PH

Parker-Hannifin Corporation stock research

Mar 31, 2024

FY2024 Q3

Parker-Hannifin (PH) Gross Margin — Quarter Ended Mar 31, 2024

Revenue was unchanged from the same quarter a year earlier, while gross profit increased, leading to a higher gross margin. Sequentially, revenue rose but cost of revenue grew at a faster pace, resulting in a slightly lower gross margin.

Gross margin takeaway

Quarter ended Mar 31, 2024 · FY2024 Q3

Revenue was unchanged from the same quarter a year earlier, while gross profit increased, leading to a higher gross margin. Sequentially, revenue rose but cost of revenue grew at a faster pace, resulting in a slightly lower gross margin.

  • The year-over-year gross margin improvement is the most notable change, with gross profit rising while revenue held steady.
  • Gross margin was slightly lower than the immediately preceding quarter but higher than the same quarter one year earlier.

Gross margin snapshot

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

Gross margin

35.4%

Gross profit

$1.8B

Revenue

$5.1B

Cost of revenue

$3.3B

Quarter-over-quarter change

-0.3 pts

Year-over-year change

+1.4 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2023$5.1B$1.8B$3.3B36.0%
Sep 30, 2023$4.8B$1.8B$3.1B36.1%
Dec 31, 2023$4.8B$1.7B$3.1B35.7%
Mar 31, 2024$5.1B$1.8B$3.3B35.4%

Quarterly comparisons

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

Previous-quarter change

Dec 31, 2023

-0.3 pts

Year-over-year change

Mar 31, 2023

+1.4 pts

What the margin says

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

The year-over-year gross margin improvement is the most notable change, with gross profit rising while revenue held steady.

Gross margin was slightly lower than the immediately preceding quarter but higher than the same quarter one year earlier.

Monitor the impact of foreign currency exchange rates on net sales, as disclosed in the filing.