Profit Margin

Profit Margin is a simple metric for determining profitability. In simple terms, it helps determines how profitable a business or business activity is and is typically expressed as percentages.

Gross profit is revenue minus the direct costs of goods and services. Net profit is what remains After all costs associated with the products or services are subtracted. These costs comprise taxes, liabilities, cost of goods sold (COGS), operating expenses, maintenance costs, and interest charges.