Zebra Technologies Corporation stock research
FY2024 Q1
Zebra Technologies (ZBRA) Gross Margin — Quarter Ended Mar 30, 2024
Revenue and gross profit both increased compared to the immediately preceding quarter, while cost of revenue rose at a slower pace, leading to an improvement in gross margin. Relative to the same quarter one year earlier, revenue and gross profit were lower, and cost of revenue also decreased, resulting in a gross margin that was slightly higher.
Gross margin takeaway
Quarter ended Mar 30, 2024 · FY2024 Q1
Revenue and gross profit both increased compared to the immediately preceding quarter, while cost of revenue rose at a slower pace, leading to an improvement in gross margin. Relative to the same quarter one year earlier, revenue and gross profit were lower, and cost of revenue also decreased, resulting in a gross margin that was slightly higher.
- The strongest observable margin driver is the relationship between revenue and cost of revenue; revenue grew more than cost of revenue sequentially, which supported the gross margin expansion.
- Compared to the immediately preceding quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin was stable.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
47.9%
Gross profit
$563.0M
Revenue
$1.2B
Cost of revenue
$612.0M
Quarter-over-quarter change
+3.5 pts
Year-over-year change
+0.4 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 1, 2023 | $1.2B | $581.0M | $633.0M | 47.9% |
| Sep 30, 2023 | $956.0M | $427.0M | $529.0M | 44.7% |
| Dec 31, 2023 | $1.0B | $448.0M | $561.0M | 44.4% |
| Mar 30, 2024 | $1.2B | $563.0M | $612.0M | 47.9% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2023
+3.5 pts
Year-over-year change
Apr 1, 2023
+0.4 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The strongest observable margin driver is the relationship between revenue and cost of revenue; revenue grew more than cost of revenue sequentially, which supported the gross margin expansion.
Compared to the immediately preceding quarter, gross margin improved. Compared to the same quarter one year earlier, gross margin was stable.
Monitor the trend in cost of revenue relative to revenue, as its movement directly affects gross margin.