KV

Kenvue Inc. stock research

Mar 30, 2025

FY2025 Q1

Kenvue (KVUE) Gross Margin — Quarter Ended Mar 30, 2025

Revenue was stable compared to the prior quarter and lower than the same quarter last year. Gross profit and gross margin improved sequentially but were mixed versus the year-ago period, as cost of revenue decreased relative to revenue.

Gross margin takeaway

Quarter ended Mar 30, 2025 · FY2025 Q1

Revenue was stable compared to the prior quarter and lower than the same quarter last year. Gross profit and gross margin improved sequentially but were mixed versus the year-ago period, as cost of revenue decreased relative to revenue.

  • The gross margin improved sequentially, driven by a lower cost of revenue relative to revenue. Compared to the same quarter last year, the margin was slightly higher despite lower revenue.
  • Compared to the immediately preceding quarter, revenue was stable while gross profit and gross margin were higher. Versus the same quarter one year earlier, revenue was lower, gross profit was stable, and gross margin was slightly higher.

Gross margin snapshot

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

Gross margin

58.0%

Gross profit

$2.2B

Revenue

$3.7B

Cost of revenue

$1.6B

Quarter-over-quarter change

+1.4 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.

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2024$4.0B$2.4B$1.6B59.1%
Sep 29, 2024$3.9B$2.3B$1.6B58.5%
Dec 29, 2024$3.7B$2.1B$1.6B56.5%
Mar 30, 2025$3.7B$2.2B$1.6B58.0%

Quarterly comparisons

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

Previous-quarter change

Dec 29, 2024

+1.4 pts

Year-over-year change

Mar 31, 2024

+0.4 pts

What the margin says

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

The gross margin improved sequentially, driven by a lower cost of revenue relative to revenue. Compared to the same quarter last year, the margin was slightly higher despite lower revenue.

Compared to the immediately preceding quarter, revenue was stable while gross profit and gross margin were higher. Versus the same quarter one year earlier, revenue was lower, gross profit was stable, and gross margin was slightly higher.

Monitor the trajectory of cost of revenue relative to revenue, as its decline supported margin improvement this quarter.