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By contrast, Mr. Mahaney said, gross margins for online DVD rentals are 40percentto50percentcent.
"Our gross margins for the quarter have improved to 44percentt from 31percentt for the same period last year".
Intel slipped more than 3 percent after the chip maker forecast gross margins for the current quarter below expectations.
On a pro forma basis, those gross margins for the quarter were 52.3percentt, compared with 54.5percentt in the third quarter.
He projected gross margins for the second quarter would be about 60percentt, plus or minus a few points, slightly lower than some analysts had expected.
Gross margins for the quarter were 59.4percentt, below the company's forecast of 60percentto61percentcent, based largely on the inventory problems.
Similar(22)
Intel's gross margin for the second quarter was 46.9percentthethe forecast was for about 48percentt.
Similarly, the company projected that gross margin for the year would be about 51percentt, higher than its earlier forecast of about 50percentt.
The gross margin for the fourth quarter was 63.6percentt, higher than the company's expectation of about 62percentt, primarily because of higher revenue.
Why have shares of luxury goods companies done so well this year? A. The operating gross margin for a regular retailer is around 10percentt.
A report by McKinsey in June claimed that automation through IoT will create a $300bn£190bnbn) value added opportunity and a 2% improvement in gross margin for vendors.
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