Net profit, also known as the bottom line, is the amount of money a business retains after deducting all its expenses from its total revenue. It reflects the true financial health of a company by considering not just top-line revenue, but also the costs associated with running the business.
Net profit offers valuable insights into the efficiency and profitability of a business. It provides a clear picture of how well the company is managing its expenses and generating income. By understanding and optimizing net profit, businesses can make informed decisions, improve performance, and drive sustainable growth.
In the realm of ecommerce analytics, net profit is a key metric that measures the profitability of online stores. It allows business owners to gauge the success of their ecommerce ventures and optimize their operations to maximize profitability.