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High profit margins outside transport

1st May 2008, Page 41
1st May 2008
Page 41
Page 41, 1st May 2008 — High profit margins outside transport
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Which of the following most accurately describes the problem?

IT MAY INTEREST transport firms struggling on sub-3% profit margins that other sectors do not feel their pain. According to government figures, the overall profitability of UK private nonfinancial corporations in the fourth quarter of 2007 was 15.5%, slightly higher than expected.

For manufacturing companies the net rate of return for the same period was estimated at 8.1% — much higher than the 2007 average of 6.8%.

Service companies whose capital investment is relatively low showed the highest profitability with 20.9% in 04.

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