SY

Stryker Corporation stock research

Jun 30, 2023

FY2023 Q2

Stryker (SYK) Gross Margin — Quarter Ended Jun 30, 2023

Revenue and gross profit increased, while cost of revenue remained at the same level as the prior quarter, resulting in a higher gross margin. Compared to the same quarter a year ago, all three metrics were higher, yet gross margin also improved.

Gross margin takeaway

Quarter ended Jun 30, 2023 · FY2023 Q2

Revenue and gross profit increased, while cost of revenue remained at the same level as the prior quarter, resulting in a higher gross margin. Compared to the same quarter a year ago, all three metrics were higher, yet gross margin also improved.

  • Gross margin strengthened, with revenue rising while cost of revenue held steady relative to the preceding quarter; the year-over-year improvement was accompanied by revenue growth that outpaced the increase in cost of revenue.
  • Compared to the prior quarter, revenue and gross profit were higher, cost of revenue was unchanged, and gross margin improved. Compared to the same quarter a year earlier, revenue, gross profit, and cost of revenue were all higher, but gross margin was also higher.

Gross margin snapshot

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

Gross margin

63.7%

Gross profit

$3.2B

Revenue

$5.0B

Cost of revenue

$1.8B

Quarter-over-quarter change

+0.5 pts

Year-over-year change

+0.8 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Mar 31, 2023$4.8B$3.0B$1.8B63.1%
Jun 30, 2023$5.0B$3.2B$1.8B63.7%

Quarterly comparisons

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

Previous-quarter change

Mar 31, 2023

+0.5 pts

Year-over-year change

Jun 30, 2022

+0.8 pts

What the margin says

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

Gross margin strengthened, with revenue rising while cost of revenue held steady relative to the preceding quarter; the year-over-year improvement was accompanied by revenue growth that outpaced the increase in cost of revenue.

Compared to the prior quarter, revenue and gross profit were higher, cost of revenue was unchanged, and gross margin improved. Compared to the same quarter a year earlier, revenue, gross profit, and cost of revenue were all higher, but gross margin was also higher.

The company identifies exchange rate risk as a significant market risk exposure that may affect operating results, making it a factor to monitor.