Viatris Inc. stock research
FY2023 Q3
Viatris (VTRS) Gross Margin — Quarter Ended Sep 30, 2023
Revenue was unchanged from the prior quarter, while gross profit increased and cost of revenue remained stable, resulting in an improved gross margin. Compared to the same quarter one year earlier, revenue was lower, gross profit was similar, cost of revenue was stable, and gross margin was unchanged.
Gross margin takeaway
Quarter ended Sep 30, 2023 · FY2023 Q3
Revenue was unchanged from the prior quarter, while gross profit increased and cost of revenue remained stable, resulting in an improved gross margin. Compared to the same quarter one year earlier, revenue was lower, gross profit was similar, cost of revenue was stable, and gross margin was unchanged.
- The strongest observable margin driver was the increase in gross profit relative to stable cost of revenue, which lifted gross margin from the prior quarter.
- Gross margin improved sequentially from the prior quarter but was unchanged from the same quarter one year earlier. Revenue was lower year over year, while gross profit and cost of revenue were broadly similar to both comparison periods.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
43.0%
Gross profit
$1.7B
Revenue
$3.9B
Cost of revenue
$2.3B
Quarter-over-quarter change
+1.8 pts
Year-over-year change
+0.0 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 | $3.7B | $1.5B | $2.2B | 41.5% |
| Jun 30, 2023 | $3.9B | $1.6B | $2.3B | 41.1% |
| Sep 30, 2023 | $3.9B | $1.7B | $2.3B | 43.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jun 30, 2023
+1.8 pts
Year-over-year change
Sep 30, 2022
+0.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver was the increase in gross profit relative to stable cost of revenue, which lifted gross margin from the prior quarter.
Gross margin improved sequentially from the prior quarter but was unchanged from the same quarter one year earlier. Revenue was lower year over year, while gross profit and cost of revenue were broadly similar to both comparison periods.
Monitor the trajectory of gross profit relative to revenue in upcoming quarters to see if the margin improvement can be sustained.