The Procter & Gamble Company stock research
FY2025 Q4
The Procter & Gamble (PG) Gross Margin — Quarter Ended Jun 30, 2025
Revenue increased compared to both the prior quarter and the same quarter last year. Gross profit also rose, but cost of revenue grew at a faster pace, leading to a lower gross margin versus both periods.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q4
Revenue increased compared to both the prior quarter and the same quarter last year. Gross profit also rose, but cost of revenue grew at a faster pace, leading to a lower gross margin versus both periods.
- The most observable driver is that cost of revenue increased at a higher rate than revenue, putting pressure on gross margin.
- Compared to the prior quarter, gross margin weakened. Compared to the same quarter last year, gross margin was slightly lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
49.1%
Gross profit
$10.3B
Revenue
$20.9B
Cost of revenue
$10.6B
Quarter-over-quarter change
-1.9 pts
Year-over-year change
-0.5 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 |
|---|---|---|---|---|
| Sep 30, 2024 | $21.7B | $11.3B | $10.4B | 52.1% |
| Dec 31, 2024 | $21.9B | $11.5B | $10.4B | 52.4% |
| Mar 31, 2025 | $19.8B | $10.1B | $9.7B | 51.0% |
| Jun 30, 2025 | $20.9B | $10.3B | $10.6B | 49.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
-1.9 pts
Year-over-year change
Jun 30, 2024
-0.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most observable driver is that cost of revenue increased at a higher rate than revenue, putting pressure on gross margin.
Compared to the prior quarter, gross margin weakened. Compared to the same quarter last year, gross margin was slightly lower.
Monitor supply chain management risks discussed in the filing, as they could affect cost of revenue.