Uber Technologies, Inc. stock research
FY2023 Q3
Uber Technologies (UBER) Gross Margin — Quarter Ended Sep 30, 2023
Revenue, cost of revenue, and gross profit each increased compared to both the preceding quarter and the same quarter one year earlier. Gross margin weakened sequentially but improved year-over-year.
Gross margin takeaway
Quarter ended Sep 30, 2023 · FY2023 Q3
Revenue, cost of revenue, and gross profit each increased compared to both the preceding quarter and the same quarter one year earlier. Gross margin weakened sequentially but improved year-over-year.
- Gross margin moved higher compared to a year earlier as gross profit grew faster than revenue. The sequential decline reflected a larger increase in cost of revenue relative to revenue growth.
- Compared to the prior quarter, revenue was slightly higher while cost of revenue rose more, causing gross margin to weaken. Versus the same quarter last year, revenue, gross profit, and gross margin were all higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
30.9%
Gross profit
$2.9B
Revenue
$9.3B
Cost of revenue
$6.4B
Quarter-over-quarter change
-0.9 pts
Year-over-year change
+1.5 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 | $8.8B | $2.8B | $6.0B | 31.9% |
| Jun 30, 2023 | $9.2B | $2.9B | $6.3B | 31.8% |
| Sep 30, 2023 | $9.3B | $2.9B | $6.4B | 30.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2023
-0.9 pts
Year-over-year change
FY2022 Q3
+1.5 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross margin moved higher compared to a year earlier as gross profit grew faster than revenue. The sequential decline reflected a larger increase in cost of revenue relative to revenue growth.
Compared to the prior quarter, revenue was slightly higher while cost of revenue rose more, causing gross margin to weaken. Versus the same quarter last year, revenue, gross profit, and gross margin were all higher.
Monitor the evolution of cost of revenue relative to revenue, as its faster growth drove the sequential margin compression.