Intel Corporation stock research
FY2025 Q3
Intel (INTC) Gross Margin — Quarter Ended Sep 27, 2025
Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue decreased relative to both periods. Gross profit and gross margin improved significantly versus both the preceding quarter and the year-ago quarter.
Gross margin takeaway
Quarter ended Sep 27, 2025 · FY2025 Q3
Revenue increased compared to both the prior quarter and the same quarter last year, while cost of revenue decreased relative to both periods. Gross profit and gross margin improved significantly versus both the preceding quarter and the year-ago quarter.
- The strongest observable driver of gross margin improvement is the combination of higher revenue and lower cost of revenue, which together expanded gross profit at a faster rate than revenue growth.
- Compared to the immediately preceding quarter, gross margin strengthened substantially, driven by both higher revenue and lower cost of revenue. Versus the same quarter one year earlier, gross margin also improved markedly, with revenue higher and cost of revenue lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
38.2%
Gross profit
$5.2B
Revenue
$13.7B
Cost of revenue
$8.4B
Quarter-over-quarter change
+10.7 pts
Year-over-year change
+23.2 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 |
|---|---|---|---|---|
| Dec 28, 2024 | $14.3B | $5.6B | $8.7B | 39.2% |
| Mar 29, 2025 | $12.7B | $4.7B | $8.0B | 36.9% |
| Jun 28, 2025 | $12.9B | $3.5B | $9.3B | 27.5% |
| Sep 27, 2025 | $13.7B | $5.2B | $8.4B | 38.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 28, 2025
+10.7 pts
Year-over-year change
Sep 28, 2024
+23.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver of gross margin improvement is the combination of higher revenue and lower cost of revenue, which together expanded gross profit at a faster rate than revenue growth.
Compared to the immediately preceding quarter, gross margin strengthened substantially, driven by both higher revenue and lower cost of revenue. Versus the same quarter one year earlier, gross margin also improved markedly, with revenue higher and cost of revenue lower.
Monitor whether the trend of declining cost of revenue can be sustained in future quarters.