The North Face’s revenues v profits
More financial illiteracy in the Guardian (natch.), wherein we learn about those anoraks TV reporters love to wear:
It’s a sales pitch that has yielded big profits. The North Face reported annual revenue of $2.3bn last year, with 200 stores around the world.
Profit does not equal revenue. They’re not the same thing. The North Face is a thriving business controlled by the VF Corporation, which also owns brands like Vans, Reef, Timberland and Eastpak. To equate annual revenue with profit – negating all costs – is absurd.
As for which brands are doing best, the company’s report for 2016 tells us clearly:
The profit margin across all brands for 2016 was 9.95%.