RK

Rocket Lab USA, Inc. stock research

Jun 30, 2023

FY2023 Q2

Rocket Lab USA (RKLB) Gross Margin — Quarter Ended Jun 30, 2023

Revenue grew compared to the prior quarter and the same quarter last year, while cost of revenue was lower than both periods. As a result, gross profit increased substantially, and gross margin improved significantly.

Gross margin takeaway

Quarter ended Jun 30, 2023 · FY2023 Q2

Revenue grew compared to the prior quarter and the same quarter last year, while cost of revenue was lower than both periods. As a result, gross profit increased substantially, and gross margin improved significantly.

  • The strongest observable driver of margin improvement was the reduction in cost of revenue relative to revenue. Cost of revenue decreased slightly despite a larger revenue base, leading to a higher gross profit margin.
  • Compared to the immediately preceding quarter, revenue was higher and cost of revenue was lower, resulting in a stronger gross margin. Year-over-year, revenue and gross profit both improved, with gross margin substantially 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

23.5%

Gross profit

$14.6M

Revenue

$62.0M

Cost of revenue

$47.5M

Quarter-over-quarter change

+11.9 pts

Year-over-year change

+14.6 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2023$54.9M$6.4M$48.5M11.6%
Jun 30, 2023$62.0M$14.6M$47.5M23.5%

Quarterly comparisons

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

Previous-quarter change

Mar 31, 2023

+11.9 pts

Year-over-year change

Jun 30, 2022

+14.6 pts

What the margin says

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

The strongest observable driver of margin improvement was the reduction in cost of revenue relative to revenue. Cost of revenue decreased slightly despite a larger revenue base, leading to a higher gross profit margin.

Compared to the immediately preceding quarter, revenue was higher and cost of revenue was lower, resulting in a stronger gross margin. Year-over-year, revenue and gross profit both improved, with gross margin substantially higher than the same quarter one year earlier.

Monitor the company's ability to manage future growth and achieve operational efficiencies, as highlighted in its risk factors.