Revenue is better. Actual profits is very hard to measure since the numbers are obfuscated. These companies often stash their IP rights in a tax haven under a different company. Like how Apple uses the island of Jersey. End of the year the offshore company sends a massive license fee bill and boom their taxable income is slashed significantly.
Revenue is better. Actual profits is very hard to measure since the numbers are obfuscated. These companies often stash their IP rights in a tax haven under a different company. Like how Apple uses the island of Jersey. End of the year the offshore company sends a massive license fee bill and boom their taxable income is slashed significantly.
“Ah I see now!” said the blind man Seriously though, that makes a lot more sense about why they use revenue instead of net profit