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Unformatted text preview: Net Marign % trends (qrt over qtr and yr over yr) Gross margin % = (net sales - cost of goods sold)/net sales this is a good measure of the companies efficiency in manufaturing and distributing their products Net margin % = net profit/sales this measures the profitiability of the firms overall operations (including their variable cost such as overhead, corporate, sales, marketing, R&D. it's best to look at the trends and not just one period, so you can determine if they are improving thir profitability and also compare those metrics to their competitors to see how thay compare to their overall market....
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- Spring '11