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After-Tax Profit Margin

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After-tax profit margin
The ratio of net income to net sales.

After-Tax Profit Margin
A measure of how well a company controls its costs after taxes. It is calculated by dividing the company's net income (profit after taxes) by its net sales. A high after-tax profit margin often means the company controls its costs well and provides a value for the shareholder's investment. However, a low after-tax profit margin is not necessarily a negative sign. Some companies and industries are expensive to run and have low margins by their nature, relying on sheer volume to generate profits. However, a high after-tax profit margin is generally seen as better if it is at all feasible.


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The combined after-tax profit margins of three of the largest medical electronics manufacturers, Boston Scientific, Medtronics and St.
But chief exec Michael O'Leary said the airline had cut fares while maintaining a "world-leading" after-tax profit margin.
The hard realities of today's market are that most research efforts work on an extremely close after-tax profit margin.
 
 
 
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