Incyte Corporation stock research
FY2024 Q4
Incyte (INCY) Gross Margin — Quarter Ended Dec 31, 2024
Revenue and gross profit both increased compared with the prior quarter and the same quarter last year. Gross margin remained nearly flat sequentially but was slightly lower than a year ago, as cost of revenue grew faster than revenue on a year-over-year basis.
Gross margin takeaway
Quarter ended Dec 31, 2024 · FY2024 Q4
Revenue and gross profit both increased compared with the prior quarter and the same quarter last year. Gross margin remained nearly flat sequentially but was slightly lower than a year ago, as cost of revenue grew faster than revenue on a year-over-year basis.
- The strongest observable margin driver is the continued rise in revenue, which supported gross profit growth despite higher cost of revenue. Sequentially, cost increased modestly while revenue grew, keeping gross margin stable; year-over-year, cost growth outpaced revenue growth, leading to a slight margin weakening.
- Compared with the prior quarter, gross margin improved marginally as revenue growth slightly exceeded cost growth. Versus the same quarter one year earlier, gross margin was lower, reflecting a greater relative increase in cost of revenue over that period.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
92.5%
Gross profit
$1.1B
Revenue
$1.2B
Cost of revenue
$88.5M
Quarter-over-quarter change
+0.1 pts
Year-over-year change
-0.6 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, 2024 | $880.9M | $819.9M | $61.0M | 93.1% |
| Jun 30, 2024 | $1.0B | $967.1M | $76.6M | 92.7% |
| Sep 30, 2024 | $1.1B | $1.1B | $86.0M | 92.4% |
| Dec 31, 2024 | $1.2B | $1.1B | $88.5M | 92.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2024
+0.1 pts
Year-over-year change
Dec 31, 2023
-0.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the continued rise in revenue, which supported gross profit growth despite higher cost of revenue. Sequentially, cost increased modestly while revenue grew, keeping gross margin stable; year-over-year, cost growth outpaced revenue growth, leading to a slight margin weakening.
Compared with the prior quarter, gross margin improved marginally as revenue growth slightly exceeded cost growth. Versus the same quarter one year earlier, gross margin was lower, reflecting a greater relative increase in cost of revenue over that period.
Monitor the trend in cost of revenue relative to revenue, as a faster rise in costs could continue to pressure gross margin.