PF

Pfizer Inc. stock research

Apr 2, 2023

FY2023 Q1

Pfizer (PFE) Gross Margin — Quarter Ended Apr 2, 2023

Revenue and cost of revenue both decreased compared to the prior quarter and the same quarter last year. Gross profit declined less steeply than revenue, resulting in an improved gross margin relative to both periods.

Gross margin takeaway

Quarter ended Apr 2, 2023 · FY2023 Q1

Revenue and cost of revenue both decreased compared to the prior quarter and the same quarter last year. Gross profit declined less steeply than revenue, resulting in an improved gross margin relative to both periods.

  • Gross margin improved sequentially and year-over-year, driven by a proportionally larger decrease in cost of revenue relative to revenue.
  • Compared to the prior quarter, revenue was lower while gross margin was higher; compared to the same quarter last year, revenue was lower while gross margin was higher.

Gross margin snapshot

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

Gross margin

73.6%

Gross profit

$13.6B

Revenue

$18.5B

Cost of revenue

$4.9B

Quarter-over-quarter change

n/a

Year-over-year change

+12.5 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Apr 2, 2023$18.5B$13.6B$4.9B73.6%

Quarterly comparisons

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

Previous-quarter change

Previous quarter unavailable

n/a

Year-over-year change

Apr 3, 2022

+12.5 pts

What the margin says

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

Gross margin improved sequentially and year-over-year, driven by a proportionally larger decrease in cost of revenue relative to revenue.

Compared to the prior quarter, revenue was lower while gross margin was higher; compared to the same quarter last year, revenue was lower while gross margin was higher.

Monitor the trajectory of cost of revenue, which declined more sharply than revenue in the current period.