Net Profit Margin

Net Profit Margin is a comprehensive measure of how much profit a company makes after accounting for all expenses. Net income is often regarded as the ultimate metric of profitability — the “bottom line” — because it’s the profit remaining after deducting all operating and non-operating costs, including taxes. Net profit margin is usually expressed as a percentage.

📘

Formula

Net Profit Margin = (Net income / Revenue) x 100


Did this page help you?