Gross profit margin

 

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Gross profit margin

Gross profit divided by sales, which is equal to each sales dollar left over after paying for the cost of goods sold.



Gross profit margin

Similar Matches

Profit and loss statement (P&L)

Profit and loss statement (P&L)

A set of accounts, usually prepared annually, which depict a company's trading performance and are normally read in conjunction with the balance sheet and cash flow data. The profit and loss account can broadly be shown as follows:Turnover (sales) less manufacturing costs (or cost of sales if for example a retailing company) = gross profit or lossGross profit plus any non-trading income less operating costs = operating profit Operating profit less interest payments on bank loans or loan stock = profit before tax (pre tax profit)Pre-tax profit, less tax = net profit after taxPart of the net profit after tax may be used to pay a dividend with the balance being retained within the business for future investment.


Profitability ratios

Profitability ratios

Ratios that focus on how well a firm is performing. Profit margins measure performance with relation to sales. Rate of return ratios measure performance relative to some measure of size of the investment.


Trading profit

Trading profit

The profit earned on short-term trades of securities held for less than one year, subject to tax at normal income tax rates.


Profit sharing plan

Profit sharing plan

An incentive system providing that employees share in company profits through a cash fund or a deferred plan used to buy stock or bonds.


Pre tax profit

Pre tax profit

See: 'profit before tax'.


Further Suggestions

Profit margin
Non profit endowment
Profit forecast
Profit center
net profit before tax (pre tax profit)
profit margin
Pretax earnings or profits
Profit taking
Excess profit
paper profit
Windfall profit
Unitised with profit endowment
Operating profit margin
Accumulated profits tax
Profit
Profit Graph
profits warning
Profit Range
net profit
Book profit
Profit margin
profit before tax
Net profit margin
Risk adjusted profitability
Not for profit


 
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