Source: 1998 Letter to shareholders
Published: 1999

A cash-favored business model

Circulated: June 27, 2019

We’re fortunate to benefit from a business model that is cash-favored and capital efficient. As we do not need to build physical stores or stock those stores with inventory, our centralized distribution model has allowed us to build our business to a billion-dollar sales rate with just $30 million in inventory and $30 million in net plant and equipment.