So, the only hit to the margin is the cost to produce the goods themselves.
Generic drugs help drugstore profitability because they provide a wider margin between the cost for the pharmacy to purchase the drugs and the reimbursement received.
Identified by the quantitative model employed by the Forbes Growth Investor, this small-cap company has adopted the latter strategy, but it has also supplemented this with smart acquisitions designed to enhance its product offerings and accelerate the pace of margin expansion through cost-saving synergies.
Marginal cost begins to exceed average cost, creating a profit margin despite competitive pressure to price to marginal cost.
There was some margin improvement due to cost cutting, but details were frustratingly absent.
They could never recoup this investment if others were allowed to copy their ideas and sell them at a thin margin over what they cost to manufacture.
"The combination of good execution at the point of sale, superior net revenue and margin management, and cost and productivity initiatives has enabled us to effectively manage through a challenging set of global business conditions, " said Chief Executive EricFossEric Foss of Pepsi Bottling.
"The combination of good execution at the point of sale, superior net revenue and margin management, and cost and productivity initiatives has enabled us to effectively manage through a challenging set of global business conditions, " said Chief Executive Eric Foss of Pepsi Bottling.
FORBES: Bottler has neither good nor bad news for the quarter.
The enhancement in margin came on account of cost control, reduced bad debt and other factors.
FORBES: Addus HomeCare Stock More Than Doubles In A Year, Still Looks Like A Bargain
Product rationalization and operational efficiencies are helping cost control and margin expansion at Rovi.
The company continues to face margin pressure even with significant cost-cutting measures.
And when you have a high enough profile, limited editions, box sets, and other high cost, high margin pebbles become viable too.
FORBES: The Business of Writing: Turn Your Income Stream Into A River
Amidst cost pressures and margin pressures, we expect RadioShack to resort to store closures in the coming years in order to save costs.
Capital One also reported a 13 basis point improvement in its net interest margin largely due to lower cost of funds in the quarter.
He contends that revenue visibility is improve, with U.S. and China capital spending growing, and Europe likely bottoming in the first half of 2012, and cost cutting driving margin and cash flow improvements, the time is now to get more bullish.
FORBES: Alcatel-Lucent Up; Deutsche Bank Says Cash Fears Overdone
Higher sales with a lower cost structure pushed gross margin from 55.9% to 57.8%.
FORBES: Tiffany Is Seductive But Resist The Siren, Take Breakfast Elsewhere
The Fed is doing investors another turn, which deals with the cost of carry on margin accounts.
Despite our overall revenue shortfall, our ongoing focus on cost management delivered meaningful margin expansion and EPS above our guidance range.
In net interest margin (interest income minus interest cost, divided by the loan total), Lewis' bank scores 2.6%, versus 2.4% for Citi and 2.3% for Chase.
By forcing states to pay 100 percent of Medicaid cost increases at the margin, this plan is likely to achieve some restraint in the growth of total Medicaid spending.
Gross margin, or revenue after the cost of sales, slipped to 40.6 percent during the quarter, from 41 percent a year earlier, suggesting the company may have had to discount more heavily to sell items.
House brands offer retailers a better profit margin, since they don't cost as much to market as national brands.
The bank's net interest margin--the difference between its cost of capital and average loan rate--has fallen for five consecutive quarters, to 0.9%.
The gross profit margin (excluding occupancy expense as a cost of the merchandise) edged up a percentage point, to 56%, in 1998, but sales growth slowed, to 6% from 14%.
He also sees potential for gross margin expansion, on higher software sales and cost benefits from new products.
Overwhelmingly, agencies are compensated by charging their clients a fee, estimating labor cost and including an agreed profit margin.
Even excluding charges associated with cost overruns in 2008, the operating margin improved 216 basis points.
Gross margin guidance for 2012 also expanded due to lower cost inflation than anticipated.
FORBES: Hershey's Beats Estimates On Back Of New Product Launches And Sales
Aside from the retailer's gross margin of 35%, the biggest component of cost is labor: Even when a Mille is 99% completed, the tiniest flaw can cause it to be rejected.
It faces daunting challenges from China Inc. and the free software movement, and its high-margin boxes may yet fall under the same relentless cost pressure that has long strained most hardware businesses.
应用推荐