Zebra Technologies Corporation stock research
FY2026 Q1
Zebra Technologies (ZBRA) Gross Margin — Quarter Ended Apr 4, 2026
Revenue was unchanged from the prior quarter but higher than the same quarter last year. Gross profit increased relative to both periods, while cost of revenue decreased from the prior quarter and increased from a year ago, resulting in a gross margin that improved sequentially and was stable year-over-year.
Gross margin takeaway
Quarter ended Apr 4, 2026 · FY2026 Q1
Revenue was unchanged from the prior quarter but higher than the same quarter last year. Gross profit increased relative to both periods, while cost of revenue decreased from the prior quarter and increased from a year ago, resulting in a gross margin that improved sequentially and was stable year-over-year.
- The gross margin improvement from the prior quarter was driven by a larger increase in gross profit relative to the decline in cost of revenue, with revenue unchanged.
- Compared to the prior quarter, gross margin improved as gross profit rose and cost of revenue fell. Compared to the same quarter last year, gross margin was stable, with both revenue and cost of revenue higher.
Gross margin snapshot
The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.
Gross margin
49.6%
Gross profit
$742.0M
Revenue
$1.5B
Cost of revenue
$753.0M
Quarter-over-quarter change
+2.3 pts
Year-over-year change
+0.3 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 28, 2025 | $1.3B | $616.0M | $677.0M | 47.6% |
| Sep 27, 2025 | $1.3B | $634.0M | $686.0M | 48.0% |
| Dec 31, 2025 | $1.5B | $698.0M | $777.0M | 47.3% |
| Apr 4, 2026 | $1.5B | $742.0M | $753.0M | 49.6% |
Quarterly comparisons
Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.
Previous-quarter change
Dec 31, 2025
+2.3 pts
Year-over-year change
Mar 29, 2025
+0.3 pts
What the margin says
Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.
The gross margin improvement from the prior quarter was driven by a larger increase in gross profit relative to the decline in cost of revenue, with revenue unchanged.
Compared to the prior quarter, gross margin improved as gross profit rose and cost of revenue fell. Compared to the same quarter last year, gross margin was stable, with both revenue and cost of revenue higher.
Monitor the trajectory of cost of revenue relative to revenue, as its year-over-year increase outpaced revenue growth.
Peer context
Latest available gross margins for related public companies.
| Company | Gross margin |
|---|---|
| Zebra Technologies Corporation (ZBRA) | 49.6% |