A refinement of your calculations, Pharma. A gross margin of 70%...

A refinement of your calculations, Pharma.

A gross margin of 70% means that cost of goods sold (COGS) is 30% of recorded sales revenue and gross profit is 70% of revenue.

Your example of a wholesale price of $18.00 at a 70% margin would represent a profit of $12.60 obtained at a cost of $5.40 per item.

The AGM Presentation (slide 7) shows FY2018 consumer health revenue of A$5.62M achieved at a COGS of A$2.16M. The gross profit obtained for the financial year therefore was A$3.46M, which represents an average margin of 61.6% of the revenue figure.