Lam Research Corporation stock research
FY2025 Q3
Lam Research (LRCX) Gross Margin — Quarter Ended Mar 30, 2025
Revenue increased while cost of revenue grew at a slower pace, resulting in higher gross profit and an improved gross margin. The gross margin strengthened compared to both the prior quarter and the same quarter last year.
Gross margin takeaway
Quarter ended Mar 30, 2025 · FY2025 Q3
Revenue increased while cost of revenue grew at a slower pace, resulting in higher gross profit and an improved gross margin. The gross margin strengthened compared to both the prior quarter and the same quarter last year.
- The strongest observable margin driver was the faster growth of revenue relative to cost of revenue, which expanded the gross margin.
- Compared to the prior quarter, revenue, gross profit, and cost of revenue were all higher, with gross margin improving. Compared to the same quarter last year, all metrics were higher and gross margin also improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
49.0%
Gross profit
$2.3B
Revenue
$4.7B
Cost of revenue
$2.4B
Quarter-over-quarter change
+1.6 pts
Year-over-year change
+1.6 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 |
|---|---|---|---|---|
| Jun 30, 2024 | $3.9B | $1.8B | $2.0B | 47.5% |
| Sep 29, 2024 | $4.2B | $2.0B | $2.2B | 48.0% |
| Dec 29, 2024 | $4.4B | $2.1B | $2.3B | 47.4% |
| Mar 30, 2025 | $4.7B | $2.3B | $2.4B | 49.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 29, 2024
+1.6 pts
Year-over-year change
Mar 31, 2024
+1.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver was the faster growth of revenue relative to cost of revenue, which expanded the gross margin.
Compared to the prior quarter, revenue, gross profit, and cost of revenue were all higher, with gross margin improving. Compared to the same quarter last year, all metrics were higher and gross margin also improved.
Monitor inventory levels, which increased during the period, as a concrete item that may affect future cost of goods sold.