Superworth

Cerence profit margin CRNC

Gross, operating and net profit as a share of revenue over the last twelve months, from 2019.

Net margin, 12 months
−5.0%
Operating margin, 12 months
8.7%
Net margin on a year earlier
+5.5 pts
Peer median
3.9%

Over the twelve months to Jun 30, 2026, Cerence kept −5.0% of its revenue as net profit, with an operating margin of 8.7% and a gross margin of 78.7%.

Five years earlier its net margin was 11.8%.

The median for 10 infrastructure software stocks of a similar size is 3.9%.

Profit margin over time

GrossOperatingNet

Open the interactive chart, with overlays and comparisons

Fiscal year by fiscal year

Fiscal yearNet marginOperating marginGross margin
FY2025−7.4%−0.9%72.7%
FY2024n/an/a73.7%
FY2023−19.1%−9.2%67.7%
FY2022−94.8%−56.2%70.4%
FY202111.9%15.7%73.9%
FY2020−6.1%6.7%67.4%
FY201933.1%3.6%67.2%

Quarter by quarter

QuarterEndedNet margin, 12 monthsChange on a yearOperating margin
Q3 FY26−5.0%+5.5 pts8.7%
Q2 FY26−6.5%n/a8.0%
Q1 FY260.1%n/a13.9%
Q4 FY25−7.4%n/a−0.9%
Q3 FY25−10.5%n/a−8.0%
Q2 FY25n/an/an/a
Q1 FY25n/an/an/a
Q4 FY24n/an/an/a
Q3 FY24n/an/an/a
Q2 FY24−80.9%n/a−60.4%
Q1 FY24−8.7%n/a9.6%
Q4 FY23−19.1%+75.7 pts−9.2%

Against its peers

Companies in Software - Infrastructure nearest Cerence's size, closest first, today.

CompanyProfit margin
CRNCCerence−5.0%
IIIVi3 Verticals3.9%
MKTWMarketwise0.7%
RBBNRibbon Communications2.0%
MKLYMcKinley Acquisitionn/m
CCSIConsensus Cloud Solutions26.7%
GDYNGrid Dynamics0.7%
OSPNOneSpan27.8%
EGANEGAIN9.7%
RPDRapid72.4%
RDVTRed Violet16.5%
Peer median3.9%

Where Cerence ranks

What the profit margin tells you

Profit as a share of revenue at three levels: gross (after making the product), operating (after running the business) and net (after everything, including tax and interest).

Compare within an industry. 10% is superb for a retailer and poor for a software company.

More on Cerence

Valuation data, not investment advice. Prices as of . Reported figures come from the company's filings with the SEC.