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Not necessarily. While large gross margins indicate that a company retains a significant portion of revenue after accounting for the cost of goods sold, overall profitability also depends on other factors, such as operating expenses, taxes, and interest. A company with high gross margins could still report low or negative profits if its operating costs are excessively high. Thus, while high gross margins can contribute to profitability, they do not guarantee it.

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1w ago

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How was john d Rockefeller and the standard oil company involved in monopoles?

because the standard oil company was really famous and made large profits


Is profit is generally adequate to finance the significant growth of a company?

A company's profits are a key method to finance growth by using those profits into research & development. Should a company require more funding to finance growth, then issuing corporate bonds and - or taking out loans will augment the funds needed for research & development. Growth can also be funded by buying another company which has large cash reserves and or products that are very profitable. Here, the buying company must make an attractive offer and create the financing to make this deal work.


When the colony was started the Dutch hoped to earn large profits from what economic activities?

The fur trade :)


Meaning and factors effecting dividend policy?

A dividend policy is a company's approach to distributing profits back to its owners or stockholders. If a company is in a growth mode, it may decide that it will not pay dividends, but rather re-invest its profits (retained earnings) in the business. If a company does decide to pay dividends, it must then decide how often to do so, and at what rate. Large, well-established companies often pay dividends on a fixed schedule, but sometimes they also declare "special dividends." The payment of dividends impacts the perception of a company in financial markets, and it may also have a direct impact on its stock price. From-Gudlu Mohanty....!


What were large farms that grew just one kind of crop and made a huge profits for their owners?

a plantation

Related Questions

What motivated us involvement in china?

Profits of a cheap labor force. And large company profits on Cars and technology.


What might explain why a company is large or small?

Its Market capitalization, gross profit, gross revenue, number of employees, number of clients etc


What are the reasons organization grows?

Mainly profits. If you're referring to a corporation and a company makes large profits and uses retained earnings (which aren't taxed like dividends) the company grows. Retained earnings are profits that are kept in the company and spent on expanding instead of giving the profits out in dividends. Many tech companies that have grown astronomically have done so through retained earnings.


How was john d Rockefeller and the standard oil company involved in monopoles?

because the standard oil company was really famous and made large profits


How large is a gross?

a gross = 144


What are organizations that are in the business of benefiting society and operate like a business called?

Hi - if the organisation is a profit making company and all of its profits go to shareholders then that is still classed as a business. However if the organisation makes profits but a large (usually over 50)% (or all) of these profits are re-invested into the community then that is called a Community Interest Company. This is in the UK by the way.


What are organizations that are in business of benefiting society and operate like a business called?

Hi - if the organisation is a profit making company and all of its profits go to shareholders then that is still classed as a business. However if the organisation makes profits but a large (usually over 50)% (or all) of these profits are re-invested into the community then that is called a Community Interest Company. This is in the UK by the way.


What types of companies would benefit from using intelligence management solutions?

Large businesses and companies would benefit Intelligence management solutions would ensure the company is reaching its targets and margins. It is beneficial for large companies with large numbers of employees.


What was the situation of the large automobile corporations during the Depression?

Such large profits had been made prior to 1929 that the Depression cutback only curtailed large increases in profits.


How many American dollars does 1000 php Pesos make?

The margins on PHP however are large and the foreign exchange company will likely be taking 20%. I would expect PHP1000 to get you about USD16.00


Who was known as the first robber baron?

John D. Rockefeller was. Him and his oil company. He reaped large profits from his employees instead of dishing the money out equally. He was a greedy guy.


Large space margins on the roadway provide what?

A place to have an accident without hitting anyone.