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>I am looking at Q2 statement and gross margin before ZEV is 20%. With ZEV it is 21%. The statement given is ex ZEV and stock based comp, not ex ZEV/GHG and Se
by seebee 8y ago
>I am looking at Q2 statement and gross margin before ZEV is 20%. With ZEV it is 21%.
The statement given is ex ZEV and stock based comp, not ex ZEV/GHG and Services/Other. ZEV/GHG accounted for ~2% of margin in the first half of 2018 while Services/Other accounted for a little over 5%. Check the 10-Qs.
> Also, gross margin is literally margin after cost of goods. Doesn't include SG&A expense.
Most OEMs use the delta between the retail price and the bulk invoice including cost of stores to calculate their margin.
- dmode 8y agoSorry, it took me a while to get back. Why would stock based comp be included in gross margin ? That is not part of Cost of Goods sold. That is reflected in net income. I have no idea what your last statement means. There is US Accounting definition of what gross margin is and it is Revenue - Cost of Goods. Other expenses such as compensation, stores, are part of operational expense and it included in net income. https://en.wikipedia.org/wiki/Gross_margin https://en.wikipedia.org/wiki/Gross_margin