MT

Mettler-Toledo International Inc. stock research

Jun 30, 2023

FY2021 Q3

Mettler-Toledo International (MTD) Gross Margin — Quarter Ended Jun 30, 2023

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Gross margin improved relative to both periods, reflecting a higher proportion of gross profit relative to revenue.

Gross margin takeaway

Quarter ended Jun 30, 2023 · FY2021 Q3

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Gross margin improved relative to both periods, reflecting a higher proportion of gross profit relative to revenue.

  • The strongest observable margin driver is the improvement in gross margin from the prior quarter and the year-ago quarter, as gross profit grew faster than revenue. This indicates a favorable relationship between cost of revenue and revenue.
  • Compared to the immediately preceding quarter, revenue, gross profit, and gross margin were all higher. Compared to the same quarter one year earlier, revenue and gross profit were higher, and gross margin improved.

Gross margin snapshot

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

Gross margin

59.4%

Gross profit

$583.5M

Revenue

$982.1M

Cost of revenue

$398.6M

Quarter-over-quarter change

+0.6 pts

Year-over-year change

+1.3 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 31, 2023$928.7M$546.6M$382.2M58.9%
Jun 30, 2023$982.1M$583.5M$398.6M59.4%

Quarterly comparisons

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

Previous-quarter change

Mar 31, 2023

+0.6 pts

Year-over-year change

Sep 30, 2020

+1.3 pts

What the margin says

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

The strongest observable margin driver is the improvement in gross margin from the prior quarter and the year-ago quarter, as gross profit grew faster than revenue. This indicates a favorable relationship between cost of revenue and revenue.

Compared to the immediately preceding quarter, revenue, gross profit, and gross margin were all higher. Compared to the same quarter one year earlier, revenue and gross profit were higher, and gross margin improved.

Monitor the trend in cost of revenue relative to revenue, as its growth rate influences gross margin stability.