Verisk Analytics, Inc. stock research
FY2025 Q2
Verisk Analytics (VRSK) Gross Margin — Quarter Ended Jun 30, 2025
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue was slightly lower than the prior quarter but higher than a year ago. Gross margin improved relative to both periods, reflecting a stronger relationship between revenue growth and cost control.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year, while cost of revenue was slightly lower than the prior quarter but higher than a year ago. Gross margin improved relative to both periods, reflecting a stronger relationship between revenue growth and cost control.
- The strongest observable margin driver is the increase in gross profit outpacing the increase in revenue, as cost of revenue remained nearly stable compared to the prior quarter. This indicates that revenue growth was achieved without a proportional rise in direct costs.
- Compared to the immediately preceding quarter, gross margin improved, driven by higher revenue and slightly lower cost of revenue. Versus the same quarter one year earlier, gross margin also improved, with revenue and gross profit growing faster than cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
70.3%
Gross profit
$543.1M
Revenue
$772.6M
Cost of revenue
$229.5M
Quarter-over-quarter change
+0.9 pts
Year-over-year change
+0.9 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 |
|---|---|---|---|---|
| Sep 30, 2024 | $725.3M | $501.9M | $223.4M | 69.2% |
| Dec 31, 2024 | $735.6M | $505.1M | $230.5M | 68.7% |
| Mar 31, 2025 | $753.0M | $522.2M | $230.8M | 69.3% |
| Jun 30, 2025 | $772.6M | $543.1M | $229.5M | 70.3% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
+0.9 pts
Year-over-year change
Jun 30, 2024
+0.9 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the increase in gross profit outpacing the increase in revenue, as cost of revenue remained nearly stable compared to the prior quarter. This indicates that revenue growth was achieved without a proportional rise in direct costs.
Compared to the immediately preceding quarter, gross margin improved, driven by higher revenue and slightly lower cost of revenue. Versus the same quarter one year earlier, gross margin also improved, with revenue and gross profit growing faster than cost of revenue.
Monitor the trend in cost of revenue, which remained nearly flat sequentially despite revenue growth, to see if this cost discipline persists.