Net Profit Margin
Measures how effective your business is at generating profit on each dollar of revenue you bring in.
The Net Profit Margin KPI measures how effective your business is at generating profit on each dollar of revenue you bring in. This financial KPI is a measure of the profitability of your business and is instrumental in making long- and short-term financial decisions. Understanding this KPI may even give you an advantage in a pricing war with your competitors. See also: Gross Profit Margin.
Formula
Net Income / Sales
Services
Role
C-Level,
VP / Director
