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Is that just net profit, or does it account for growth? Net profit is not always a good metric for a large company's performance, as there are a lot of incentiv
by yzzxy 13y ago
Is that just net profit, or does it account for growth? Net profit is not always a good metric for a large company's performance, as there are a lot of incentives to keep that number down and invest money back into the business (such as taxes). Amazon, for example, almost always operates near or at a loss from a quarterly or yearly perspective, but makes huge growth as business.
- mehwoot 13y agoTrue, I haven't looked deeply into the financials so I don't know what they are doing with their money. Microsoft's profit margin looks a lot better than google's so maybe google is reinvesting a lot.
- codeulike 13y agoThis Ballmer slide from a few months ago compares Microsoft financials to some of the other big players. https://twitter.com/janettu/status/380824535714377728 https://twitter.com/janettu/status/380824535714377728 Pretty interesting: they are still big, and they are arguably much more diversified than any other the other big players.
- teh_klev 13y ago"and they are arguably much more diversified than any other the other big players" "Diversified"...that's the keyword here and I guess the key to their continued success at putting money in the bank.