Workday, Inc. stock research
FY2027 Q1
Workday (WDAY) Gross Margin & Quarterly History
Explore Workday, Inc. (WDAY) gross margin from 2023 through the latest reported quarter, using SEC-sourced revenue, gross profit, and direct costs.
Gross margin takeaway
Quarter ended Apr 30, 2026 · FY2027 Q1
Revenue was stable while gross profit increased, driven by a lower cost of revenue, which lifted gross margin. The improvement reflects a larger share of revenue flowing through to gross profit.
- The gross margin strengthened compared to both the prior quarter and the same quarter last year, with revenue rising year over year but staying level sequentially.
- Quarter over quarter, gross margin improved as cost of revenue declined while revenue held steady. Year over year, revenue and gross profit both rose, and gross margin was slightly higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
77.7%
Gross profit
$2.0B
Revenue
$2.5B
Cost of revenue
$568.0M
Quarter-over-quarter change
+1.8 pts
Year-over-year change
+0.7 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 |
|---|---|---|---|---|
| Jul 31, 2025 | $2.3B | $1.8B | $561.0M | 76.1% |
| Oct 31, 2025 | $2.4B | $1.9B | $566.0M | 76.7% |
| Jan 31, 2026 | $2.5B | $1.9B | $611.0M | 75.9% |
| Apr 30, 2026 | $2.5B | $2.0B | $568.0M | 77.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Jan 31, 2026
+1.8 pts
Year-over-year change
Apr 30, 2025
+0.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin strengthened compared to both the prior quarter and the same quarter last year, with revenue rising year over year but staying level sequentially.
Quarter over quarter, gross margin improved as cost of revenue declined while revenue held steady. Year over year, revenue and gross profit both rose, and gross margin was slightly higher.
Monitor whether the lower cost of revenue can be sustained in future quarters.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| Workday, Inc. (WDAY) | 77.7% |