Trimble Inc. stock research
FY2023 Q4
Trimble (TRMB) Gross Margin — Quarter Ended Dec 29, 2023
Revenue in the current quarter was lower than the prior quarter but higher than the same quarter a year ago. Gross profit followed a similar pattern, and gross margin improved compared with both periods, reflecting a more favorable relationship between cost of revenue and revenue.
Gross margin takeaway
Quarter ended Dec 29, 2023 · FY2023 Q4
Revenue in the current quarter was lower than the prior quarter but higher than the same quarter a year ago. Gross profit followed a similar pattern, and gross margin improved compared with both periods, reflecting a more favorable relationship between cost of revenue and revenue.
- The strongest observable driver of gross margin was the change in cost of revenue relative to revenue. Compared with the year-ago quarter, revenue grew while cost of revenue increased only modestly, leading to a higher gross margin.
- Compared with the immediately preceding quarter, revenue and gross profit were lower, but gross margin improved slightly. Compared with the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue was slightly higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
61.9%
Gross profit
$577.3M
Revenue
$932.4M
Cost of revenue
$355.1M
Quarter-over-quarter change
+0.3 pts
Year-over-year change
+3.2 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 |
|---|---|---|---|---|
| Mar 31, 2023 | $915.4M | $560.8M | $354.6M | 61.3% |
| Jun 30, 2023 | $993.6M | $604.5M | $389.1M | 60.8% |
| Sep 29, 2023 | $957.3M | $590.2M | $367.1M | 61.7% |
| Dec 29, 2023 | $932.4M | $577.3M | $355.1M | 61.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Sep 29, 2023
+0.3 pts
Year-over-year change
Dec 30, 2022
+3.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable driver of gross margin was the change in cost of revenue relative to revenue. Compared with the year-ago quarter, revenue grew while cost of revenue increased only modestly, leading to a higher gross margin.
Compared with the immediately preceding quarter, revenue and gross profit were lower, but gross margin improved slightly. Compared with the same quarter one year earlier, revenue, gross profit, and gross margin were all higher, while cost of revenue was slightly higher.
Monitor the ratio of cost of revenue to revenue, as changes in this relationship directly affect gross margin.