Quantum Computing Inc. stock research
FY2023 Q2
Quantum Computing (QUBT) Gross Margin — Quarter Ended Jun 30, 2023
Revenue and gross profit were lower than the immediately preceding quarter, while cost of revenue also declined. Gross margin improved slightly compared to the prior quarter but weakened significantly from the same quarter one year earlier.
Gross margin takeaway
Quarter ended Jun 30, 2023 · FY2023 Q2
Revenue and gross profit were lower than the immediately preceding quarter, while cost of revenue also declined. Gross margin improved slightly compared to the prior quarter but weakened significantly from the same quarter one year earlier.
- The most notable driver is the change in the relationship between cost of revenue and revenue. Sequentially, cost of revenue declined at a faster rate than revenue, resulting in a higher gross margin. Year over year, cost of revenue increased substantially relative to revenue, leading to a lower gross margin.
- Compared to the previous quarter, revenue and gross profit were lower, but gross margin was slightly higher due to a proportionally larger decline in cost of revenue. Compared to the same quarter one year earlier, revenue was higher, but gross profit was similar, and gross margin was markedly lower because cost of revenue increased substantially.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
54.5%
Gross profit
$61000
Revenue
$112000
Cost of revenue
$51000
Quarter-over-quarter change
+0.7 pts
Year-over-year change
-37.5 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 |
|---|---|---|---|---|
| Mar 31, 2023 | $121000 | $65000 | $56000 | 53.7% |
| Jun 30, 2023 | $112000 | $61000 | $51000 | 54.5% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2023
+0.7 pts
Year-over-year change
Jun 30, 2022
-37.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most notable driver is the change in the relationship between cost of revenue and revenue. Sequentially, cost of revenue declined at a faster rate than revenue, resulting in a higher gross margin. Year over year, cost of revenue increased substantially relative to revenue, leading to a lower gross margin.
Compared to the previous quarter, revenue and gross profit were lower, but gross margin was slightly higher due to a proportionally larger decline in cost of revenue. Compared to the same quarter one year earlier, revenue was higher, but gross profit was similar, and gross margin was markedly lower because cost of revenue increased substantially.
Monitor the trajectory of cost of revenue relative to revenue, as it has varied significantly between periods.