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It is true. Apple has a 70% profit margin on sales that they reinvest.

Just because revenue is reinvested doesn't mean it isn't revenue or a margin.

And, seeing as Apple has >$100,000,000,000 of cash and near cash, your "reinvestment" line is a total fantasy. Apple is printing cash with a massive profit margin, and reinvesting a tiny tiny tiny fraction of that money back into their business.



>> Just because revenue is reinvested doesn't mean it isn't revenue or a margin.

Your sentence is a little confusing, because calling something revenue means it is revenue. And while related, revenue is not the same as margin.

And please note that the bill of materials for a phone is only a part of the cost of goods sold, which as mentioned by others, also includes manufacturing, assembly, marketing, r&d and other costs. Those costs are generally not considered to be "reinvestment".




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