Sandisk Corporation stock research
FY2025 Q2
Sandisk (SNDK) Gross Margin — Quarter Ended Dec 27, 2024
Revenue was stable compared to the prior quarter, while gross profit decreased and cost of revenue increased, resulting in a lower gross margin. Compared to the same quarter one year earlier, revenue was higher, gross profit was substantially higher, cost of revenue was lower, and gross margin improved significantly.
Gross margin takeaway
Quarter ended Dec 27, 2024 · FY2025 Q2
Revenue was stable compared to the prior quarter, while gross profit decreased and cost of revenue increased, resulting in a lower gross margin. Compared to the same quarter one year earlier, revenue was higher, gross profit was substantially higher, cost of revenue was lower, and gross margin improved significantly.
- The strongest observable margin driver is the year-over-year improvement in gross margin, which rose from a low level to a much higher level, driven by a combination of higher revenue and lower cost of revenue. The sequential decline in gross margin from the prior quarter is the most notable change, as gross profit fell while revenue was flat.
- Compared to the immediately preceding quarter, gross margin weakened, with gross profit lower and cost of revenue higher on stable revenue. Compared to the same quarter one year earlier, gross margin improved substantially, as revenue increased and cost of revenue decreased, leading to a much higher gross profit.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
32.3%
Gross profit
$606.0M
Revenue
$1.9B
Cost of revenue
$1.3B
Quarter-over-quarter change
-6.3 pts
Year-over-year change
+22.6 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 29, 2024 | $1.7B | $463.0M | $1.2B | 27.2% |
| Jun 28, 2024 | $1.8B | $636.0M | $1.1B | 36.1% |
| Sep 27, 2024 | $1.9B | $726.0M | $1.2B | 38.6% |
| Dec 27, 2024 | $1.9B | $606.0M | $1.3B | 32.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 27, 2024
-6.3 pts
Year-over-year change
Dec 29, 2023
+22.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the year-over-year improvement in gross margin, which rose from a low level to a much higher level, driven by a combination of higher revenue and lower cost of revenue. The sequential decline in gross margin from the prior quarter is the most notable change, as gross profit fell while revenue was flat.
Compared to the immediately preceding quarter, gross margin weakened, with gross profit lower and cost of revenue higher on stable revenue. Compared to the same quarter one year earlier, gross margin improved substantially, as revenue increased and cost of revenue decreased, leading to a much higher gross profit.
Monitor the trajectory of cost of revenue relative to revenue, as the sequential increase in cost of revenue outpaced revenue growth and compressed gross margin.