net profit

1. Net sales - cost of goods sold = Gross profit

Gross profit / Net sales = Gross profit ratio

The Net Profit Margin is an Expression of the Net Profit as a percentage of the Revenue, where the Net Profit is the Revenue minus all Expenses. The Net Profit Margin can be calculated in the following ways:

Net Profit Margin = Net Profit/Revenue*100

[or]

Net Profit Margin = (Revenue - all Expenses)/Revenue*100

Net profit is not the same as net income. There are many things that can be deducted on a tax return form from net profit that reduce net profit down to net income.

net profit is a profit after tax(PAT)