RO

Roper Technologies, Inc. stock research

Sep 30, 2025

FY2025 Q3

Roper Technologies (ROP) Gross Margin — Quarter Ended Sep 30, 2025

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Cost of revenue also rose over both periods, yet gross margin improved slightly versus the prior quarter and remained stable versus the year-ago quarter.

Gross margin takeaway

Quarter ended Sep 30, 2025 · FY2025 Q3

Revenue and gross profit both increased compared to the immediately preceding quarter and the same quarter one year earlier. Cost of revenue also rose over both periods, yet gross margin improved slightly versus the prior quarter and remained stable versus the year-ago quarter.

  • Gross margin improved from the prior quarter, driven by revenue growing faster than cost of revenue. The year-over-year comparison shows gross margin unchanged, indicating that the relationship between revenue and cost of revenue has remained consistent.
  • Compared to the immediately preceding quarter, revenue and gross profit were higher, while cost of revenue was also higher, resulting in a slightly improved gross margin. Versus the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was unchanged.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

69.5%

Gross profit

$1.4B

Revenue

$2.0B

Cost of revenue

$614.5M

Quarter-over-quarter change

+0.3 pts

Year-over-year change

+0.3 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Sep 30, 2024$1.8B$1.2B$542.9M69.2%
Mar 31, 2025$1.9B$1.3B$589.1M68.7%
Jun 30, 2025$1.9B$1.3B$598.2M69.2%
Sep 30, 2025$2.0B$1.4B$614.5M69.5%

Quarterly comparisons

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

Previous-quarter change

Jun 30, 2025

+0.3 pts

Year-over-year change

Sep 30, 2024

+0.3 pts

What the margin says

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

Gross margin improved from the prior quarter, driven by revenue growing faster than cost of revenue. The year-over-year comparison shows gross margin unchanged, indicating that the relationship between revenue and cost of revenue has remained consistent.

Compared to the immediately preceding quarter, revenue and gross profit were higher, while cost of revenue was also higher, resulting in a slightly improved gross margin. Versus the same quarter one year earlier, revenue and gross profit were higher, cost of revenue was higher, and gross margin was unchanged.

Monitor the trend in cost of revenue relative to revenue, as its growth rate directly influences gross margin stability.

ROP Gross Margin — Quarter Ended Sep 30, 2025