net profit

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Profit

A company's total revenue less its operating expenses, interest paid, depreciation, and taxes. For example, suppose a widget manufacturer earns $1,000,000 in total revenue. The widgets cost $200,000 to make and his administrative and payroll expenses total $250,000. He also must subtract $50,000 in depreciation on his widget manufacturing equipment and pay $200,000 in taxes. His net income is stated as: $1,000,000 - $200,000 - $250,000 - $50,000 - $200,000 = $300,000.

net profit

net profit

the difference between a firm's SALES REVENUE and all COSTS. In accounting terms net profit is the difference between GROSS PROFIT and the costs involved in running a firm (including DEPRECIATION costs and INTEREST charges). In the UK, net profit may be expressed before or after deduction of CORPORATION TAX. See PROFIT, PROFIT-AND-LOSS ACCOUNT.

net profit

the difference between a firm's TOTAL REVENUE and all EXPLICIT COSTS. In accounting terms, net profit is the difference between GROSS PROFIT and the costs involved in running a firm. See PROFIT, PROFIT-AND LOSS ACCOUNT.
References in periodicals archive ?
Lotte's net profit in the first quarter dropped to 26.5 billion won from 43.2 billion won the year before.
Following the trend, Shell Oman Marketing also reported a 29.3 per cent decline in net profit for the quarter ended March 31 this year at RO1.78mn against RO2.5mn net profit reported in the same period of 2018.
Dena Bank's net profit plunged to one- fifth at ` 15.16 crore in the said quarter compared with ` 81.52 crore in the year- ago period.
Sumitomo Mitsui was helped by a consumer finance unit's return to the black, logging a 33.9 percent rise in net profit to 550.41 billion yen, already above its full-year forecast of 540 billion yen.
Ahli Bank also posted an increase in its net profits during the second quarter this year.
Net profits of state-run banks and participation banks were also down by 13 percent and 8.6 percent to 1,507 million TL and 169 million TL, respectively.
In the Qatari insurance sector, the five Insurance companies reported an aggregate net profit of QAR 701.48 million ($192.6 million) in 9M-2010, translating to a growth of 6.37 percent.
"The consolidated net profits of the banking sector declined by 35.23pc last year to reach $399.71m against $617.10m recorded in 2008."
As discouraging as the 0.60 percent net profit margin average is, it should be noted that an average is created by accumulating a range of figures.
Net profits typically are comprised of the studio's share of revenue, less distribution fees and costs associated with production, prints, promotion and advertising.
When the borrower is personally liable for repayment and nonrecourse loans are secured by assets == with a readily ascertainable FMV, a lender will be deemed to have an interest other than as a creditor if it has an interest in the activity's capital or net profits. Lenders related to a person with an interest other than as a creditor are also prohibited from being at-risk.
According to a new book from the National Association of Home Builders, "The Business of Building: Measuring Your Success," the poorest performing 25% of builders earn net profits of less than 0.5% before taxes, compared to the nationwide average of 6.35%.