Paige McLaughlin / Investopedia Net profit margin is the percentage of revenue a business keeps as profit after all expenses, taxes, and costs are deducted. It's calculated by dividing net income ...
By analyzing how the gross, operating, and net profit margins compare to each other, industry analysts can get a clear picture of a company’s operating strengths and weaknesses. Market and ...
Investors focus on businesses that consistently generate profits. The net profit margin is key to assessing profitability. A higher net margin indicates a company's efficiency in converting sales into ...