QUALCOMM Incorporated stock research
FY2026 Q1
QUALCOMM (QCOM) Gross Margin — Quarter Ended Dec 28, 2025
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin weakened slightly versus both periods, as cost of revenue grew at a faster pace than revenue.
Gross margin takeaway
Quarter ended Dec 28, 2025 · FY2026 Q1
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin weakened slightly versus both periods, as cost of revenue grew at a faster pace than revenue.
- The strongest observable margin driver is the relationship between revenue and cost of revenue: revenue increased while cost of revenue rose more, causing gross margin to narrow. This pattern is consistent in both comparisons.
- Compared to the immediately preceding quarter, revenue and gross profit were higher, but gross margin was lower. Compared to the same quarter one year earlier, revenue and gross profit were also higher, while gross margin was again lower.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
54.6%
Gross profit
$6.7B
Revenue
$12.3B
Cost of revenue
$5.6B
Quarter-over-quarter change
-0.8 pts
Year-over-year change
-1.2 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 30, 2025 | $11.0B | $6.0B | $4.9B | 55.0% |
| Jun 29, 2025 | $10.4B | $5.8B | $4.6B | 55.6% |
| Sep 28, 2025 | $11.3B | $6.2B | $5.0B | 55.3% |
| Dec 28, 2025 | $12.3B | $6.7B | $5.6B | 54.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 28, 2025
-0.8 pts
Year-over-year change
Dec 29, 2024
-1.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between revenue and cost of revenue: revenue increased while cost of revenue rose more, causing gross margin to narrow. This pattern is consistent in both comparisons.
Compared to the immediately preceding quarter, revenue and gross profit were higher, but gross margin was lower. Compared to the same quarter one year earlier, revenue and gross profit were also higher, while gross margin was again lower.
Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters, as its faster growth has pressured gross margin.