3 ms·
I calll bs. Last sold 120k cases, lets say he is doing well and made $50 a case profit, thats 6M profit. That number will never justify a takeover of one billio
by GrumpyNl 9y ago
I calll bs. Last sold 120k cases, lets say he is doing well and made $50 a case profit, thats 6M profit. That number will never justify a takeover of one billion.
- deleted 9y ago[deleted]
- wand3r 9y agoI have no idea about the economics but if we're doing napkin math, maybe the bottles cost 30-35 and are cheap enough to produce that they have 33% profit margins. That's about $10 a bottle or $240 a case. 2016: 28.8m profit 2017: 38.4m profit (projected) Keep in mind tequila is a growth industry and there are likely assets involved including Goodwill, plant, bottling facility, machinery and real estate. Diageo knows this business better than anyone so I assume they thought it through. Also, having George Clooney involved in Diageo can help offset marketing costs as I would imagine contractual promotions are tied to the sale