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Trimble Inc. (TRMB-0.41%) has submitted its 10-Q filing for the quarterly period ended March 29, 2024.
The filing reports total revenue of $953.3 million for the quarter, a 4% increase from $915.4 million in the same quarter of the previous year. The revenue growth was driven by a 22% increase in subscription and services revenue, offset by a 15% decline in product revenue.
Gross margin for the quarter was $593.6 million, or 62.3% of revenue, compared to $560.8 million, or 61.3% of revenue, in the previous year. The increase in gross margin percentage is attributed to a higher mix of software and subscription sales.
Operating income for the quarter was $109.2 million, down from $137.0 million in the prior year, due to increased operating expenses, including costs associated with the Transporeon acquisition and the Ag divestiture.
Net income for the quarter was $57.2 million, compared to $128.8 million in the previous year. Basic and diluted earnings per share were $0.23, down from $0.52 in the prior year.
Trimble reported cash and cash equivalents of $261.6 million as of March 29, 2024, with net cash provided by operating activities totaling $233.8 million for the quarter.
The company completed the divestiture of its Ag business to AGCO Corporation, forming a joint venture called PTx Trimble. Trimble retains a 15% ownership in the joint venture.
Trimble's debt stood at $3,043.4 million at the end of the quarter, with $1.2 billion of variable-rate debt, of which $1.0 billion was repaid in the second quarter of 2024 using proceeds from the Ag divestiture.
The company continues to focus on its Connect and Scale strategy, emphasizing recurring revenue growth, which accounted for 73% of total revenue in the quarter.
The filing also notes that the company identified material weaknesses in its internal controls over financial reporting related to its business combination with Transporeon and certain IT general controls.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Trimble Inc. quarterly 10-Q report dated January 16, 2025. To report an error, please email earnings@qz.com.