Continue reading the main story. 1  AMID the squawks and pings of our digital devices, the old-fashioned virtues of reading novels can seem faded, even futile. 2  Brain scans are revealing what happens in our heads when we read a detailed description, an evocative metaphor or an emotional exchange between characters.
One metric that investors use to evaluate companies and industries is profit margin, which speaks of the company's ability to manage its cost and effectively price its products. In May 2015, the profit margin for companies in the food and beverage sector ranged from -24.1% to 24%. The average profit margin was 5.2%.Profit margin is calculated as net income divided by the company's total revenues.n May 2015, the profit margin for companies in the food and beverage sector ranged from -24.1% to 24%. The average profit margin was 5.2%.
In other words, it directly impacts risk and return. Gross profit evaluation and gross profit optimization is necessary to calculate and understand gross profit percentage, commonly referred to as gross profit margin. Gross profit margin is a company's total sales revenue minus its direct costs, divided by the total sales revenue, expressed as a percentage. Gross profit margin represents the percent of total sales revenue that the company retains after incurring direct costs. The higher the percentage, the more the company retains on each dollar of sales to service its other costs and obligations.