Investors may be tempted to rely on net earnings to gauge a company's profitability, but a look at profit-margin ratios will give you a deeper insight. Profit margin analysis doesn't just measure ...

Net profit margin shows how much revenue a company retains as profit after expenses. To calculate, subtract all expenses from revenue and divide by revenue, multiply by 100. High net profit margin ...

Net Profit Margin . Net profit margin is often referred to as simply profit margin or the bottom line. It's a ratio that investors use to compare the profitability of companies within the same sector.

A sports clothing retailer could have net profit margins of about 10%, whereas a supermarket chain would have very low net margins of between 1% and 5%. So: Compare this year’s gross profit ...

IQVIA has seen an increase of 58.97% in its revenues since 2017. In addition, its net profit margin has strengthened since 2018. The CRO market expects to grow at a 7.42% CAGR between 2024 and ...

Net Profit Margin = Net profit/Sales * 100. In simple terms, net profit is the amount a company retains after deducting all costs, interest, depreciation, taxes and other expenses.

In the example above, Apple's operating margin of 30.2% is found by dividing its operating profit of $33.5 billion by its revenue of $111.4 billion and multiplying that amount by 100.

Knowing that a company has a gross margin of 25% or a net profit margin of 5% tells us something. As with any ratio used on its own, margins can't tell the whole story about a company's prospects ...