Henry Schein, Inc. stock research
FY2026 Q1
Henry Schein (HSIC) Gross Margin — Quarter Ended Mar 28, 2026
Revenue was stable compared with the immediately preceding quarter and higher than the same quarter one year earlier. Gross profit was stable sequentially and higher year over year, while cost of revenue was slightly lower sequentially and higher year over year; gross margin improved sequentially and weakened slightly compared with the same quarter a year ago.
Gross margin takeaway
Quarter ended Mar 28, 2026 · FY2026 Q1
Revenue was stable compared with the immediately preceding quarter and higher than the same quarter one year earlier. Gross profit was stable sequentially and higher year over year, while cost of revenue was slightly lower sequentially and higher year over year; gross margin improved sequentially and weakened slightly compared with the same quarter a year ago.
- The sequential improvement in gross margin was accompanied by a reduction in cost of revenue relative to revenue, while the year-over-year comparison shows a slightly weaker gross margin despite higher gross profit, indicating that cost of revenue grew faster than revenue over the longer period.
- Sequentially, gross margin improved as cost of revenue declined while revenue remained steady. Year over year, gross margin was slightly lower as revenue and gross profit both increased, but cost of revenue rose at a faster pace.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
31.8%
Gross profit
$1.1B
Revenue
$3.4B
Cost of revenue
$2.3B
Quarter-over-quarter change
+0.8 pts
Year-over-year change
+0.2 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 28, 2025 | $3.2B | $1.0B | $2.2B | 31.4% |
| Sep 27, 2025 | $3.3B | $1.0B | $2.3B | 30.7% |
| Dec 27, 2025 | $3.4B | $1.1B | $2.4B | 30.9% |
| Mar 28, 2026 | $3.4B | $1.1B | $2.3B | 31.8% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 27, 2025
+0.8 pts
Year-over-year change
Mar 29, 2025
+0.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The sequential improvement in gross margin was accompanied by a reduction in cost of revenue relative to revenue, while the year-over-year comparison shows a slightly weaker gross margin despite higher gross profit, indicating that cost of revenue grew faster than revenue over the longer period.
Sequentially, gross margin improved as cost of revenue declined while revenue remained steady. Year over year, gross margin was slightly lower as revenue and gross profit both increased, but cost of revenue rose at a faster pace.
Monitor the trajectory of cost of revenue relative to revenue, as its growth rate diverged from revenue on a year-over-year basis.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| Henry Schein, Inc. (HSIC) | 31.8% |