Global Payments Inc. stock research
FY2023 Q2
Global Payments (GPN) Gross Margin — Quarter Ended Jun 30, 2023
Revenue increased and cost of revenue decreased, resulting in higher gross profit and an improved gross margin compared with both the prior quarter and the same quarter one year earlier.
Gross margin takeaway
Quarter ended Jun 30, 2023 · FY2023 Q2
Revenue increased and cost of revenue decreased, resulting in higher gross profit and an improved gross margin compared with both the prior quarter and the same quarter one year earlier.
- The gross margin improvement was driven by revenue growth occurring alongside a reduction in cost of revenue.
- Gross margin strengthened relative to the immediately preceding quarter and also improved compared with the same quarter one year earlier.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
61.6%
Gross profit
$1.5B
Revenue
$2.5B
Cost of revenue
$942.0M
Quarter-over-quarter change
+2.9 pts
Year-over-year change
+3.8 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 |
|---|---|---|---|---|
| Mar 31, 2023 | $2.3B | $1.3B | $947.8M | 58.7% |
| Jun 30, 2023 | $2.5B | $1.5B | $942.0M | 61.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2023
+2.9 pts
Year-over-year change
Jun 30, 2022
+3.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improvement was driven by revenue growth occurring alongside a reduction in cost of revenue.
Gross margin strengthened relative to the immediately preceding quarter and also improved compared with the same quarter one year earlier.
Monitor the relationship between revenue growth and cost of revenue changes in upcoming quarters.