Pfizer Inc. stock research
FY2023 Q4
Pfizer (PFE) Gross Margin — Quarter Ended Dec 31, 2023
Revenue and gross profit both rose compared to the preceding quarter, while cost of revenue fell, leading to a higher gross margin. Versus the same quarter one year earlier, revenue and gross profit were substantially lower, and gross margin weakened.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2023 Q4
Revenue and gross profit both rose compared to the preceding quarter, while cost of revenue fell, leading to a higher gross margin. Versus the same quarter one year earlier, revenue and gross profit were substantially lower, and gross margin weakened.
- The gross margin improvement from the prior quarter was driven by a lower proportion of cost of revenue relative to revenue. The year-ago comparison shows a significantly higher cost of revenue relative to revenue, which compressed gross margin.
- Gross margin improved compared to the immediately preceding quarter but was lower than the same quarter one year earlier. Revenue and gross profit showed a similar pattern—higher than the prior quarter yet below the year-ago level.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
48.1%
Gross profit
$7.0B
Revenue
$14.6B
Cost of revenue
$7.6B
Quarter-over-quarter change
+16.8 pts
Year-over-year change
-13.5 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 2, 2023 | $18.5B | $13.6B | $4.9B | 73.6% |
| Jul 2, 2023 | $13.0B | $9.8B | $3.2B | 75.1% |
| Oct 1, 2023 | $13.5B | $4.2B | $9.3B | 31.3% |
| Dec 31, 2023 | $14.6B | $7.0B | $7.6B | 48.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Oct 1, 2023
+16.8 pts
Year-over-year change
Dec 31, 2022
-13.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improvement from the prior quarter was driven by a lower proportion of cost of revenue relative to revenue. The year-ago comparison shows a significantly higher cost of revenue relative to revenue, which compressed gross margin.
Gross margin improved compared to the immediately preceding quarter but was lower than the same quarter one year earlier. Revenue and gross profit showed a similar pattern—higher than the prior quarter yet below the year-ago level.
Monitor the relationship between revenue and cost of revenue in upcoming quarters, as any shift could further affect gross margin.