Nordson Corporation stock research
FY2024 Q1
Nordson (NDSN) Gross Margin — Quarter Ended Jan 31, 2024
In the current quarter, revenue and gross profit both decreased from the prior quarter but increased from the same quarter last year, while cost of revenue followed a similar pattern. Gross margin improved compared with both the prior quarter and the year-ago quarter, indicating a favorable relationship between cost of revenue and revenue.
Gross margin takeaway
Quarter ended Jan 31, 2024 · FY2024 Q1
In the current quarter, revenue and gross profit both decreased from the prior quarter but increased from the same quarter last year, while cost of revenue followed a similar pattern. Gross margin improved compared with both the prior quarter and the year-ago quarter, indicating a favorable relationship between cost of revenue and revenue.
- The gross margin strengthened relative to both the prior quarter and the year-ago quarter, with cost of revenue declining sequentially and increasing at a slower pace than revenue year-over-year.
- Compared with the prior quarter, revenue and gross profit were lower, but gross margin was higher. Compared with the same quarter last year, revenue, gross profit, and gross margin were all higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
55.0%
Gross profit
$348.4M
Revenue
$633.2M
Cost of revenue
$284.8M
Quarter-over-quarter change
+1.6 pts
Year-over-year change
+1.2 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 |
|---|---|---|---|---|
| Apr 30, 2023 | $650.2M | $352.1M | $298.0M | 54.2% |
| Jul 31, 2023 | $648.7M | $360.3M | $288.4M | 55.5% |
| Oct 31, 2023 | $719.3M | $384.1M | $335.2M | 53.4% |
| Jan 31, 2024 | $633.2M | $348.4M | $284.8M | 55.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Oct 31, 2023
+1.6 pts
Year-over-year change
Jan 31, 2023
+1.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin strengthened relative to both the prior quarter and the year-ago quarter, with cost of revenue declining sequentially and increasing at a slower pace than revenue year-over-year.
Compared with the prior quarter, revenue and gross profit were lower, but gross margin was higher. Compared with the same quarter last year, revenue, gross profit, and gross margin were all higher.
Monitor the company's continued progress in managing accounts receivable and inventory, as highlighted in the liquidity discussion.