Gross profit margin is the gross profit divided by revenue[1]. Gross profit is revenue minus the cost of the goods to the company[2].<p>Securis keeping 51% of the money generated by its business, after you figure in what that service first cost the company, is indeed impressive.<p>What is also impressive though is if, as Securis&#x27; CEO suggests near the end of this[3] article, after all that their net income is only 1.4%. Is he really saying, there, that direct operating costs eat 99% of their gross margins, or is he not telling the FCC that a big chunk of change is being &quot;spent&quot; as operational costs on M&amp;A and other re-directional consumables? My expertise is quickly exhausted in the subject, but... it can&#x27;t all be going to kickbacks to the prisons.<p>1: <a href="http:&#x2F;&#x2F;www.investopedia.com&#x2F;ask&#x2F;answers&#x2F;101314&#x2F;what-are-differences-between-gross-profit-and-gross-margin.asp" rel="nofollow">http:&#x2F;&#x2F;www.investopedia.com&#x2F;ask&#x2F;answers&#x2F;101314&#x2F;what-are-diff...</a><p>2: <a href="http:&#x2F;&#x2F;www.investopedia.com&#x2F;terms&#x2F;g&#x2F;grossprofit.asp" rel="nofollow">http:&#x2F;&#x2F;www.investopedia.com&#x2F;terms&#x2F;g&#x2F;grossprofit.asp</a><p>3: <a href="http:&#x2F;&#x2F;www.prisonpolicy.org&#x2F;blog&#x2F;2015&#x2F;06&#x2F;19&#x2F;securus-profits&#x2F;" rel="nofollow">http:&#x2F;&#x2F;www.prisonpolicy.org&#x2F;blog&#x2F;2015&#x2F;06&#x2F;19&#x2F;securus-profits&#x2F;</a>