IE

IDEX Corporation stock research

Dec 31, 2025

FY2025 Q4

IDEX (IEX) Gross Margin — Quarter Ended Dec 31, 2025

Revenue increased compared to both the prior quarter and the same quarter last year. Gross profit was slightly lower than the prior quarter but higher than a year ago, while cost of revenue rose in both periods, resulting in a gross margin that weakened sequentially but improved year over year.

Gross margin takeaway

Quarter ended Dec 31, 2025 · FY2025 Q4

Revenue increased compared to both the prior quarter and the same quarter last year. Gross profit was slightly lower than the prior quarter but higher than a year ago, while cost of revenue rose in both periods, resulting in a gross margin that weakened sequentially but improved year over year.

  • Sequentially, cost of revenue increased at a faster pace than revenue, compressing gross margin. Year over year, revenue growth exceeded cost growth, supporting margin expansion.
  • Compared to the prior quarter, gross margin was lower as cost of revenue rose more than revenue. Compared to the same quarter last year, gross margin was higher, with revenue growth outpacing cost growth.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

43.1%

Gross profit

$387.1M

Revenue

$899.1M

Cost of revenue

$512.0M

Quarter-over-quarter change

-1.4 pts

Year-over-year change

+0.5 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2025$814.3M$368.9M$445.4M45.3%
Jun 30, 2025$865.4M$392.2M$473.2M45.3%
Sep 30, 2025$878.7M$390.6M$488.1M44.5%
Dec 31, 2025$899.1M$387.1M$512.0M43.1%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Sep 30, 2025

-1.4 pts

Year-over-year change

Dec 31, 2024

+0.5 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

Sequentially, cost of revenue increased at a faster pace than revenue, compressing gross margin. Year over year, revenue growth exceeded cost growth, supporting margin expansion.

Compared to the prior quarter, gross margin was lower as cost of revenue rose more than revenue. Compared to the same quarter last year, gross margin was higher, with revenue growth outpacing cost growth.

Monitor the trend in cost of revenue relative to revenue, noting that the company's forward-looking statements reference potential impacts from tariffs and global trade policies.