Insulet Corporation stock research
FY2023 Q1
Insulet (PODD) Gross Margin — Quarter Ended Mar 31, 2023
Revenue decreased from the prior quarter but increased from the same quarter last year. Gross profit rose compared to the prior quarter and also rose year-over-year, while cost of revenue fell sequentially but rose annually, resulting in a gross margin that improved from the prior quarter but weakened from the year-ago period.
Gross margin takeaway
Quarter ended Mar 31, 2023 · FY2023 Q1
Revenue decreased from the prior quarter but increased from the same quarter last year. Gross profit rose compared to the prior quarter and also rose year-over-year, while cost of revenue fell sequentially but rose annually, resulting in a gross margin that improved from the prior quarter but weakened from the year-ago period.
- The change in cost of revenue relative to revenue was the most significant factor affecting gross margin. The proportion of cost of revenue to revenue decreased sharply from the prior quarter, driving the margin improvement, but increased compared to the year-ago quarter, causing the margin decline.
- Compared to the prior quarter, gross margin improved as cost of revenue fell more than revenue. Compared to the same quarter last year, gross margin weakened as cost of revenue grew faster than revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
67.2%
Gross profit
$240.5M
Revenue
$358.1M
Cost of revenue
$117.6M
Quarter-over-quarter change
n/a
Year-over-year change
-17.7 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 |
|---|---|---|---|---|
| Mar 31, 2023 | $358.1M | $240.5M | $117.6M | 67.2% |
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
Mar 31, 2022
-17.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The change in cost of revenue relative to revenue was the most significant factor affecting gross margin. The proportion of cost of revenue to revenue decreased sharply from the prior quarter, driving the margin improvement, but increased compared to the year-ago quarter, causing the margin decline.
Compared to the prior quarter, gross margin improved as cost of revenue fell more than revenue. Compared to the same quarter last year, gross margin weakened as cost of revenue grew faster than revenue.
Monitor the trend in cost of revenue as a percentage of revenue, given its significant fluctuation between periods.