Global Payments Inc. stock research
FY2026 Q1
Global Payments (GPN) Gross Margin — Quarter Ended Mar 31, 2026
Revenue increased compared to both the prior quarter and the same quarter last year, while gross profit also rose. However, cost of revenue grew at a faster pace, causing gross margin to weaken relative to both periods.
Gross margin takeaway
Quarter ended Mar 31, 2026 · FY2026 Q1
Revenue increased compared to both the prior quarter and the same quarter last year, while gross profit also rose. However, cost of revenue grew at a faster pace, causing gross margin to weaken relative to both periods.
- The most observable driver of gross margin change is the significant increase in cost of revenue relative to revenue growth, which compressed margin.
- Compared to the immediately preceding quarter, revenue was higher but gross margin was lower. Versus the same quarter one year earlier, revenue was higher but gross margin was also lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
57.1%
Gross profit
$1.7B
Revenue
$3.0B
Cost of revenue
$1.3B
Quarter-over-quarter change
-13.4 pts
Year-over-year change
-15.7 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, 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% |
| Mar 31, 2026 | $3.0B | $1.7B | $1.3B | 57.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2025
-13.4 pts
Year-over-year change
Mar 31, 2025
-15.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most observable driver of gross margin change is the significant increase in cost of revenue relative to revenue growth, which compressed margin.
Compared to the immediately preceding quarter, revenue was higher but gross margin was lower. Versus the same quarter one year earlier, revenue was higher but gross margin was also lower.
Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| Global Payments Inc. (GPN) | 57.1% |