net profit rate
nounUK /nɛt ˈprɒfɪt reɪt/
US /nɛt ˈprɑːfɪt reɪt/
The net profit rate is how much money a business keeps after paying all its costs, shown as a share of its sales.
The small bakery's net profit rate improved after it cut its electricity bills.
OTHER MEANINGS
2. A company's net income divided by its total revenue, expressed as a percentage.
Analysts compared the net profit rate of both supermarkets to see which was more efficient.
3. The share of each dollar of sales that remains as profit after all deductions.
A net profit rate of 10% means the firm keeps ten cents from every dollar sold.
4. A measure used by investors to judge how well a business turns sales into actual profit.
The investor preferred the startup because its net profit rate was rising steadily.