Gross Margins vs COGS
It is correct to say that the costs of goods sold will be a good indicator of future profits. A more accurate and important number to watch however, is actually your gross margin as it includes the COGS and is much more comprehensive in determining all expenses ( which all others are not necessarily fixed costs). This figure was mentioned in the Aug.27 announcement as going from 40.28 to 50.7 for the 2nd quarter. Also, COGS itself can be somewhat misleading on the quarterly report, due to granite purchases being done in greater volume and less often in order to reduce costs. Hope this info is of some help to investors on this site. Cheers