Rockwell Automation, Inc. stock research
FY2025 Q3
Rockwell Automation (ROK) Gross Margin — Quarter Ended Jun 30, 2025
Revenue was stable compared to the prior quarter and the same quarter last year. Gross profit and gross margin weakened sequentially but improved year-over-year, as cost of revenue increased relative to the prior quarter while remaining similar to the year-ago level.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q3
Revenue was stable compared to the prior quarter and the same quarter last year. Gross profit and gross margin weakened sequentially but improved year-over-year, as cost of revenue increased relative to the prior quarter while remaining similar to the year-ago level.
- The strongest observable margin driver is the change in cost of revenue relative to revenue. Cost of revenue increased from the prior quarter while revenue was stable, compressing gross margin sequentially.
- Compared to the immediately preceding quarter, gross margin was lower, driven by higher cost of revenue on stable revenue. Compared to the same quarter one year earlier, gross margin was higher, as gross profit improved while cost of revenue remained similar.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
40.9%
Gross profit
$876.0M
Revenue
$2.1B
Cost of revenue
$1.3B
Quarter-over-quarter change
-7.7 pts
Year-over-year change
+2.1 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 |
|---|---|---|---|---|
| Sep 30, 2024 | $2.0B | $1.4B | $607.0M | 70.2% |
| Dec 31, 2024 | $1.9B | $878.0M | $1.0B | 46.7% |
| Mar 31, 2025 | $2.0B | $972.0M | $1.0B | 48.6% |
| Jun 30, 2025 | $2.1B | $876.0M | $1.3B | 40.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
-7.7 pts
Year-over-year change
Jun 30, 2024
+2.1 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. Cost of revenue increased from the prior quarter while revenue was stable, compressing gross margin sequentially.
Compared to the immediately preceding quarter, gross margin was lower, driven by higher cost of revenue on stable revenue. Compared to the same quarter one year earlier, gross margin was higher, as gross profit improved while cost of revenue remained similar.
Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters, as its sequential increase was the primary factor behind the margin decline.