Quantum Computing Inc. stock research
FY2023 Q4
Quantum Computing (QUBT) Gross Margin — Quarter Ended Dec 31, 2023
Revenue increased compared to both the prior quarter and the same quarter last year, while gross profit improved relative to the year-ago period but declined from the preceding quarter. Cost of revenue rose sequentially, resulting in a lower gross margin than the prior quarter, though gross margin strengthened significantly versus the same quarter one year earlier.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2023 Q4
Revenue increased compared to both the prior quarter and the same quarter last year, while gross profit improved relative to the year-ago period but declined from the preceding quarter. Cost of revenue rose sequentially, resulting in a lower gross margin than the prior quarter, though gross margin strengthened significantly versus the same quarter one year earlier.
- The strongest observable margin driver is the change in cost of revenue relative to revenue. In the current quarter, cost of revenue increased more than revenue compared to the prior quarter, which weakened gross margin.
- Compared to the immediately preceding quarter, gross margin weakened as revenue grew but cost of revenue grew faster. Compared to the same quarter one year earlier, gross margin improved substantially, moving from a negative gross profit to a positive one.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
13.3%
Gross profit
$10000
Revenue
$75000
Cost of revenue
$65000
Quarter-over-quarter change
-38.7 pts
Year-over-year change
+1419.0 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% |
| Sep 30, 2023 | $50000 | $26000 | $24000 | 52.0% |
| Dec 31, 2023 | $75000 | $10000 | $65000 | 13.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 30, 2023
-38.7 pts
Year-over-year change
Dec 31, 2022
+1419.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the change in cost of revenue relative to revenue. In the current quarter, cost of revenue increased more than revenue compared to the prior quarter, which weakened gross margin.
Compared to the immediately preceding quarter, gross margin weakened as revenue grew but cost of revenue grew faster. Compared to the same quarter one year earlier, gross margin improved substantially, moving from a negative gross profit to a positive one.
Monitor the trend in cost of revenue relative to revenue, as its faster growth in the current quarter compressed gross margin.