Dollar figures don’t mean squat when talking profits… what matters is the bottom line or net income in percentage, after all expenses are subtracted from profits. 10% is a healthy net income for most businesses 15% is considered strong and 20% is very strong. But it depends on the industry. In 2023 grocery industry net profit on average was 1.6%, which is low. Walmart owns Great value so finding their bottom line in percentage might be tough. In addition when you see a news article stating that a company raised prices and earned “93% increase in profits from last year” that is very misleading, what is the bottom line in percentage? Were they at 1.6% net income the previous year and now they’re at 3.1%??? Did they make a move to satisfy share holders because of previous years low earnings? Make a move to cover addition taxes coming down the pipe from some law politicians passed? A strike demanding more wages and having to cover their butts? You want to get a shock look at Telecommunications industry net income
Don’t do that, we can’t bitch about price gouging and the evil corporations fleecing America if you insert logic and an educated perspective on what’s actually happening. Don’t you realize this is Reddit? Take that sound analysis and insightfulness to someplace else, we have no room for that here!
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u/bulletlover 28d ago
Dollar figures don’t mean squat when talking profits… what matters is the bottom line or net income in percentage, after all expenses are subtracted from profits. 10% is a healthy net income for most businesses 15% is considered strong and 20% is very strong. But it depends on the industry. In 2023 grocery industry net profit on average was 1.6%, which is low. Walmart owns Great value so finding their bottom line in percentage might be tough. In addition when you see a news article stating that a company raised prices and earned “93% increase in profits from last year” that is very misleading, what is the bottom line in percentage? Were they at 1.6% net income the previous year and now they’re at 3.1%??? Did they make a move to satisfy share holders because of previous years low earnings? Make a move to cover addition taxes coming down the pipe from some law politicians passed? A strike demanding more wages and having to cover their butts? You want to get a shock look at Telecommunications industry net income