COGS vs. Operating Expenses: Where Freight, Packaging, and Delivery Belong
Freight-in and product packaging are COGS; freight-out, shipping boxes and delivery are selling expenses. Misfile them and gross margin can run 10+ points high.
#profit-margins
Profit Margins
Calculate, benchmark, and improve profit margins across your business
McCormick Q3 FY2026: 17% Sales Growth, a $0.36 Quarter, and the $142M Between Them
McCormick's Q3 FY2026 sales rose 17.4%, only 1.9 points organic; $141.5M of merger and impairment charges cut EPS to $0.36 while adjusted EPS held $0.86.
Taqueria Bookkeeping: Yield Math, Shrinkage Controls, and Pricing That Keep a Street Taco Profitable
A $2.50 taco lives on pennies: cost it at cooked-protein yield, log salsa-bar waste, and price delivery apps 30% higher to keep a taqueria profitable.
Ciena FY2026 Q3 Earnings: $1.67B Revenue (+37%) and Two Cloud Customers Buying 41.7% of It
Ciena's Q3 FY2026 revenue rose 37% to $1.671B and operating margin hit 18%, but two unnamed cloud providers bought 41.7% of it — $696M in one quarter.
Costco FY2026 Earnings: $303B of Revenue, and the $5.9B of Membership Fees That Make Half the Profit
Costco's FY2026 revenue rose 10.1% to $303.2B and net income 13.9% to $9.2B; $5.9B of membership fees made up 50.6% of operating income, down from 56.4%.
Fuel Costs Are Quietly Eating Your Margin: What Record Gas Prices Mean for Your Books
Small-business gas spend jumped nearly 31% in 2026. Track fuel per mile, split the 72.5¢/76¢ IRS mileage rate, and book fuel surcharges as revenue.
General Mills Q1 FY2027: A $1B Yogurt Gain Hides an 11% Real Profit Drop
General Mills' Q1 FY2027 operating profit fell 63%, but $1.05B was last year's yogurt-sale gain; adjusted profit fell 11% as North America Retail sales slid 7%.
Garage Door Installation & Repair Bookkeeping: Licenses, Warranties, and Job Costing That Protect Your Margin
Garage door shops hold 10–15% net margins by accruing a warranty reserve, loading labor with 35% burden, and logging truck stock and state licenses per job.
Juice Bar and Smoothie Shop Bookkeeping: Track Produce Spoilage per Ingredient to Protect Your Margins
A 70% smoothie margin can be 45% after spoilage. Log waste per ingredient, cost recipes on yielded produce, and book abnormal loss outside COGS.
Pricing a Tiny Home Build So It Actually Makes Money: The True-COGS Playbook
Price a tiny home from true COGS: burdened labor at 1.35x wages plus overhead turns a $40,000 quote into a 4% job; a 40% margin needs about $58,000.
Driveway Gate Automation Installer Bookkeeping: UL 325 Safety Costs, Job Margins, and Service Contracts
Cost UL 325 safety devices as their own COGS line, target 50% gross and 15–20% net, and book gate maintenance contracts as deferred revenue.
Propane and Heating Oil Delivery Bookkeeping: Run Your Business by the Gallon, Not the Percentage
Price fuel in cents per gallon, book prebuy cash as deferred revenue, and forecast from heating degree-days to survive warm winters.