Western Digital Corporation stock research
FY2024 Q3
Western Digital (WDC) Gross Margin — Quarter Ended Mar 29, 2024
Revenue was negative in the current quarter, resulting in a negative gross margin. Compared to the prior quarter and the same quarter last year, revenue was lower while gross profit was higher, leading to a weakened gross margin.
Gross margin takeaway
Quarter ended Mar 29, 2024 · FY2024 Q3
Revenue was negative in the current quarter, resulting in a negative gross margin. Compared to the prior quarter and the same quarter last year, revenue was lower while gross profit was higher, leading to a weakened gross margin.
- The primary observable driver is the negative revenue figure, which caused cost of revenue to exceed revenue, producing a negative gross margin.
- Compared to the preceding quarter, revenue was lower and gross profit was higher, resulting in a weaker gross margin. Versus the same quarter last year, revenue was also lower and gross profit was higher, with a similarly weakened margin.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
-33.0%
Gross profit
$485.0M
Revenue
-$1.5B
Cost of revenue
$1.2B
Quarter-over-quarter change
-40.6 pts
Year-over-year change
-43.2 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 |
|---|---|---|---|---|
| Jun 30, 2023 | -$3.4B | -$404.0M | -$3.0B | 11.9% |
| Sep 29, 2023 | $1.2B | $244.0M | $2.7B | 20.4% |
| Dec 29, 2023 | $4.6B | $347.0M | $2.5B | 7.6% |
| Mar 29, 2024 | -$1.5B | $485.0M | $1.2B | -33.0% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 29, 2023
-40.6 pts
Year-over-year change
Mar 31, 2023
-43.2 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The primary observable driver is the negative revenue figure, which caused cost of revenue to exceed revenue, producing a negative gross margin.
Compared to the preceding quarter, revenue was lower and gross profit was higher, resulting in a weaker gross margin. Versus the same quarter last year, revenue was also lower and gross profit was higher, with a similarly weakened margin.
Monitor revenue trends, as the negative revenue represents a significant deviation from historical performance.