KV

Kenvue Inc. stock research

Dec 28, 2025

FY2025 Q4

Kenvue (KVUE) Gross Margin — Quarter Ended Dec 28, 2025

Revenue was stable compared to the prior quarter, while gross profit and cost of revenue moved in opposite directions, resulting in a lower gross margin. Versus the same quarter one year earlier, revenue, gross profit, cost of revenue, and gross margin were all essentially unchanged.

Gross margin takeaway

Quarter ended Dec 28, 2025 · FY2025 Q4

Revenue was stable compared to the prior quarter, while gross profit and cost of revenue moved in opposite directions, resulting in a lower gross margin. Versus the same quarter one year earlier, revenue, gross profit, cost of revenue, and gross margin were all essentially unchanged.

  • The gross margin weakened from the prior quarter, driven by a higher cost of revenue relative to revenue. The year-over-year comparison shows no material change in the margin.
  • Compared to the immediately preceding quarter, gross margin was lower, as cost of revenue increased while revenue was flat. Compared to the same quarter one year earlier, gross margin was stable, with all metrics showing minimal variation.

Gross margin snapshot

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

Gross margin

56.5%

Gross profit

$2.1B

Revenue

$3.8B

Cost of revenue

$1.6B

Quarter-over-quarter change

-2.6 pts

Year-over-year change

+0.0 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Mar 30, 2025$3.7B$2.2B$1.6B58.0%
Jun 29, 2025$3.8B$2.3B$1.6B58.9%
Sep 28, 2025$3.8B$2.2B$1.5B59.1%
Dec 28, 2025$3.8B$2.1B$1.6B56.5%

Quarterly comparisons

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

Previous-quarter change

Sep 28, 2025

-2.6 pts

Year-over-year change

Dec 29, 2024

+0.0 pts

What the margin says

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

The gross margin weakened from the prior quarter, driven by a higher cost of revenue relative to revenue. The year-over-year comparison shows no material change in the margin.

Compared to the immediately preceding quarter, gross margin was lower, as cost of revenue increased while revenue was flat. Compared to the same quarter one year earlier, gross margin was stable, with all metrics showing minimal variation.

Monitor the trajectory of cost of revenue relative to revenue, as its increase in the current quarter was the primary factor behind the margin decline.