UnitedHealth Group Incorporated stock research
FY2025 Q1
UnitedHealth Group (UNH) Gross Margin — Quarter Ended Mar 31, 2025
Revenue rose while cost of revenue was flat versus the prior quarter, leading gross profit higher and gross margin improvement. Compared to the same quarter one year ago, revenue and gross profit also increased, though gross margin was slightly lower.
Gross margin takeaway
Quarter ended Mar 31, 2025 · FY2025 Q1
Revenue rose while cost of revenue was flat versus the prior quarter, leading gross profit higher and gross margin improvement. Compared to the same quarter one year ago, revenue and gross profit also increased, though gross margin was slightly lower.
- The strongest observable margin driver was gross profit growing faster than revenue, as cost of revenue remained nearly unchanged quarter over quarter, resulting in a higher gross margin.
- Compared to the preceding quarter, gross margin improved. Versus the year-ago quarter, gross margin was slightly weaker despite higher revenue and gross profit.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
88.7%
Gross profit
$97.2B
Revenue
$109.6B
Cost of revenue
$12.4B
Quarter-over-quarter change
+1.1 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 |
|---|---|---|---|---|
| Jun 30, 2024 | $98.9B | $87.5B | $11.3B | 88.5% |
| Sep 30, 2024 | $100.8B | $89.0B | $11.8B | 88.3% |
| Dec 31, 2024 | $100.8B | $88.3B | $12.5B | 87.6% |
| Mar 31, 2025 | $109.6B | $97.2B | $12.4B | 88.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2024
+1.1 pts
Year-over-year change
Mar 31, 2024
-0.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver was gross profit growing faster than revenue, as cost of revenue remained nearly unchanged quarter over quarter, resulting in a higher gross margin.
Compared to the preceding quarter, gross margin improved. Versus the year-ago quarter, gross margin was slightly weaker despite higher revenue and gross profit.
Monitor whether cost of revenue remains stable as revenue continues to grow.