VR

Verisk Analytics, Inc. stock research

Sep 30, 2023

FY2023 Q3

Verisk Analytics (VRSK) Gross Margin — Quarter Ended Sep 30, 2023

Revenue increased compared to both the prior quarter and the same quarter last year. Gross profit rose in line with revenue, resulting in a gross margin that was stable sequentially and slightly lower than the year-ago period.

Gross margin takeaway

Quarter ended Sep 30, 2023 · FY2023 Q3

Revenue increased compared to both the prior quarter and the same quarter last year. Gross profit rose in line with revenue, resulting in a gross margin that was stable sequentially and slightly lower than the year-ago period.

  • The gross margin remained unchanged from the previous quarter, indicating that the relationship between cost of revenue and revenue was consistent.
  • When compared to the immediately preceding quarter, both revenue and cost of revenue were higher, leaving gross margin flat. Relative to the same quarter one year earlier, revenue and cost of revenue were higher, and gross margin was slightly weaker.

Gross margin snapshot

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

Gross margin

67.9%

Gross profit

$460.4M

Revenue

$677.6M

Cost of revenue

$217.2M

Quarter-over-quarter change

+0.1 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
Mar 31, 2023$651.6M$435.4M$216.2M66.8%
Jun 30, 2023$675.0M$458.1M$216.9M67.9%
Sep 30, 2023$677.6M$460.4M$217.2M67.9%

Quarterly comparisons

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

Previous-quarter change

Jun 30, 2023

+0.1 pts

Year-over-year change

Sep 30, 2022

-0.1 pts

What the margin says

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

The gross margin remained unchanged from the previous quarter, indicating that the relationship between cost of revenue and revenue was consistent.

When compared to the immediately preceding quarter, both revenue and cost of revenue were higher, leaving gross margin flat. Relative to the same quarter one year earlier, revenue and cost of revenue were higher, and gross margin was slightly weaker.

Monitor whether cost of revenue continues to grow proportionally with revenue.

VRSK Gross Margin — Quarter Ended Sep 30, 2023