Profit Margins Explained in One Minute: From Definition/Meaning to Formulas and Examples

Profit margins represent one of the most popular indicators investors use to assess the viability of a potential or existing investment. It's quite remarkable how a simple data point with a simple formula (or let's say formulas: one for the gross profit margin, one for the net profit margin, one for the operational profit margin and so on) can be so widely-used, so it would be a shame not to properly understand what profit margins are all about.

Through this video, the concept is explained in just one minute, from definition and meaning to the various formulas you can use, along with examples of course!

In a nutshell, you will understand what the profit margin is as well as how to calculate it properly in just one minute. The definition is straightforward, the formulas are straightforward as well and the examples used in this video will make it crystal-clear just how easy it is to wrap your head around profit margins.

Of course, before watching this video about profit margins, I'd recommend checking out the video in which revenue and net income/profits are compared, just so you can be certain that you have a solid foundation. The link to the video in question is shared as a card, or you can simply click on the link below:

[OneMinuteEconomics]

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[jkj]

THANKS A LOT .. HEARING FROM ALMOST 10 YEARS FROM EXPERTS BUT ONLY NOW UNDERSTOOD

[gregorygan]

This video is the gift that keeps giving

[hannahalexandra]

Thank you!!!! Concise, simple, easy to follow. You’re the best.

[surgez]

I love this channel, thanks for frequent uploads!

[aishakhan]

thank you very amazing video.. i just had one question in general in the stock market you should buy high percentage of profit margin.. right?!

[SongdetKhodr]

Thank you so much for this amazing video! Could you help me with something unrelated: I have a SafePal wallet with USDT, and I have the seed phrase. (air carpet target dish off jeans toilet sweet piano spoil fruit essay). Could you explain how to move them to Binance?

[francescotagliavento]

what is the gross profit if the elements of the income statemnt look as follows: secondary income 33, 000; COGS 68.000; depreciation 500; sales 100, 000?
a)32, 000
b) 20, 000
c)32, 500
d)25, 000
e) none of above answers is correct

Someone could help me? I don't know how to calculate that?

[abdolzamil]

whats the differance between Gross margin and Profit margin

[yuma_ng]

to be honest this video is really useless :( How you explain what NPM and GPM are was nicely done. But it is totally not considered why one needs NPM and GPM. The purpose of these ratios is unclear.

[anujambhore]

JAY SITA RAM JI

Depending on Long Term unstoppable Profit field.
*) Lower margin = 🐁 🐀 Race Business Mindset .
*) Middle margin = Rabbit 🐇 Race Business Mindset .

BUT

*) BIGGEST MARGIN = THE MOVE'S OF TORTOISE 🐢 WAY .

[lorddale]

im here because course careers have the most shiddy definition and ive been a half hour trying to understand it.