Cost of goods SoldIn 2004 COGS was 60.0%
In 2005 COGS was 66.6%
In 2006 COGS was 64.2%
In 2007 COGS was 63.4%
In 2008 COGS was 64.4%
In 2009 COGS was 64.5%
In 2010 COGS was 65.5%
In 2011 COGS was 65.6%
In 2012 COGS was 60.1%
In 2013 COGS was 66.6%
In 2014 COGS was 48.5% for 6 months.
This drop in COGS is where the profit was made IMO the question is why did it drop and will it stay at 48.5% or will it go back up to the 60% area. IMO the next quarter the number to watch is COGS if it goes down their could be a trend to profits if it goes up a trend to losses .
Cutstone