• PatFusty@lemm.ee
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    10 months ago

    Revenue does not mean gross profit. Gross profit does not mean net earnings. The numbers this person posted is the money the conpany gets before any operation costs. This means this is how much the product sold regardless of how much it costs to produce, package, ship, r&d, worker cost, etc. This meme has to stop its poisoning your brains

    • Jaytreeman@kbin.social
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      10 months ago

      These numbers are gross profit. A quick search would verify this for yourself.
      You seem to misunderstand what gross profit is because you decided to make a weird word salad.
      Gross profit is the profit a business makes after subtracting all the costs that are related to manufacturing and selling its products or services.
      So the numbers are relevant. It’s not worker wages that are the driving inflation. It’s not government handouts driving inflation. It’s corporate profits that are driving inflation

      • PatFusty@lemm.ee
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        10 months ago

        Gross profit is NOT how much money a company makes after all costs. This is the basic misunderstanding. Here is an example

        Kraft Heinz Quarterly Revenue

        2023-09-30 $6,570

        2023-06-30 $6,721

        2023-03-31 $6,489

        2022-12-31$7,381

        TOTAL: 27.161B

        Kraft Heinz Quarterly Gross Profit

        2023-09-30 $2.235B

        2023-06-30 $2.261B

        2023-03-31 $2.113B

        2022-12-31 $2.364B

        Total: $8.973B

        Kraft Heinz Quarterly Net Profit

        2023-09-30 $262M

        2023-06-30 $1,000M

        2023-03-31 $836M

        2022-12-31 $890M

        Total: 2.988B

        https://www.macrotrends.net/stocks/charts/KHC/kraft-heinz/revenue

        For clarification, I’m not saying I’m against increasing labor pay. I am just saying the numbers used are misleading.

        • alexrmay91@lemm.ee
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          10 months ago

          But only some numbers. Apple’s, for instance, is net profit from what I can see. Heinz isn’t. I haven’t looked into any more of them, but they’re just inconsistent.

          Crappy posts like this bug me so much because it makes “my side” look like we’re full of shit. There are mountains of true and verified facts to support the conclusion that workers should be paid more and corporations are ruthlessly greedy.

          • PatFusty@lemm.ee
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            10 months ago

            This exactly. We don’t need to fluff or bullshit numbers just to prove that corporations are fucking over their labor and the customers.

              • alexrmay91@lemm.ee
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                10 months ago

                As much as I hate Twitter, the feature where users can add context would be amazing on other platforms. Would love to see it on Lemmy.

          • cashew@lemmy.world
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            10 months ago

            Anyone who has done accounting 101 knows that Gross Profit is Revenue less Cost of Goods Sold.

            Perhaps you can pay provide evidence of how fundamental accounting is wrong instead?

    • MonsiuerPatEBrown@reddthat.com
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      10 months ago

      before any operation costs

      paying employees a wealth generating compensation should be an operational cost, my friend.

    • lledrtx@lemmy.world
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      10 months ago

      What do you mean? It says they are profits right in the picture. Maybe read the thing properly before you condescendingly explain what revenue and profits mean?

      • kajdav@lemmy.world
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        10 months ago

        The picture is using a mix of revenue and gross profits, as far as I see no net profits. Gross profit is revenue after cost of goods, but without accounting for the cost of running the business. In starbucks’ case it likely means “this is how much we brought in revenue, minus the cost of the coffee, syrups, etc.”. They still have to pay employees, leases, etc. before you actually get to surplus or net profit.

        According to this, their net profit for 2023 was ~$4 billion. Giving the same argument with that number is a little less profound.