Henry Schein, Inc. stock research
FY2024 Q1
Henry Schein (HSIC) Gross Margin — Quarter Ended Mar 30, 2024
Revenue, cost of revenue, and gross profit all increased relative to the prior quarter, resulting in an improved gross margin. Compared to the same quarter one year earlier, revenue and costs were also higher, while gross profit rose and gross margin remained stable.
Gross margin takeaway
Quarter ended Mar 30, 2024 · FY2024 Q1
Revenue, cost of revenue, and gross profit all increased relative to the prior quarter, resulting in an improved gross margin. Compared to the same quarter one year earlier, revenue and costs were also higher, while gross profit rose and gross margin remained stable.
- The gross margin increased from the preceding quarter, driven by gross profit growing at a faster pace than cost of revenue. Against the year-ago quarter, gross margin held steady as the rise in gross profit matched the increase in revenue.
- Sequentially, gross margin improved as revenue growth outpaced the increase in cost of revenue. Year over year, gross margin was essentially unchanged despite higher revenue and cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
31.9%
Gross profit
$1.0B
Revenue
$3.2B
Cost of revenue
$2.2B
Quarter-over-quarter change
+1.3 pts
Year-over-year change
+0.3 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 |
|---|---|---|---|---|
| Jul 1, 2023 | $3.1B | $975.0M | $2.1B | 31.5% |
| Sep 30, 2023 | $3.2B | $995.0M | $2.2B | 31.5% |
| Dec 30, 2023 | $3.0B | $924.0M | $2.1B | 30.6% |
| Mar 30, 2024 | $3.2B | $1.0B | $2.2B | 31.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 30, 2023
+1.3 pts
Year-over-year change
Apr 1, 2023
+0.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin increased from the preceding quarter, driven by gross profit growing at a faster pace than cost of revenue. Against the year-ago quarter, gross margin held steady as the rise in gross profit matched the increase in revenue.
Sequentially, gross margin improved as revenue growth outpaced the increase in cost of revenue. Year over year, gross margin was essentially unchanged despite higher revenue and cost of revenue.
Monitor the trend in cost of revenue relative to revenue, as its proportional growth directly affects gross margin stability.