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He said: "We watch that quite carefully because of course, on the one hand, the companies, they say, 'we are losing money in a certain part of the energy chain' but it would appear, given that their overall profits stay at much the same level, that they regain profits elsewhere".
Similar(59)
Analysts said investors were reacting to the reduced forecast and were frustrated that Electronic Arts had not been able to regain the profit margins of earlier years.
So what we're seeing today is a return to the past, as Coke hopes to regain the profit margins it once enjoyed when it was a slimmer firm.
On the positive side, said Mr. Hoffecker, American automakers have already regained their profits.
Moody's said Sony's electronics division would continue to suffer from the effects of deflation and, despite efforts to overhaul its operations, "Sony may take longer than expected to regain the strong profit and cash flow generation patterns seen before".
The ratings agency said that while Sony had taken steps to cut costs and improve profitability, the benefits of those steps were emerging "slowly" and its key segments "seem unlikely to soon regain the robust profit levels seen historically".
Furthermore, they would not regain the present profit level before 1995.
Only after Henry Ford died and his son had hired a group of GM managers to restructure the company did the automaker begin to regain competitive strength and profits.
If Arcoxia is approved, Merck could regain some of the profits it lost when it withdrew Vioxx — money that could conceivably help the company pay the legal bills it faces over Vioxx.
Fannie and Freddie invested in subprime and Alt A mortgages in order to increase profits and regain market share.
"Given the regulatory pressure on Massey, it's going to be hard for them to regain composure, make a profit and pay off their debt," said Justin Molavi, an energy analyst at IBISWorld, a market research firm.
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