Discover how to calculate and understand key income statement ratios to evaluate company performance, including gross margin, ...

As a small business owner, focusing on the bottom line ensures that your establishment is financially sustainable. Profit ratio can help you measure how profitable your business is. You can compare ...

Business accountants measure financial performance and success in myriad ways, including the percentage or ratio known as "operating margin." Operating margin helps accountants and business managers ...

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.

Financial ratios are calculations that compare two (or more) pieces of financial data that are normally found in a company's financial statements. Ratios can be invaluable to investors making ...

Gross profit margin measures profitability by dividing gross profit by revenue. A high gross profit margin indicates efficient cost management and pricing strategy. Comparing a company's margin with ...

In this post I want to talk about profitability, which is a good indicator of a company's quality and a key driver of dividend growth. I’ll cover return on equity, net return on capital and profit ...

Profitability analysis is one of the best ways to evaluate the prospects of a company. It is used in detecting a profitable company over a loss-making one. A company with a high level of sales surplus ...