Motorola Solutions, Inc. stock research
FY2024 Q2
Motorola Solutions (MSI) Gross Margin — Quarter Ended Jun 29, 2024
Revenue and gross profit increased compared with both the prior quarter and the same quarter last year, while gross margin improved over each period. Cost of revenue rose as well but at a slower rate, supporting the margin expansion.
Gross margin takeaway
Quarter ended Jun 29, 2024 · FY2024 Q2
Revenue and gross profit increased compared with both the prior quarter and the same quarter last year, while gross margin improved over each period. Cost of revenue rose as well but at a slower rate, supporting the margin expansion.
- Gross margin strengthened sequentially and year over year, reflecting revenue growth outpacing the increase in cost of revenue. The relationship between product and service revenue and their respective cost components, as detailed in the filing, provides context for the margin improvement.
- Compared with the immediately preceding quarter, gross margin was higher, and gross profit rose alongside revenue. Versus the same quarter one year earlier, gross margin was also higher, with both revenue and gross profit increased.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
51.0%
Gross profit
$1.3B
Revenue
$2.6B
Cost of revenue
$1.3B
Quarter-over-quarter change
+1.1 pts
Year-over-year change
+1.5 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, 2023 | $2.6B | $1.3B | $1.3B | 50.1% |
| Dec 31, 2023 | $2.8B | $1.5B | $1.4B | 51.1% |
| Mar 30, 2024 | $2.4B | $1.2B | $1.2B | 49.9% |
| Jun 29, 2024 | $2.6B | $1.3B | $1.3B | 51.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 30, 2024
+1.1 pts
Year-over-year change
Jul 1, 2023
+1.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin strengthened sequentially and year over year, reflecting revenue growth outpacing the increase in cost of revenue. The relationship between product and service revenue and their respective cost components, as detailed in the filing, provides context for the margin improvement.
Compared with the immediately preceding quarter, gross margin was higher, and gross profit rose alongside revenue. Versus the same quarter one year earlier, gross margin was also higher, with both revenue and gross profit increased.
Monitor the relative movement of product and services costs versus their respective revenues in future filings.