LI

Lumentum Holdings Inc. stock research

Mar 29, 2025

FY2025 Q3

Lumentum Holdings (LITE) Gross Margin — Quarter Ended Mar 29, 2025

Revenue grew while cost of revenue remained relatively stable, leading to an improved gross profit and gross margin for the quarter. Compared to the immediately preceding quarter and the same quarter a year earlier, gross margin was higher.

Gross margin takeaway

Quarter ended Mar 29, 2025 · FY2025 Q3

Revenue grew while cost of revenue remained relatively stable, leading to an improved gross profit and gross margin for the quarter. Compared to the immediately preceding quarter and the same quarter a year earlier, gross margin was higher.

  • The primary observable driver was revenue increasing at a faster pace than cost of revenue, which expanded gross profit and margin.
  • Gross margin improved compared to both the prior quarter and the same quarter one year earlier, supported by higher revenue with relatively unchanged cost levels.

Gross margin snapshot

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

Gross margin

28.8%

Gross profit

$122.5M

Revenue

$425.2M

Cost of revenue

$302.7M

Quarter-over-quarter change

+4.0 pts

Year-over-year change

+12.6 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 29, 2024$308.3M$51.3M$257.0M16.6%
Sep 28, 2024$336.9M$77.9M$259.0M23.1%
Dec 28, 2024$402.2M$99.6M$302.6M24.8%
Mar 29, 2025$425.2M$122.5M$302.7M28.8%

Quarterly comparisons

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

Previous-quarter change

Dec 28, 2024

+4.0 pts

Year-over-year change

Mar 30, 2024

+12.6 pts

What the margin says

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

The primary observable driver was revenue increasing at a faster pace than cost of revenue, which expanded gross profit and margin.

Gross margin improved compared to both the prior quarter and the same quarter one year earlier, supported by higher revenue with relatively unchanged cost levels.

Monitor the trajectory of revenue relative to cost of revenue to sustain the margin improvement.

LITE Gross Margin — Quarter Ended Mar 29, 2025