[OC] How Mastercard makes its $$$Posted by sankeyart Tags:DataData Is BeautifulDataIsBeautiful 12 commentsSource: Mastercard investor relations: [https://s25.q4cdn.com/479285134/files/doc_financials/2024/q2/2Q24-Mastercard-Earnings-Release.pdf](https://s25.q4cdn.com/479285134/files/doc_financials/2024/q2/2Q24-Mastercard-Earnings-Release.pdf)Tool: [SankeyArt](http://sankeyart.com) Sankey chart generator + illustratorSuch an amazing company to hold. A never sell like Microsoft.I guess they worked really hard to achieve that $2.9B operating expensesDo political donations go under G&A?Thanks for posting this same visual over and over again every single day!Is this profit margin comparable to Visa? 🧐Close to 60% profit is absolutely insaneI thought they are bigger than that, since they make money in almost every country.I have no idea what any of those things meanHow much money do they make off of interest and late fees from the financially foolish? Asking for a friend.I can’t wait for the inevitable comment “hurr durr they only pay .7B tax on 7B of revenue! Meanwhile, I pay 50%!”Reminders:1. Corporate tax is on net income, not revenue.2. You don’t pay 50% in income tax. You likely don’t even pay more than the 21% corporate rate if you’re in the U.S.3. GAAP income tax is not representative of actual income taxes paid. You can’t calculate the effective tax without seeing the corporate tax return.$0.7B tax on $4B income? Why am I paying a higher tax rate than this worldwide corporation?Leave a ReplyYou must be logged in to post a comment.
Source: Mastercard investor relations: [https://s25.q4cdn.com/479285134/files/doc_financials/2024/q2/2Q24-Mastercard-Earnings-Release.pdf](https://s25.q4cdn.com/479285134/files/doc_financials/2024/q2/2Q24-Mastercard-Earnings-Release.pdf)Tool: [SankeyArt](http://sankeyart.com) Sankey chart generator + illustrator
How much money do they make off of interest and late fees from the financially foolish? Asking for a friend.
I can’t wait for the inevitable comment “hurr durr they only pay .7B tax on 7B of revenue! Meanwhile, I pay 50%!”Reminders:1. Corporate tax is on net income, not revenue.2. You don’t pay 50% in income tax. You likely don’t even pay more than the 21% corporate rate if you’re in the U.S.3. GAAP income tax is not representative of actual income taxes paid. You can’t calculate the effective tax without seeing the corporate tax return.
![[OC] How Mastercard makes its $$$](https://www.europesays.com/wp-content/uploads/2024/08/5aro4bupbxfd1-1920x1024.png)
12 comments
Source: Mastercard investor relations: [https://s25.q4cdn.com/479285134/files/doc_financials/2024/q2/2Q24-Mastercard-Earnings-Release.pdf](https://s25.q4cdn.com/479285134/files/doc_financials/2024/q2/2Q24-Mastercard-Earnings-Release.pdf)
Tool: [SankeyArt](http://sankeyart.com) Sankey chart generator + illustrator
Such an amazing company to hold. A never sell like Microsoft.
I guess they worked really hard to achieve that $2.9B operating expenses
Do political donations go under G&A?
Thanks for posting this same visual over and over again every single day!
Is this profit margin comparable to Visa? 🧐
Close to 60% profit is absolutely insane
I thought they are bigger than that, since they make money in almost every country.
I have no idea what any of those things mean
How much money do they make off of interest and late fees from the financially foolish? Asking for a friend.
I can’t wait for the inevitable comment “hurr durr they only pay .7B tax on 7B of revenue! Meanwhile, I pay 50%!”
Reminders:
1. Corporate tax is on net income, not revenue.
2. You don’t pay 50% in income tax. You likely don’t even pay more than the 21% corporate rate if you’re in the U.S.
3. GAAP income tax is not representative of actual income taxes paid. You can’t calculate the effective tax without seeing the corporate tax return.
$0.7B tax on $4B income? Why am I paying a higher tax rate than this worldwide corporation?