NXP Semiconductors N.V. stock research
FY2025 Q2
NXP Semiconductors N.V. (NXPI) Gross Margin — Quarter Ended Jun 29, 2025
Revenue increased from the prior quarter but gross profit remained flat, while cost of revenue rose, causing gross margin to weaken. Compared to the same quarter last year, both revenue and gross profit were lower, with cost of revenue higher, leading to a further decline in gross margin.
Gross margin takeaway
Quarter ended Jun 29, 2025 · FY2025 Q2
Revenue increased from the prior quarter but gross profit remained flat, while cost of revenue rose, causing gross margin to weaken. Compared to the same quarter last year, both revenue and gross profit were lower, with cost of revenue higher, leading to a further decline in gross margin.
- The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth. Sequentially, revenue increased modestly but cost of revenue rose more than proportionally, compressing gross margin.
- Compared to the immediately preceding quarter, revenue was higher while gross profit was unchanged, resulting in a weakened gross margin. Versus the same quarter one year earlier, revenue and gross profit were both lower, and the gross margin further weakened.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
53.4%
Gross profit
$1.6B
Revenue
$2.9B
Cost of revenue
$1.4B
Quarter-over-quarter change
-1.6 pts
Year-over-year change
-3.9 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 29, 2024 | $3.3B | $1.9B | $1.4B | 57.4% |
| Dec 31, 2024 | $3.1B | $1.7B | $1.4B | 53.9% |
| Mar 30, 2025 | $2.8B | $1.6B | $1.3B | 55.0% |
| Jun 29, 2025 | $2.9B | $1.6B | $1.4B | 53.4% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 30, 2025
-1.6 pts
Year-over-year change
Jun 30, 2024
-3.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth. Sequentially, revenue increased modestly but cost of revenue rose more than proportionally, compressing gross margin.
Compared to the immediately preceding quarter, revenue was higher while gross profit was unchanged, resulting in a weakened gross margin. Versus the same quarter one year earlier, revenue and gross profit were both lower, and the gross margin further weakened.
Monitor the trend of cost of revenue relative to revenue, as its rise outpaced revenue growth in the current quarter.