What is Net Profit Margin?
Net profit margin is the percentage of revenue that becomes actual profit after ALL expenses — taxes, interest, depreciation, and everything else.
Formula
Net Profit Margin = Net Income ÷ Revenue × 100
How to Interpret
The bottom line efficiency metric. Rising net margins over time signal improving business quality.
Typical Ranges
IT: 15-25%, Banking: 15-25%, FMCG: 10-20%, Manufacturing: 5-15%
Find Stocks Using This Metric
Use the Equiscale Stock Screener to filter Indian stocks by Net Profit Margin.
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