JABIL INC stock research
FY2024 Q1
JABIL (JBL) Gross Margin — Quarter Ended Nov 30, 2023
Revenue decreased compared to the prior quarter and the same quarter last year, while gross profit increased relative to both periods. Cost of revenue declined more sharply than revenue, resulting in an improved gross margin.
Gross margin takeaway
Quarter ended Nov 30, 2023 · FY2024 Q1
Revenue decreased compared to the prior quarter and the same quarter last year, while gross profit increased relative to both periods. Cost of revenue declined more sharply than revenue, resulting in an improved gross margin.
- The strongest observable driver of gross margin improvement is the reduction in cost of revenue relative to revenue. This is evident from the year-over-year comparison where gross profit rose despite lower revenue.
- Compared to the immediately preceding quarter, gross margin was slightly higher. Compared to the same quarter one year earlier, gross margin improved substantially.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
9.2%
Gross profit
$775.0M
Revenue
$8.4B
Cost of revenue
$7.6B
Quarter-over-quarter change
+0.2 pts
Year-over-year change
+1.5 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 |
|---|---|---|---|---|
| Feb 28, 2023 | $8.1B | $661.0M | $7.5B | 8.1% |
| May 31, 2023 | $8.5B | $697.0M | $7.8B | 8.2% |
| Aug 31, 2023 | $8.5B | $766.0M | $7.7B | 9.1% |
| Nov 30, 2023 | $8.4B | $775.0M | $7.6B | 9.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Aug 31, 2023
+0.2 pts
Year-over-year change
Nov 30, 2022
+1.5 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 reduction in cost of revenue relative to revenue. This is evident from the year-over-year comparison where gross profit rose despite lower revenue.
Compared to the immediately preceding quarter, gross margin was slightly higher. Compared to the same quarter one year earlier, gross margin improved substantially.
Monitor the trend in cost of revenue as a proportion of revenue, given its significant impact on margin.