THIS is what's fueling inflation: Company profits for 2023.......

[riversedge]

Nice poster.


THIS is what’s fueling inflation.
https://.com/EastEndJoe/status/1757519542832550306?s=20

[CurtEastPoint]

1. bad link

[CousinIT]

2. LINK:

Link to tweet

[Zeitghost]

3. That information is false

Or at least it is for Starbucks, who's net profit was 1/5 of what was stated in the OP. I stopped checking after that gross error.

[edhopper]

4. Net profits for Starbucks

were up over 25% from 2022. And we both know that net profits is just a game corporations play to not pay taxes.
So gross profits is pertinent.

[Zeitghost]

16. Gross profit

Doesn't count any labor or overhead. It's meaningless by itself for a company for who labor is such a huge expense.

And the number stated isn't even the gross profit number for Stabucks FY23. It's just a flat out lie.

[edhopper]

19. That is why I posted Net Profits

which were up 25%.

[Zeitghost]

21. You posted a ratio

And yes profits were up from 22 to 23, but fell by about the same amount from 21 to 22.

But my main issue is the OP is absolute horseshit.

[Think. Again.]

5. Starbucks 2023 GROSS profits $24.567B...

... a 12.01% increase from 2022.

From: https://www.macrotrends.net/stocks/charts/SBUX/starbucks/gross-profit.

There OP does not refer to net profits as you have implied.

[WarGamer]

12. And Walmart NET PROFIT was 1/12 of what OP link claims.

$155B vs $12B

[Think. Again.]

6. Price gouging does not equal inflation.

[radius777]

7. It contributes to higher costs

which the regular person will perceive as inflation.

[Think. Again.]

9. But price gouging can not be corrected using... ...

...inflation correction methods.

If we're going to discuss the causes of and cures for high prices, let's be sure to use true information.

[Yavin4]

8. What?!

Please explain. Price gouging is definitely a cause of inflation.

[Think. Again.]

11. No, price gouging is deliberate profiteering...

...that is not based on uncontrollable market forces.

Attempting to relieve consumers from price-gouging by using standard inflation reduction methods such as interest rates hikes, etc, only allows the profiteers to continue gouging while putting additional burden on taxpayers and consumers.

[radius777]

13. Sure, but there's 'inflation' and inflation.

When regular people talk about 'inflation' they mean 'prices are high everywhere, costs are going up' which is some mixture of real textbook inflation (as economists measure it) and price gouging by big corps who have also used the 'supply chain issues' excuse and other pandemic related excuses (some real, some not) to raise prices.

[Yavin4]

14. Corporations are passing off their higher interest rate costs onto their customers.

They can do this bc industry consolidation makes this possible. For example, all streaming services raised their prices simultaneously without any loss in profits.

[WarGamer]

10. The Twitter content creator is being a wee bit disingenuous.

All those numbers listed are for GROSS PROFIT in 2023.

GROSS PROFIT is simply revenue minus cost of goods sold.

NET PROFIT is the profit after all expenses, like rent, taxes, infrastructure, utilities, legal and administrative costs, etc...

In 2023, Starbucks had a NET PROFIT of $4.1B.

Again... content creators will always stretch the truth to generate clicks or interest.

Frankly, I'd block that content creator for being dishonest.

[Igel]

15. Disingenuous content creators have enablers.

Those willing to take what they disingenuously and falsely created as truth. Often without viewing it with a critical eye because it's something that they want to believe or fits their biases.

[WarGamer]

17. wonderfully stated... thank you.

[edhopper]

20. What were their net profits in 2022?

I'll save you time, $3.2 billion an increase of 25%

[WarGamer]

22. You're moving the goal posts...

By posting GROSS PROFITS the Twitter content producer is being disingenuous.

[WarGamer]

23. Also... you might not know this...

but 58% of Starbucks Net Profit is returned to shareholders as a DIVIDEND.

And there is no such thing as Mr. Starbucks.

Starbucks is publicly owned, ownership is divided into 1.14 billion little pieces called SHARES.

Everyone who owns a SHARE of Starbucks gets a DIVIDEND payment every quarter.

Approximately 75% of those shares are held by Institutional investors.

The largest shareholder of STBX shares is Vanguard, the giant mutual fund company at 9%.

The second largest holds 7% and the third just 4%

CALPRS, the mega size California investment fund for retired gov't workers including police officers, fire fighters, school teachers and DMV workers uses the profits from holding Starbucks stock to pay benefits.

Bottom line, there IS NO Mr. Starbucks on top of the Golden Mountain making billions per year from Starbucks stock.

Even the FOUNDER of Starbucks, Howard Schultz holds around $2B in stock in total.

[maveric]

18. Isn't Kaiser non-profit?

If I’m not mistaken Kaiser is the country’s largest non-profit.