Intuit Inc. stock research
FY2023 Q3
Intuit (INTU) Gross Margin — Quarter Ended Apr 30, 2023
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year. Gross margin improved relative to the prior quarter but weakened compared to the same quarter last year.
Gross margin takeaway
Quarter ended Apr 30, 2023 · FY2023 Q3
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year. Gross margin improved relative to the prior quarter but weakened compared to the same quarter last year.
- The sequential improvement in gross margin was driven by revenue growth outpacing cost of revenue growth, while the year-over-year decline reflected a relatively faster increase in cost of revenue.
- Compared to the immediately preceding quarter, revenue, gross profit, and gross margin all increased. Compared to the same quarter one year earlier, revenue and gross profit were higher, but gross margin was lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
83.7%
Gross profit
$5.0B
Revenue
$6.0B
Cost of revenue
$981.0M
Quarter-over-quarter change
+9.1 pts
Year-over-year change
-1.7 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 |
|---|---|---|---|---|
| Jan 31, 2023 | $3.0B | $2.3B | $773.0M | 74.6% |
| Apr 30, 2023 | $6.0B | $5.0B | $981.0M | 83.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jan 31, 2023
+9.1 pts
Year-over-year change
Apr 30, 2022
-1.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The sequential improvement in gross margin was driven by revenue growth outpacing cost of revenue growth, while the year-over-year decline reflected a relatively faster increase in cost of revenue.
Compared to the immediately preceding quarter, revenue, gross profit, and gross margin all increased. Compared to the same quarter one year earlier, revenue and gross profit were higher, but gross margin was lower.
Monitor the trend of cost of revenue growth relative to revenue growth, as its pace has shifted against both comparison periods.