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> So Elon paid $44B for a company now with 900-odd employees. For a 10-year ROI, that's $4.4B per year profit, or $440 million/per employee. Your math is off.
by sigil 4y ago
> So Elon paid $44B for a company now with 900-odd employees. For a 10-year ROI, that's $4.4B per year profit, or $440 million/per employee.
Your math is off. $4.4B per year profit / 1000 employees = $4.4M per year profit per employee.
- whateveracct 4y agoSo still higher than some of the highest benchmarks. 2x instead of 20x. Still tough.
- sigil 4y agoYeah, still tough. More like 5X - 10X. Definitely not the 200X disparity claimed by parent though. Apple had $1M profit per employee in 2021. What’s an achievable PPE for a business like New Twitter? If you say $500K, and if you subscribe to The Headcount Method of Valuation, that implies Musk will need to 10X headcount from this low point to break even in 10 years. (I question the premise though — I don’t think the plan is “extract $44B in cash by 2032.”)
- rsynnott 4y agoWorse than that; the Netflix figure is for _revenue_, not profit.