Glossary

Glossary

Glossary

Net Profit Margin

Net Profit Margin

Net Profit Margin

Definition

The percentage of revenue that remains as profit after all expenses are deducted. It is calculated by dividing net profit by total revenue, then multiplying by 100. A higher net profit margin indicates better financial health and efficiency in managing costs relative to revenue.

The percentage of revenue that remains as profit after all expenses are deducted. It is calculated by dividing net profit by total revenue, then multiplying by 100. A higher net profit margin indicates better financial health and efficiency in managing costs relative to revenue.

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