TS

Tractor Supply Company stock research

Mar 29, 2025

FY2025 Q1

Tractor Supply (TSCO) Gross Margin — Quarter Ended Mar 29, 2025

Gross profit increased relative to the prior quarter and the same quarter last year, while revenue was lower than the prior quarter but higher than a year ago. Gross margin improved compared to the prior quarter and was stable versus the same quarter last year.

Gross margin takeaway

Quarter ended Mar 29, 2025 · FY2025 Q1

Gross profit increased relative to the prior quarter and the same quarter last year, while revenue was lower than the prior quarter but higher than a year ago. Gross margin improved compared to the prior quarter and was stable versus the same quarter last year.

  • The gross margin strengthened sequentially as cost of revenue declined more than revenue, while year-over-year margin was stable with both revenue and cost of revenue increasing at a similar pace.
  • Compared to the prior quarter, revenue was lower but gross profit was higher, resulting in an improved gross margin. Versus the same quarter last year, both revenue and gross profit were higher, with gross margin remaining essentially stable.

Gross margin snapshot

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

Gross margin

36.2%

Gross profit

$1.3B

Revenue

$3.5B

Cost of revenue

$2.2B

Quarter-over-quarter change

+1.0 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.

PeriodRevenueGross profitCost of revenueGross margin
Jun 29, 2024$4.2B$1.6B$2.7B36.6%
Sep 28, 2024$3.5B$1.3B$2.2B37.2%
Dec 28, 2024$3.8B$1.3B$2.4B35.2%
Mar 29, 2025$3.5B$1.3B$2.2B36.2%

Quarterly comparisons

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

Previous-quarter change

Dec 28, 2024

+1.0 pts

Year-over-year change

Mar 30, 2024

+0.2 pts

What the margin says

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

The gross margin strengthened sequentially as cost of revenue declined more than revenue, while year-over-year margin was stable with both revenue and cost of revenue increasing at a similar pace.

Compared to the prior quarter, revenue was lower but gross profit was higher, resulting in an improved gross margin. Versus the same quarter last year, both revenue and gross profit were higher, with gross margin remaining essentially stable.

Monitor the trend in cost of revenue relative to revenue, as the sequential improvement in gross margin was driven by a proportionally larger decline in cost of revenue.