Intuit Inc. stock research
FY2024 Q2
Intuit (INTU) Gross Margin — Quarter Ended Jan 31, 2024
Revenue and gross profit both increased from the prior quarter, while cost of revenue also rose, resulting in gross margin that was slightly higher. Compared to the same period one year earlier, revenue and gross profit were higher, but cost of revenue was also higher, with gross margin marginally improved.
Gross margin takeaway
Quarter ended Jan 31, 2024 · FY2024 Q2
Revenue and gross profit both increased from the prior quarter, while cost of revenue also rose, resulting in gross margin that was slightly higher. Compared to the same period one year earlier, revenue and gross profit were higher, but cost of revenue was also higher, with gross margin marginally improved.
- Gross margin improved slightly versus both comparison periods, driven by the relationship between revenue growth and cost of revenue increases. Revenue rose more than cost of revenue on a sequential basis, while year-over-year the margin gain was equally modest.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was higher, and gross margin was slightly higher. Versus the same quarter one year ago, revenue and gross profit were higher, cost of revenue was higher, and gross margin was marginally higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
74.7%
Gross profit
$2.5B
Revenue
$3.4B
Cost of revenue
$855.0M
Quarter-over-quarter change
+0.3 pts
Year-over-year change
+0.2 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 |
|---|---|---|---|---|
| Apr 30, 2023 | $6.0B | $5.0B | $981.0M | 83.7% |
| Jul 31, 2023 | $2.7B | $2.0B | $713.0M | 73.7% |
| Oct 31, 2023 | $3.0B | $2.2B | $760.0M | 74.5% |
| Jan 31, 2024 | $3.4B | $2.5B | $855.0M | 74.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Oct 31, 2023
+0.3 pts
Year-over-year change
Jan 31, 2023
+0.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin improved slightly versus both comparison periods, driven by the relationship between revenue growth and cost of revenue increases. Revenue rose more than cost of revenue on a sequential basis, while year-over-year the margin gain was equally modest.
Compared to the immediately preceding quarter, revenue and gross profit were higher, cost of revenue was higher, and gross margin was slightly higher. Versus the same quarter one year ago, revenue and gross profit were higher, cost of revenue was higher, and gross margin was marginally higher.
The continued pattern of cost of revenue growth relative to revenue growth should be monitored for any shift that could affect margin stability.