VR

VeriSign, Inc. stock research

Mar 31, 2025

FY2025 Q1

VeriSign (VRSN) Gross Margin — Quarter Ended Mar 31, 2025

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin was stable sequentially and improved year over year.

Gross margin takeaway

Quarter ended Mar 31, 2025 · FY2025 Q1

Revenue and gross profit both increased compared to the prior quarter and the same quarter last year. Gross margin was stable sequentially and improved year over year.

  • The gross margin was stable sequentially and improved year over year, driven by revenue growth outpacing the increase in cost of revenue.
  • Compared to the prior quarter, revenue and gross profit were higher, while gross margin was essentially stable. Compared to 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

87.7%

Gross profit

$352.9M

Revenue

$402.3M

Cost of revenue

$49.4M

Quarter-over-quarter change

-0.0 pts

Year-over-year change

+0.5 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Jun 30, 2024$387.1M$340.0M$47.1M87.8%
Sep 30, 2024$390.6M$343.8M$46.8M88.0%
Dec 31, 2024$395.4M$347.0M$48.4M87.8%
Mar 31, 2025$402.3M$352.9M$49.4M87.7%

Quarterly comparisons

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

Previous-quarter change

Dec 31, 2024

-0.0 pts

Year-over-year change

Mar 31, 2024

+0.5 pts

What the margin says

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

The gross margin was stable sequentially and improved year over year, driven by revenue growth outpacing the increase in cost of revenue.

Compared to the prior quarter, revenue and gross profit were higher, while gross margin was essentially stable. Compared to the same quarter last year, revenue, gross profit, and gross margin were all higher.

Monitor the trend in cost of revenue relative to revenue, as its growth rate influences gross margin stability.

VRSN Gross Margin — Quarter Ended Mar 31, 2025