TELEDYNE TECHNOLOGIES INC stock research
FY2023 Q3
TELEDYNE TECHNOLOGIES (TDY) Gross Margin — Quarter Ended Oct 1, 2023
Revenue was unchanged sequentially but gross profit was lower, resulting in a slightly weakened gross margin. Compared with the same quarter a year earlier, revenue was similar while gross profit and gross margin both improved, as cost of revenue increased less than gross profit.
Gross margin takeaway
Quarter ended Oct 1, 2023 · FY2023 Q3
Revenue was unchanged sequentially but gross profit was lower, resulting in a slightly weakened gross margin. Compared with the same quarter a year earlier, revenue was similar while gross profit and gross margin both improved, as cost of revenue increased less than gross profit.
- Gross margin weakened slightly from the preceding quarter as gross profit declined while revenue remained stable. Year-over-year, the margin strengthened, driven by gross profit growing faster than cost of revenue.
- From the prior quarter, gross margin was lower, reflecting a higher proportion of cost of revenue relative to revenue. Compared with the year-ago quarter, gross margin was higher, as gross profit increased while cost of revenue rose less.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
43.2%
Gross profit
$605.3M
Revenue
$1.4B
Cost of revenue
$797.2M
Quarter-over-quarter change
-0.2 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.
| Period | Revenue | Gross profit | Cost of revenue | Gross margin |
|---|---|---|---|---|
| Jan 1, 2023 | $1.4B | $616.9M | $801.3M | 43.5% |
| Apr 2, 2023 | $1.4B | $592.6M | $790.7M | 42.8% |
| Jul 2, 2023 | $1.4B | $618.4M | $806.3M | 43.4% |
| Oct 1, 2023 | $1.4B | $605.3M | $797.2M | 43.2% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jul 2, 2023
-0.2 pts
Year-over-year change
Oct 2, 2022
+0.8 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin weakened slightly from the preceding quarter as gross profit declined while revenue remained stable. Year-over-year, the margin strengthened, driven by gross profit growing faster than cost of revenue.
From the prior quarter, gross margin was lower, reflecting a higher proportion of cost of revenue relative to revenue. Compared with the year-ago quarter, gross margin was higher, as gross profit increased while cost of revenue rose less.
Monitor the trend in cost of revenue relative to revenue, as it drove the sequential margin change.