Keysight Technologies, Inc. stock research
FY2025 Q2
Keysight Technologies (KEYS) Gross Margin — Quarter Ended Apr 30, 2025
Revenue was stable compared to the prior quarter, while gross profit and cost of revenue both moved slightly lower, resulting in a modest gross margin decline. Versus the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was slightly lower.
Gross margin takeaway
Quarter ended Apr 30, 2025 · FY2025 Q2
Revenue was stable compared to the prior quarter, while gross profit and cost of revenue both moved slightly lower, resulting in a modest gross margin decline. Versus the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was slightly lower.
- Gross margin weakened slightly from the prior quarter and from the year-ago quarter, driven by a proportionally larger increase in cost of revenue relative to revenue growth when compared to the prior year.
- Compared to the immediately preceding quarter, revenue was essentially unchanged, gross profit was lower, and cost of revenue was higher, leading to a lower gross margin. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was slightly lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
62.3%
Gross profit
$814.0M
Revenue
$1.3B
Cost of revenue
$492.0M
Quarter-over-quarter change
-0.8 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 | $1.2B | $755.0M | $462.0M | 62.0% |
| Oct 31, 2024 | $1.3B | $802.0M | $485.0M | 62.3% |
| Jan 31, 2025 | $1.3B | $820.0M | $478.0M | 63.2% |
| Apr 30, 2025 | $1.3B | $814.0M | $492.0M | 62.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jan 31, 2025
-0.8 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.
Gross margin weakened slightly from the prior quarter and from the year-ago quarter, driven by a proportionally larger increase in cost of revenue relative to revenue growth when compared to the prior year.
Compared to the immediately preceding quarter, revenue was essentially unchanged, gross profit was lower, and cost of revenue was higher, leading to a lower gross margin. Compared to the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was slightly lower.
Monitor the trend in cost of revenue relative to revenue, as its increase outpaced revenue growth on a year-over-year basis.