Global Payments Inc. stock research
FY2025 Q4
Global Payments (GPN) Gross Margin — Quarter Ended Dec 31, 2025
Revenue and gross profit were both lower than the prior quarter but stable compared to the same quarter last year. Cost of revenue increased relative to both comparison periods, resulting in a gross margin that weakened from the prior quarter and from the year-ago quarter.
Gross margin takeaway
Quarter ended Dec 31, 2025 · FY2025 Q4
Revenue and gross profit were both lower than the prior quarter but stable compared to the same quarter last year. Cost of revenue increased relative to both comparison periods, resulting in a gross margin that weakened from the prior quarter and from the year-ago quarter.
- The gross margin declined sequentially and year-over-year, driven by a higher cost of revenue relative to revenue. Revenue was unchanged year-over-year, while cost of revenue rose, compressing gross profit as a share of revenue.
- Compared to the prior quarter, revenue and gross profit were lower, cost of revenue was higher, and gross margin weakened. Compared to the same quarter last year, revenue and gross profit were stable, cost of revenue was higher, and gross margin weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
70.6%
Gross profit
$1.4B
Revenue
$1.9B
Cost of revenue
$569.0M
Quarter-over-quarter change
-1.7 pts
Year-over-year change
-2.3 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, 2025 | $1.8B | $1.3B | $495.2M | 72.8% |
| Jun 30, 2025 | $2.0B | $1.5B | $498.8M | 74.5% |
| Sep 30, 2025 | $2.0B | $1.5B | $556.7M | 72.3% |
| Dec 31, 2025 | $1.9B | $1.4B | $569.0M | 70.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2025
-1.7 pts
Year-over-year change
Dec 31, 2024
-2.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin declined sequentially and year-over-year, driven by a higher cost of revenue relative to revenue. Revenue was unchanged year-over-year, while cost of revenue rose, compressing gross profit as a share of revenue.
Compared to the prior quarter, revenue and gross profit were lower, cost of revenue was higher, and gross margin weakened. Compared to the same quarter last year, revenue and gross profit were stable, cost of revenue was higher, and gross margin weakened.
Monitor the trajectory of cost of revenue, which increased relative to both the prior quarter and the year-ago quarter, as it directly pressures gross margin.