Learn about gross, operating, and net profit margins, how each is calculated, and how businesses and investors can use them to analyze a company’s profitability.

Profit margin is a key financial metric that reveals the percentage of profit a business earns from its total revenue. It showcases how much money is left over after all expenses are deducted from the ...

An OverviewA profit margin is a percentage that expresses the amount a company earns per dollar of sales. If a company makes more money per sale, it has a higher profit margin.Gross profit margin and ...

Gross profit margin is a ratio that measures the percentage of revenue left after subtracting production costs. By indicating the profitability of a company's core business operations, gross profit ...

Net profit, also referred to as the bottom line, is one of the key tools determining the financial health of an enterprise. The metric demonstrates a company’s ability to convert per dollar sales into ...

Opinions expressed by Entrepreneur contributors are their own. For the majority of restaurateurs, the goal isn’t to earn a Michelin star, and more often than not it’s about survivability. It’s no ...