LegalZoom.com, Inc. stock research
FY2025 Q2
LegalZoom.com (LZ) Gross Margin — Quarter Ended Jun 30, 2025
Revenue and gross profit both increased, while cost of revenue also rose. Gross margin was higher than the preceding quarter and the same quarter one year earlier.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
Revenue and gross profit both increased, while cost of revenue also rose. Gross margin was higher than the preceding quarter and the same quarter one year earlier.
- Gross margin improved sequentially and year over year, reflecting that revenue increased more than cost of revenue.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, and gross margin improved. Compared to the same quarter one year earlier, revenue and gross profit were also higher, and gross margin was higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
65.0%
Gross profit
$125.1M
Revenue
$192.5M
Cost of revenue
$67.4M
Quarter-over-quarter change
+1.3 pts
Year-over-year change
+0.9 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 |
|---|---|---|---|---|
| Sep 30, 2024 | $168.6M | $113.9M | $54.7M | 67.5% |
| Dec 31, 2024 | $161.7M | $108.3M | $53.4M | 67.0% |
| Mar 31, 2025 | $183.1M | $116.5M | $66.6M | 63.7% |
| Jun 30, 2025 | $192.5M | $125.1M | $67.4M | 65.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
+1.3 pts
Year-over-year change
Jun 30, 2024
+0.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin improved sequentially and year over year, reflecting that revenue increased more than cost of revenue.
Compared to the immediately preceding quarter, revenue and gross profit were higher, and gross margin improved. Compared to the same quarter one year earlier, revenue and gross profit were also higher, and gross margin was higher.
Monitor cost of revenue trends, particularly in relation to the Formation Nation acquisition noted in the filing.