MT

Mettler-Toledo International Inc. stock research

Sep 30, 2024

FY2024 Q3

Mettler-Toledo International (MTD) Gross Margin — Quarter Ended Sep 30, 2024

Gross margin improved compared to both the prior quarter and the same quarter last year. Revenue and gross profit were higher, while cost of revenue remained relatively stable.

Gross margin takeaway

Quarter ended Sep 30, 2024 · FY2024 Q3

Gross margin improved compared to both the prior quarter and the same quarter last year. Revenue and gross profit were higher, while cost of revenue remained relatively stable.

  • Revenue growth exceeded the change in cost of revenue, leading to a higher gross margin. Cost of revenue was slightly higher sequentially but lower year-over-year.
  • Compared to the prior quarter, gross margin was higher alongside a larger increase in gross profit than in cost of revenue. Year-over-year, gross margin improved with higher revenue and slightly lower cost of revenue.

Gross margin snapshot

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

Gross margin

60.0%

Gross profit

$572.5M

Revenue

$954.5M

Cost of revenue

$382.1M

Quarter-over-quarter change

+0.2 pts

Year-over-year change

+0.6 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Dec 31, 2023$935.0M$551.6M$383.4M59.0%
Mar 31, 2024$925.9M$548.1M$377.8M59.2%
Jun 30, 2024$946.8M$565.7M$381.1M59.7%
Sep 30, 2024$954.5M$572.5M$382.1M60.0%

Quarterly comparisons

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

Previous-quarter change

Jun 30, 2024

+0.2 pts

Year-over-year change

Sep 30, 2023

+0.6 pts

What the margin says

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

Revenue growth exceeded the change in cost of revenue, leading to a higher gross margin. Cost of revenue was slightly higher sequentially but lower year-over-year.

Compared to the prior quarter, gross margin was higher alongside a larger increase in gross profit than in cost of revenue. Year-over-year, gross margin improved with higher revenue and slightly lower cost of revenue.

Cost of revenue stability relative to revenue growth is a key metric to monitor for sustained margin performance.