Fundamentals & valuation
What is Net profit?
Also called: PAT, Profit after tax
Hinglish mein padhein: Net profit kya hota hai?
Net profit (profit after tax) is what is left from revenue after all expenses, interest, depreciation and taxes.
It is the 'earnings' in EPS and P/E. One-off gains or losses can distort it, so analysts also look at adjusted profit.
Listed companies report net profit every quarter.
Related terms
- EPS (Earnings per share)EPS is a company's net profit divided by its number of shares — the profit earned for each share you own.
- EBITDAEBITDA is earnings before interest, tax, depreciation and amortisation — a rough measure of operating profit from the core business.
- Quarterly resultsListed companies in India must publish financial results within 45 days of each quarter's end (60 days for the full year).