Revenue bragging ("we do $XXM in sales!") is mostly noise. High revenue often just means moving expensive inventory or running on aggressive debt leverage.
What actually matters: profit margins, especially operating profit margin. Check cash flow statements to see if the business can actually sustain operations without constantly raising capital or burning reserves.
Don't get fooled by top-line vanity metrics. A $100M revenue company bleeding cash is worse than a $10M one printing 40% margins.
What actually matters: profit margins, especially operating profit margin. Check cash flow statements to see if the business can actually sustain operations without constantly raising capital or burning reserves.
Don't get fooled by top-line vanity metrics. A $100M revenue company bleeding cash is worse than a $10M one printing 40% margins.