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TELEDYNE TECHNOLOGIES INC stock research

Mar 31, 2024

FY2024 Q1

TELEDYNE TECHNOLOGIES (TDY) Gross Margin — Quarter Ended Mar 31, 2024

Revenue was stable compared to both the prior quarter and the same quarter last year. Gross profit decreased from the prior quarter but increased from a year ago, while cost of revenue was lower than both periods, resulting in a gross margin that weakened sequentially but improved year-over-year.

Gross margin takeaway

Quarter ended Mar 31, 2024 · FY2024 Q1

Revenue was stable compared to both the prior quarter and the same quarter last year. Gross profit decreased from the prior quarter but increased from a year ago, while cost of revenue was lower than both periods, resulting in a gross margin that weakened sequentially but improved year-over-year.

  • The gross margin improved year-over-year as cost of revenue declined more than revenue, while the sequential weakening was driven by a larger decline in gross profit relative to revenue.
  • Compared to the immediately preceding quarter, gross margin was lower, with gross profit decreasing and revenue remaining flat. Compared to the same quarter one year earlier, gross margin was higher, supported by a larger reduction in cost of revenue relative to revenue.

Gross margin snapshot

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

Gross margin

43.0%

Gross profit

$579.9M

Revenue

$1.4B

Cost of revenue

$770.2M

Quarter-over-quarter change

-0.8 pts

Year-over-year change

+0.1 pts

Quarterly gross margin trend

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

PeriodRevenueGross profitCost of revenueGross margin
Jul 2, 2023$1.4B$618.4M$806.3M43.4%
Oct 1, 2023$1.4B$605.3M$797.2M43.2%
Dec 31, 2023$1.4B$623.1M$801.9M43.7%
Mar 31, 2024$1.4B$579.9M$770.2M43.0%

Quarterly comparisons

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

Previous-quarter change

Dec 31, 2023

-0.8 pts

Year-over-year change

Apr 2, 2023

+0.1 pts

What the margin says

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

The gross margin improved year-over-year as cost of revenue declined more than revenue, while the sequential weakening was driven by a larger decline in gross profit relative to revenue.

Compared to the immediately preceding quarter, gross margin was lower, with gross profit decreasing and revenue remaining flat. Compared to the same quarter one year earlier, gross margin was higher, supported by a larger reduction in cost of revenue relative to revenue.

Monitor the trend in cost of revenue relative to revenue, as its movement was the primary factor behind the gross margin changes.

TDY Gross Margin — Quarter Ended Mar 31, 2024