VeriSign, Inc. stock research
FY2023 Q3
VeriSign (VRSN) Gross Margin — Quarter Ended Sep 30, 2023
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved as cost of revenue declined relative to revenue.
Gross margin takeaway
Quarter ended Sep 30, 2023 · FY2023 Q3
Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin improved as cost of revenue declined relative to revenue.
- The most notable factor was the reduction in cost of revenue from the prior quarter, which, combined with higher revenue, drove margin expansion.
- Compared to the immediately preceding quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin also improved.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
87.1%
Gross profit
$327.7M
Revenue
$376.3M
Cost of revenue
$48.6M
Quarter-over-quarter change
+0.6 pts
Year-over-year change
+1.1 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 | $364.4M | $314.5M | $49.9M | 86.3% |
| Jun 30, 2023 | $372.0M | $321.7M | $50.3M | 86.5% |
| Sep 30, 2023 | $376.3M | $327.7M | $48.6M | 87.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2023
+0.6 pts
Year-over-year change
Sep 30, 2022
+1.1 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The most notable factor was the reduction in cost of revenue from the prior quarter, which, combined with higher revenue, drove margin expansion.
Compared to the immediately preceding quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin also improved.
Monitor the trend in cost of revenue, as its movement has a direct impact on gross margin.