RV

Revvity, Inc. stock research

Sep 29, 2024

FY2024 Q3

Revvity (RVTY) Gross Margin — Quarter Ended Sep 29, 2024

Revenue decreased slightly from the prior quarter but increased compared to the same quarter last year. Gross profit was nearly flat sequentially while cost of revenue declined, resulting in a higher gross margin; year-over-year, both gross profit and gross margin improved as revenue grew faster than cost of revenue.

Gross margin takeaway

Quarter ended Sep 29, 2024 · FY2024 Q3

Revenue decreased slightly from the prior quarter but increased compared to the same quarter last year. Gross profit was nearly flat sequentially while cost of revenue declined, resulting in a higher gross margin; year-over-year, both gross profit and gross margin improved as revenue grew faster than cost of revenue.

  • The gross margin improved sequentially and year-over-year, driven by a lower cost of revenue relative to revenue in both comparisons.
  • Compared to the prior quarter, revenue was slightly lower but gross margin was higher due to a larger decline in cost of revenue. Versus the same quarter last year, revenue, gross profit, and gross margin were all higher.

Gross margin snapshot

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

Gross margin

56.3%

Gross profit

$384.8M

Revenue

$684.0M

Cost of revenue

$299.2M

Quarter-over-quarter change

+0.5 pts

Year-over-year change

+0.7 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Oct 1, 2023$670.7M$372.5M$298.2M55.5%
Mar 31, 2024$649.9M$355.0M$294.9M54.6%
Jun 30, 2024$691.7M$385.5M$306.2M55.7%
Sep 29, 2024$684.0M$384.8M$299.2M56.3%

Quarterly comparisons

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

Previous-quarter change

Jun 30, 2024

+0.5 pts

Year-over-year change

Oct 1, 2023

+0.7 pts

What the margin says

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

The gross margin improved sequentially and year-over-year, driven by a lower cost of revenue relative to revenue in both comparisons.

Compared to the prior quarter, revenue was slightly lower but gross margin was higher due to a larger decline in cost of revenue. Versus the same quarter last year, revenue, gross profit, and gross margin were all higher.

Monitor the trend in cost of revenue relative to revenue, as its decline was the primary factor behind the gross margin improvement.