Measure how efficiently your business converts revenue into profit.
Business Profitability Inputs
Total income generated from sales.Direct costs of producing goods or services.Rent, salaries, marketing, admin expenses.Interest, one-time or miscellaneous expenses.Applicable tax on net profit.
Calculate to view profitability summary.
What Is Net Profit Margin?
Net Profit Margin shows how much profit a business makes for every ₹100 of revenue
after covering all expenses and taxes.
Formula:
Net Profit Margin = (Net Profit ÷ Total Revenue) × 100
What is a good net profit margin? 10–20% is healthy for most businesses.
Is net margin different from gross margin? Yes, net margin includes all expenses and tax.
Can margin be negative? Yes, if expenses exceed revenue.
