Kenvue Inc. stock research
FY2025 Q3
Kenvue (KVUE) Gross Margin — Quarter Ended Sep 28, 2025
Revenue was stable compared to the prior quarter and slightly lower than the same quarter last year. Gross profit and cost of revenue both decreased relative to the prior quarter and the year-ago quarter, while gross margin improved modestly from both periods.
Gross margin takeaway
Quarter ended Sep 28, 2025 · FY2025 Q3
Revenue was stable compared to the prior quarter and slightly lower than the same quarter last year. Gross profit and cost of revenue both decreased relative to the prior quarter and the year-ago quarter, while gross margin improved modestly from both periods.
- The strongest observable margin driver is the reduction in cost of revenue relative to revenue, which outpaced the decline in gross profit, leading to an improved gross margin.
- Compared to the immediately preceding quarter, gross margin was higher despite stable revenue and lower gross profit. Versus the same quarter one year earlier, gross margin improved while revenue and gross profit were both lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
59.1%
Gross profit
$2.2B
Revenue
$3.8B
Cost of revenue
$1.5B
Quarter-over-quarter change
+0.2 pts
Year-over-year change
+0.6 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 |
|---|---|---|---|---|
| Dec 29, 2024 | $3.7B | $2.1B | $1.6B | 56.5% |
| Mar 30, 2025 | $3.7B | $2.2B | $1.6B | 58.0% |
| Jun 29, 2025 | $3.8B | $2.3B | $1.6B | 58.9% |
| Sep 28, 2025 | $3.8B | $2.2B | $1.5B | 59.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 29, 2025
+0.2 pts
Year-over-year change
Sep 29, 2024
+0.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the reduction in cost of revenue relative to revenue, which outpaced the decline in gross profit, leading to an improved gross margin.
Compared to the immediately preceding quarter, gross margin was higher despite stable revenue and lower gross profit. Versus the same quarter one year earlier, gross margin improved while revenue and gross profit were both lower.
Monitor the trajectory of cost of revenue, as its decline was the primary factor behind the gross margin improvement.