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Financial Encyclopedia

Net profit

Definition

Net profit is the funds that remain in the company at the end of the reporting period after all expenses and taxes.

Example

Net profit of PJSC Tatneft for 2017-2019 amounted to 100,022,216, 197,522,814, 156,046,046 thousand rubles respectively.

 

The company is profitable and distributes part of its net profit in the form of dividends.

More detailed

Net income can be distributed among shareholders in the form of dividends.

If the company's expenses exceed the amount of revenue and additional other income, the company's activity is unprofitable.

According to Ranks methodology, this indicator is analyzed in the Growth block and used along with other indicators to calculate the score.

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