SO

Solventum Corporation stock research

Jun 30, 2025

FY2025 Q2

Solventum (SOLV) Gross Margin — Quarter Ended Jun 30, 2025

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved from the prior quarter but weakened slightly from the year-ago period.

Gross margin takeaway

Quarter ended Jun 30, 2025 · FY2025 Q2

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved from the prior quarter but weakened slightly from the year-ago period.

  • The sequential improvement in gross margin was accompanied by a larger increase in revenue relative to the increase in cost of revenue. The year-over-year decline in gross margin, despite higher revenue, reflects a larger increase in cost of revenue.
  • Compared to the preceding quarter, revenue and gross profit were higher, and gross margin improved. Compared to the same quarter one year earlier, revenue and gross profit were higher, but gross margin was slightly lower.

Gross margin snapshot

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

Gross margin

54.4%

Gross profit

$1.2B

Revenue

$2.2B

Cost of revenue

$986.0M

Quarter-over-quarter change

+0.6 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$2.1B$1.2B$917.0M56.0%
Dec 31, 2024$2.1B$1.1B$956.0M53.9%
Mar 31, 2025$2.1B$1.1B$956.0M53.8%
Jun 30, 2025$2.2B$1.2B$986.0M54.4%

Quarterly comparisons

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

Previous-quarter change

Mar 31, 2025

+0.6 pts

Year-over-year change

Jun 30, 2024

-0.3 pts

What the margin says

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

The sequential improvement in gross margin was accompanied by a larger increase in revenue relative to the increase in cost of revenue. The year-over-year decline in gross margin, despite higher revenue, reflects a larger increase in cost of revenue.

Compared to the preceding quarter, revenue and gross profit were higher, and gross margin improved. Compared to the same quarter one year earlier, revenue and gross profit were higher, but gross margin was slightly lower.

Monitor the relationship between cost of revenue and revenue, as the year-over-year increase in cost of revenue was proportionally larger than the revenue increase.

SOLV Gross Margin — Quarter Ended Jun 30, 2025