S&P Global Inc. stock research
FY2024 Q1
S&P Global (SPGI) Gross Margin — Quarter Ended Mar 31, 2024
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved over both periods, reflecting a higher proportion of gross profit relative to revenue.
Gross margin takeaway
Quarter ended Mar 31, 2024 · FY2024 Q1
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved over both periods, reflecting a higher proportion of gross profit relative to revenue.
- The most notable margin driver is the increase in gross profit proportionally greater than the increase in cost of revenue, leading to an improved gross margin.
- Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was also higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
68.2%
Gross profit
$2.4B
Revenue
$3.5B
Cost of revenue
$1.1B
Quarter-over-quarter change
+0.9 pts
Year-over-year change
+2.6 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 |
|---|---|---|---|---|
| Jun 30, 2023 | $3.1B | $2.1B | $1.0B | 66.9% |
| Sep 30, 2023 | $3.1B | $2.1B | $995.0M | 67.7% |
| Dec 31, 2023 | $3.2B | $2.1B | $1.0B | 67.3% |
| Mar 31, 2024 | $3.5B | $2.4B | $1.1B | 68.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2023
+0.9 pts
Year-over-year change
Mar 31, 2023
+2.6 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most notable margin driver is the increase in gross profit proportionally greater than the increase in cost of revenue, leading to an improved gross margin.
Compared to the immediately preceding quarter, gross margin was higher. Compared to the same quarter one year earlier, gross margin was also higher.
Monitor the trajectory of cost of revenue relative to revenue, as the recent margin improvement may be influenced by the pace of cost growth.