KE

Keysight Technologies, Inc. stock research

Jan 31, 2026

FY2026 Q1

Keysight Technologies (KEYS) Gross Margin — Quarter Ended Jan 31, 2026

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Gross margin improved from the prior quarter but weakened relative to the year-ago quarter, as cost of revenue grew at a faster pace than revenue on a year-over-year basis.

Gross margin takeaway

Quarter ended Jan 31, 2026 · FY2026 Q1

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Gross margin improved from the prior quarter but weakened relative to the year-ago quarter, as cost of revenue grew at a faster pace than revenue on a year-over-year basis.

  • The strongest observable margin driver is the sequential improvement in gross margin, which rose from the prior quarter despite a higher cost of revenue. This indicates that revenue growth outpaced cost growth in the current quarter compared to the preceding period.
  • Compared to the immediately preceding quarter, gross margin is higher. Compared to the same quarter one year earlier, gross margin is lower.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

62.2%

Gross profit

$995.0M

Revenue

$1.6B

Cost of revenue

$605.0M

Quarter-over-quarter change

+0.9 pts

Year-over-year change

-1.0 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Apr 30, 2025$1.3B$814.0M$492.0M62.3%
Jul 31, 2025$1.4B$834.0M$518.0M61.7%
Oct 31, 2025$1.4B$869.0M$550.0M61.2%
Jan 31, 2026$1.6B$995.0M$605.0M62.2%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Oct 31, 2025

+0.9 pts

Year-over-year change

Jan 31, 2025

-1.0 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The strongest observable margin driver is the sequential improvement in gross margin, which rose from the prior quarter despite a higher cost of revenue. This indicates that revenue growth outpaced cost growth in the current quarter compared to the preceding period.

Compared to the immediately preceding quarter, gross margin is higher. Compared to the same quarter one year earlier, gross margin is lower.

Monitor the trajectory of cost of revenue relative to revenue, as its faster year-over-year growth compressed gross margin compared to the prior year.

KEYS Gross Margin — Quarter Ended Jan 31, 2026