Business Quote by Benjamin Graham
“Obvious prospects for physical growth in a business do not translate into obvious profits for investors.”
About This Quote
Source Book: The Intelligent Investor, 1949
Physical expansion of a company doesn’t guarantee financial returns for shareholders; growth must be profitable and sustainable.
In simple terms: Growth isn’t always profit.
Key Takeaway
Focus on profitable growth, not just size.
Themes
investment
business strategy
growth
profitability
Mood
cautious
analytical
Type
financial
strategic
When to use this quote
- expanding operations
- seeking new markets
- scaling production
- capital allocation
Key Concepts
value investing
financial analysis
Questions to Reflect On
- How can you assess if growth will be profitable?
- What metrics reveal true investor value?
A Different Perspective
Profitability may lag or be absent despite size increase.
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![“If the State does not acquire supremacy over [vast private] enterprises, it becomes their puppet, and they become the real State.” quote by Bertrand Russell](https://sms4smile.com/quotes/img-quotes/bad/bertrand-russell-69_acquire_if-the-state-does-not-acquire-supremacy_1379.jpg)