They don’t really report profits since so much is circular. They just increase both sides of the profit/loss equation at once which makes them look bigger without actually making any profit.
If you, I and a third person create three companies and just pass the same 100 dollar bill in a circle 10 times a minute as full time jobs 48 weeks a year ignoring holidays, we’d each have 115 million in revenue to report. We’d just also each have 115 million in expenses so there’s no profit.
They don’t really report profits since so much is circular. They just increase both sides of the profit/loss equation at once which makes them look bigger without actually making any profit.
If you, I and a third person create three companies and just pass the same 100 dollar bill in a circle 10 times a minute as full time jobs 48 weeks a year ignoring holidays, we’d each have 115 million in revenue to report. We’d just also each have 115 million in expenses so there’s no profit.