net profit

(redirected from net profits)
Also found in: Dictionary, Thesaurus, Medical, Legal, Encyclopedia.

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 ?
Ironically, the real estate, which continued to see net profit decline, was the best performer in the market index.
The truth is California's health plans have a very small average net profit margin, especially when compared to profits of up to 16.
75 per cent in its net profits, which stood at RO 10.
Qatar General Insurance Company reported the only decline in net profit in the sector, down 19.
Out of seven listed banks, three banks recorded a decline in net profit for the year 2009 compared to 2008, two managed to achieve growth in net profit, while Bahrain Islamic Bank, reported the only loss of $51.
60 percent net profit margin average is, it should be noted that an average is created by accumulating a range of figures.
Net profit participants are often a film's writer, "B-level" talent, the composer and in some cases, the cinematographer.
A's interest in the gross receipts is not deemed an interest in net profits.
Statewide, the net profit before taxes works out to 8.
31 billion yen consolidated net profit in fiscal 1997, which ended in March, in a turnaround from a loss of 26.
The steering committee rejected the use of the "normalized earnings" concept that excludes the effect of income and expenses, which are included in net profit determinations but are not, in the opinion of financial analysts, related to an enterprise's normal activities.
Operating Revenues and Net Profits of Rautaruukki Oyj, 2004-2008