Nordson Corporation stock research
FY2023 Q3
Nordson (NDSN) Gross Margin — Quarter Ended Jul 31, 2023
Revenue was slightly lower than the preceding quarter but gross profit improved, primarily because cost of revenue declined more than revenue. Compared with the same quarter a year ago, both revenue and gross profit were lower, yet gross margin remained similar.
Gross margin takeaway
Quarter ended Jul 31, 2023 · FY2023 Q3
Revenue was slightly lower than the preceding quarter but gross profit improved, primarily because cost of revenue declined more than revenue. Compared with the same quarter a year ago, both revenue and gross profit were lower, yet gross margin remained similar.
- Gross margin improved versus the prior quarter, driven by a larger reduction in cost of revenue relative to the decline in revenue.
- Gross margin was higher than the immediately preceding quarter but slightly lower than the same quarter one year earlier.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
55.5%
Gross profit
$360.3M
Revenue
$648.7M
Cost of revenue
$288.4M
Quarter-over-quarter change
+1.4 pts
Year-over-year change
+0.3 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 |
|---|---|---|---|---|
| Jan 31, 2023 | $610.5M | $328.9M | $281.6M | 53.9% |
| Apr 30, 2023 | $650.2M | $352.1M | $298.0M | 54.2% |
| Jul 31, 2023 | $648.7M | $360.3M | $288.4M | 55.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Apr 30, 2023
+1.4 pts
Year-over-year change
Jul 31, 2022
+0.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin improved versus the prior quarter, driven by a larger reduction in cost of revenue relative to the decline in revenue.
Gross margin was higher than the immediately preceding quarter but slightly lower than the same quarter one year earlier.
Monitor the relationship between revenue and cost of revenue to see if cost reductions can sustain margin levels.