West Pharmaceutical Services, Inc. stock research
FY2025 Q2
West Pharmaceutical Services (WST) Gross Margin — Quarter Ended Jun 30, 2025
Revenue and gross profit both rose compared to the prior quarter and the same quarter last year, while cost of revenue increased. Gross margin improved versus both periods, indicating that gross profit grew at a faster pace than revenue relative to cost of revenue.
Gross margin takeaway
Quarter ended Jun 30, 2025 · FY2025 Q2
Revenue and gross profit both rose compared to the prior quarter and the same quarter last year, while cost of revenue increased. Gross margin improved versus both periods, indicating that gross profit grew at a faster pace than revenue relative to cost of revenue.
- Gross profit grew more rapidly than revenue, driving gross margin higher. Cost of revenue increased but at a slower rate than revenue, supporting the margin expansion.
- Compared to the immediately preceding quarter, gross margin improved. Versus the same quarter one year earlier, gross margin was also higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
35.7%
Gross profit
$273.9M
Revenue
$766.5M
Cost of revenue
$492.6M
Quarter-over-quarter change
+2.5 pts
Year-over-year change
+3.0 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 |
|---|---|---|---|---|
| Sep 30, 2024 | $746.9M | $264.7M | $482.2M | 35.4% |
| Dec 31, 2024 | $748.8M | $273.6M | $475.2M | 36.5% |
| Mar 31, 2025 | $698.0M | $231.9M | $466.1M | 33.2% |
| Jun 30, 2025 | $766.5M | $273.9M | $492.6M | 35.7% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Mar 31, 2025
+2.5 pts
Year-over-year change
Jun 30, 2024
+3.0 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
Gross profit grew more rapidly than revenue, driving gross margin higher. Cost of revenue increased but at a slower rate than revenue, supporting the margin expansion.
Compared to the immediately preceding quarter, gross margin improved. Versus the same quarter one year earlier, gross margin was also higher.
Monitor the trend in cost of revenue relative to revenue, as changes in this relationship directly affect gross margin.