Williams-Sonoma, Inc. stock research
FY2025 Q3
Williams-Sonoma (WSM) Gross Margin — Quarter Ended Nov 2, 2025
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin improved from the year-ago period but weakened from the preceding quarter.
Gross margin takeaway
Quarter ended Nov 2, 2025 · FY2025 Q3
Revenue and gross profit increased compared to both the prior quarter and the same quarter last year, while cost of revenue also rose. Gross margin improved from the year-ago period but weakened from the preceding quarter.
- According to the filing, the revenue increase was driven by strong sales and higher full-price selling, which contributed to the gross margin improvement year over year.
- Compared to the prior quarter, gross margin declined as cost of revenue grew faster than revenue. Versus the same quarter last year, gross margin improved, with gross profit rising more than cost of revenue.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
46.1%
Gross profit
$867.7M
Revenue
$1.9B
Cost of revenue
$1.0B
Quarter-over-quarter change
-1.0 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 |
|---|---|---|---|---|
| Feb 2, 2025 | $2.5B | $1.2B | $1.3B | 47.3% |
| May 4, 2025 | $1.7B | $765.8M | $964.3M | 44.3% |
| Aug 3, 2025 | $1.8B | $864.6M | $972.1M | 47.1% |
| Nov 2, 2025 | $1.9B | $867.7M | $1.0B | 46.1% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Aug 3, 2025
-1.0 pts
Year-over-year change
Oct 27, 2024
+0.7 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
According to the filing, the revenue increase was driven by strong sales and higher full-price selling, which contributed to the gross margin improvement year over year.
Compared to the prior quarter, gross margin declined as cost of revenue grew faster than revenue. Versus the same quarter last year, gross margin improved, with gross profit rising more than cost of revenue.
Monitor Pottery Barn's comparable brand revenue growth, as it was highlighted in the filing.