Net Profit Margin = (Net Profit / Revenue) x 100 To calculate the net profit margin, divide the net profit by total revenue and multiply by 100 to express the value as a percentage.
The term is also known as gross profit or gross income. Gross margin is mainly applied to companies involved in the manufacturing of goods, such as cars, electronics, and food. Banks, for example ...
Most investors view a higher profit margin as more desirable, while a lower percentage may mean a company is not generating enough revenue to cover its operating costs. Analyzing a company's ...
Here are the variables needed to compute a break-even sales analysis: Gross profit margin Operating expenses (less depreciation) Annual debt service (total monthly debt payments for the year ...
As services become a bigger part of Apple’s business, the company continues to deliver higher profit margins for investors.