Meaning & use

net profit

noun·Academic

The actual profit remaining after all business expenses, taxes, and costs have been subtracted from revenue.

See it in a sentence

After paying rent and salaries, the shop's net profit for the year was quite modest.

The company's net profit rose sharply thanks to lower production costs this quarter.

A note on using this word

Net profit differs from gross profit, which only subtracts the direct cost of goods sold, not all expenses.

Words with a similar meaning

net incomebottom line

Choose a synonym to suit the sentence. Meanings can overlap without being identical.

Words with an opposite meaning

gross profitloss

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