Feed Post

Arcane

Stealth • 3h

Profitability Metrics These are the stages of profitability every founder should be familiar with (Refer the table below) In the beginning, Start with Contribution margin (CM)- measure if your revenue covers variable costs. Next, target transaction-level profitability (revenue exceeding variable costs per transaction). Then, shift your focus towards achieving a positive EBITDA (Operating Profit before deducting Interest and Non cash expenses) Ultimately, as growth happens, you achieve a net profit where you cover your non operating expenses as well. Where do you stand currently? Also, share any additional insight you would like to offer.

3 replies5 likes
Replies (3)

More like this

Recommendations from Medial

Harshavardhan

 • 

YouTube • 7m

The ABCs of Entrepreneurship and Business As an entrepreneur or business professional, it's important to have a solid understanding of key terms and concepts. Here are some essential terms you should know: 1. Profit Margin: - Formula: Profit Margi

See More
0 replies12 likes
6
Image Description

Aakash kashyap

Stealth • 1m

Apple's Q4 FY 2023 earnings breakdown, showing how the company generates revenue from products like the iPhone, Mac, iPad, wearables, and services, along with profit distribution after expenses such as R&D, taxes, and operating costs. 🔥

3 replies14 likes
8
Image Description
Image Description

Ronak Patel

Stealth • 3m

Wth is CM1, CM2???? CM - Contribution Margin Contribution margin is the selling price per unit minus the variable cost per unit. CM1 = Contribution margin one= selling price- material costs - logistics costs. CM2= Contribution margin two= sellin

See More
9 replies11 likes
3
Image Description
Image Description

Yash Barnwal

Stealth • 1m

AMD generate revenue across various sectors, including Data Center ($1.6B), Client ($1.5B), Gaming ($1.5B), and Embedded ($1.2B). With total revenue of $5.8B, AMD achieves a gross profit of $2.7B and a net profit of $0.3B (5% margin). Key expenses in

See More
7 replies16 likes
3
Image Description
Image Description

Aakash kashyap

Stealth • 1m

How Meta Makes Money: 🔥 An in-depth look at Meta's revenue streams, profit margins, and expenses. From advertising through its family of apps like Facebook, Instagram, and WhatsApp, to investments in Reality Labs, this graphic breaks down the tech

See More
6 replies21 likes
7
Image Description
Image Description

Aakash kashyap

Stealth • 1m

Zomato made ₹12,114 crore in FY24, growing 71% mainly through food delivery, Hyperpure, and Blinkit. Despite expenses of ₹12,670 crore, including procurement and delivery costs, Zomato turned profitable with ₹351 crore profit after tax.

13 replies54 likes
28
Image Description

Aakash kashyap

Stealth • 1m

This image shows Google's Q3 2023 earnings, with $76.7 billion in revenue. Key contributors are search, YouTube, Google Play, and Google Cloud, with ad revenue being the largest at $59.6 billion. Google’s net profit is $19.7 billion (26% margin), whi

See More
1 replies7 likes
2

Somraj

 • 

Finicate • 5m

Startup Blueprint - Day 04 Business Model Refinement 1. Revenue Streams: Specify how your startup generates revenue (e.g., subscriptions, one-time sales). 2. Cost Structure: Break down fixed and variable costs (e.g., production, marketing, overhea

See More
0 replies7 likes
3

Somraj

 • 

Finicate • 5m

Startup Blueprint - Day 07 Financial Projections and Funding 1. Financial Forecast: Project revenue, expenses, and profits for the next year. 2. Break-Even Analysis: Calculate the point where your revenue covers costs. 3. Funding Options: Researc

See More
0 replies4 likes
3
Anonymous
Image Description

Whats the buisness model of medial?!.. from where, the revenue?!.... and how cover the backend and other expenses?!.. What do you think would be...

3 replies2 likes

Download the medial app to read full posts, comements and news.