NFinance glossary

Net Margin

Quick definition

Profit remaining after all expenses.

Overview

Net margin is the percentage of revenue left after deducting all expenses, taxes and interest, reflecting a company's overall profitability.

Common Uses

  • Performance evaluation
  • Industry benchmarking
  • Strategic decisions

Examples in Small Businesses

  • Building budgets
  • Analysing profits
  • Improving profitability
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