Gross Margin

In finance, the term “gross margin” denotes the portion of a companies revenues which are not expended on production costs (cost of goods sold or COGS).

Companies which produce labor-intensive or material-intensive products will typically have a high COGS, and therefore a smaller gross margin. Companies which produce high-value products which do not require labor-intensive or material-intensive production (such as software or services) typically have a low COGS, and therefore a larger gross margin.

More on this topic:
Swiss stock broker comparison

About moneyland.ch

moneyland.ch is Switzerland’s independent online comparison service covering banking, insurance and telecom. More than 80 unbiased comparison tools and calculators are available on moneyland.ch, along with useful financial guides and timely news. The comprehensive comparison tools help you to find the right insurance policies, bank accounts, credit and prepaid cards, loans, mortgages, trading accounts and telecom products for your needs.