TELEDYNE TECHNOLOGIES INC stock research
FY2023 Q4
TELEDYNE TECHNOLOGIES (TDY) Gross Margin — Quarter Ended Dec 31, 2023
Revenue was stable compared to both the prior quarter and the same quarter last year. Gross profit improved relative to the prior quarter and the year-ago quarter, while cost of revenue was slightly higher than the prior quarter but lower than the year-ago quarter, resulting in a gross margin that strengthened sequentially and improved year over year.
Gross margin takeaway
Quarter ended Dec 31, 2023 · FY2023 Q4
Revenue was stable compared to both the prior quarter and the same quarter last year. Gross profit improved relative to the prior quarter and the year-ago quarter, while cost of revenue was slightly higher than the prior quarter but lower than the year-ago quarter, resulting in a gross margin that strengthened sequentially and improved year over year.
- The strongest observable margin driver is the improvement in gross profit relative to cost of revenue, as gross profit increased while cost of revenue rose only modestly from the prior quarter and declined from the year-ago quarter.
- Compared to the immediately preceding quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin also improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
43.7%
Gross profit
$623.1M
Revenue
$1.4B
Cost of revenue
$801.9M
Quarter-over-quarter change
+0.6 pts
Year-over-year change
+0.2 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 |
|---|---|---|---|---|
| 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% |
| Dec 31, 2023 | $1.4B | $623.1M | $801.9M | 43.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Oct 1, 2023
+0.6 pts
Year-over-year change
Jan 1, 2023
+0.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the improvement in gross profit relative to cost of revenue, as gross profit increased while cost of revenue rose only modestly from the prior quarter and declined from the year-ago quarter.
Compared to the immediately preceding quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin also improved.
Monitor the trajectory of cost of revenue relative to revenue, as its modest increase from the prior quarter could pressure gross margin if revenue growth does not keep pace.