+1.0 pts
Year-over-year change
Mar 31, 2024
+1.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the movement of cost of revenue relative to revenue. Cost of revenue declined from the prior quarter while revenue was stable, and rose at a slower pace than revenue compared to the same quarter last year.
Compared to the immediately preceding quarter, gross margin improved as cost of revenue decreased while revenue held steady. Compared to the same quarter one year earlier, gross margin strengthened as revenue grew with a proportionally smaller increase in cost of revenue.
A concrete item to monitor is the trend in cost of revenue, as its growth rate relative to revenue has been the primary factor affecting gross margin.