| mmnin said: I can't believe that you made a topic like this on a forum that is known for its user knowledge on the meaning of sales and numbers in this industry. |
He didn't. He made it on VGchartz.
People here seem to think that knowing the difference between revenue and profit gives them an understanding of economics. Most people here have probably never even heard of Adam Smith, much less read his work.
And to those flaming Sony for their spin-doctoring: what did you expect? That a company would highlight the numbers that suggest they are doing badly? And you call the OP dumb!
Profits are obviously what is needed to appease shareholders, but there are many industries with high revenues that sustain frequent losses (e.g. Hollywood studios, football clubs). Even though they are incurring heavy losses, an increase in cashflow through the business is good for a company like Sony. Is revenue as important as profit or units sold? No. Is it still worth pointing out? Yes.
