SN

Sandisk Corporation stock research

Jun 27, 2025

FY2025 Q4

Sandisk (SNDK) Gross Margin — Quarter Ended Jun 27, 2025

Revenue and gross profit both increased compared to the prior quarter, while cost of revenue also rose. Gross margin improved from the prior quarter but weakened relative to the same quarter one year earlier.

Gross margin takeaway

Quarter ended Jun 27, 2025 · FY2025 Q4

Revenue and gross profit both increased compared to the prior quarter, while cost of revenue also rose. Gross margin improved from the prior quarter but weakened relative to the same quarter one year earlier.

  • The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth; revenue increased more than cost of revenue compared to the prior quarter, leading to margin improvement.
  • Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was lower.

Gross margin snapshot

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

Gross margin

26.2%

Gross profit

$498.0M

Revenue

$1.9B

Cost of revenue

$1.4B

Quarter-over-quarter change

+3.7 pts

Year-over-year change

-9.9 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 27, 2024$1.9B$726.0M$1.2B38.6%
Dec 27, 2024$1.9B$606.0M$1.3B32.3%
Mar 28, 2025$1.7B$382.0M$1.3B22.5%
Jun 27, 2025$1.9B$498.0M$1.4B26.2%

Quarterly comparisons

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

Previous-quarter change

Mar 28, 2025

+3.7 pts

Year-over-year change

Jun 28, 2024

-9.9 pts

What the margin says

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

The strongest observable margin driver is the relationship between revenue growth and cost of revenue growth; revenue increased more than cost of revenue compared to the prior quarter, leading to margin improvement.

Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was lower.

Monitor the trajectory of cost of revenue relative to revenue in upcoming quarters, as the year-over-year margin decline suggests cost growth outpaced revenue growth.