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Margin Call
11 mins to read

What drives margins?

ANALYSIS: In understanding a company’s potential future operating margins, it’s often useful to understand how its economic characteristics compare.

When we think about how a company’s profits might change over the next decade or more, it is natural to think mainly about whether the company is likely to experience a significant change in its levels of sales, and to assume that profitability will trend in the same direction.

Revenue (= sales)

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Nicholas Bagnall Tue, 12 Sep 2023
News tip? Question? Typo? Let us know: editor@nbr.co.nz
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What drives margins?
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