A high-temperature superconducting first-order axial gradiometer with thick film YBa 2 Cu 3 O 7 pick-up loops inductively coupled to a thin film YBa 2 Cu 3 O 7 superconducting quantum interference device magnetometer has been designed, fabricated and characterized. The gradiometer has a baseline of 79 mm, an estimated intrinsic system balance of 1:480 for uniform axial magnetic fields and an estimated axial magnetic field gradient sensitivity of 70 fT (cm Hz) at 1 kHz, in magnetic shielding.