Hubbell Incorporated stock research
FY2023 Q1
Hubbell (HUBB) Gross Margin — Quarter Ended Mar 31, 2023
Gross margin improved compared to both the prior quarter and the same quarter last year, supported by higher revenue and reduced cost of revenue relative to sales. Gross profit increased while revenue grew and cost of revenue declined sequentially.
Gross margin takeaway
Quarter ended Mar 31, 2023 · FY2023 Q1
Gross margin improved compared to both the prior quarter and the same quarter last year, supported by higher revenue and reduced cost of revenue relative to sales. Gross profit increased while revenue grew and cost of revenue declined sequentially.
- The most observable margin driver is the combination of revenue growth and a lower cost of revenue from the prior quarter, which together lifted gross margin significantly.
- Compared to the immediately preceding quarter, revenue increased and cost of revenue decreased, resulting in a higher gross margin. Versus the same quarter one year earlier, revenue rose while cost of revenue was relatively stable, again driving margin improvement.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
34.9%
Gross profit
$448.3M
Revenue
$1.3B
Cost of revenue
$837.1M
Quarter-over-quarter change
n/a
Year-over-year change
+6.9 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 | $1.3B | $448.3M | $837.1M | 34.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Previous quarter unavailable
n/a
Year-over-year change
Mar 31, 2022
+6.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most observable margin driver is the combination of revenue growth and a lower cost of revenue from the prior quarter, which together lifted gross margin significantly.
Compared to the immediately preceding quarter, revenue increased and cost of revenue decreased, resulting in a higher gross margin. Versus the same quarter one year earlier, revenue rose while cost of revenue was relatively stable, again driving margin improvement.
Monitor the trajectory of cost of revenue, which decreased sequentially but remained slightly above the year-ago level.