Intuit Inc. stock research
FY2025 Q3
Intuit (INTU) Gross Margin — Quarter Ended Apr 30, 2025
Revenue and gross profit both increased compared to the preceding quarter and the same quarter one year earlier, while cost of revenue also rose. The gross margin improved from the preceding quarter and was slightly higher than the same quarter one year earlier.
Gross margin takeaway
Quarter ended Apr 30, 2025 · FY2025 Q3
Revenue and gross profit both increased compared to the preceding quarter and the same quarter one year earlier, while cost of revenue also rose. The gross margin improved from the preceding quarter and was slightly higher than the same quarter one year earlier.
- The strongest observable margin driver is the difference between revenue growth and cost of revenue growth. Revenue increased more than cost of revenue relative to the preceding quarter, contributing to the margin improvement.
- Compared to the preceding quarter, gross margin was higher, driven by a larger proportional increase in revenue relative to cost of revenue. Compared to the same quarter one year earlier, gross margin was slightly higher, with revenue growth outpacing the increase in cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
84.6%
Gross profit
$6.6B
Revenue
$7.8B
Cost of revenue
$1.2B
Quarter-over-quarter change
+8.2 pts
Year-over-year change
+0.4 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 |
|---|---|---|---|---|
| Jul 31, 2024 | $3.2B | $2.4B | $783.0M | 75.4% |
| Oct 31, 2024 | $3.3B | $2.5B | $823.0M | 74.9% |
| Jan 31, 2025 | $4.0B | $3.0B | $937.0M | 76.4% |
| Apr 30, 2025 | $7.8B | $6.6B | $1.2B | 84.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jan 31, 2025
+8.2 pts
Year-over-year change
Apr 30, 2024
+0.4 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the difference between revenue growth and cost of revenue growth. Revenue increased more than cost of revenue relative to the preceding quarter, contributing to the margin improvement.
Compared to the preceding quarter, gross margin was higher, driven by a larger proportional increase in revenue relative to cost of revenue. Compared to the same quarter one year earlier, gross margin was slightly higher, with revenue growth outpacing the increase in cost of revenue.
Monitor the trend of cost of revenue relative to revenue in upcoming quarters to assess whether the margin improvement can be sustained.