What a good profit margin is depends on your exact business. Some types of businesses, like software companies, will naturally have a higher (thus, better) profit margin than others, like restaurants.

What’s A Good Gross Profit Margin To Target? Gross profit margin is a relative figure. As a result, comparing it across industries is generally unhelpful since there's so much variance.

Gross Profit Margin: Formula and Calculation. Using the following formula, you can easily calculate gross profit margin: Gross Profit Margin = (Revenue – Cost of Goods Sold) / Revenue x 100 ...

A good profit margin varies by industry, but typically, a higher margin indicates better profitability. It’s essential to benchmark against industry averages for a more accurate assessment. Q.

Columnist John D. Wagner explains why gross profit margin should not rise or fall with sales and reasons that it could.

But what really is a good profit margin for retailers? Below covers the points to take into consideration when valuing a company's margins. Key Takeaways.

Netflix's gross profit margin Netflix's gross profit margin. OK, it’s time to put all this theory to work with a real example. Netflix (NFLX 1.24%), the market-leading video-streaming service ...

Profit margin analysis offers insight into how well a company generates and retains money. A company's margins are its earnings expressed as a ratio or a percentage of sales.

In general, the higher the profit margin %, the better. If its too low, for instance below 10%, your business becomes vulnerable to changes within your market or reduced sales that could result in ...

What Is a Good Coffee Shop Profit Margin?. Coffee shops brought in approximately $10 billion in 2011, according to First Research. While the largest chains, such as Starbucks and Caribou, ...