nuh media thread, page-2312

This rubbish about gross profit is ridiculous. IMO it's as simple as the ol' kitchen sink approach to financial reporting. If you're going to have a poor year, you throw as much crap (i.e. everything including the kitchen sink) into that year as you can. Most companies use a year that's already lost to write down assets. IMO we've done the same but rather than impairments, we've simply pulled forward as many expenses from FY18 into FY17 as possible, whilst at the same time deferring as many of the purchase orders and sales into FY18. The impact will be that FY17 is a tad worse (i.e margins are thinner) than it would have been but that's what the market expected. And FY18 will be slightly better with slightly lowers costs and higher sales.

People are reading WAAAY too much into this margin issue.