Net income, or NI, or net earnings, or net profit
Definition
Net income (NI) also known as net profit or net earnings, is a company’s ‘bottom line’ (because it’s usually found at the bottom of an income statement). It’s the total amount of profit a company makes after all expenses, taxes, and costs have been subtracted from its total revenue.
Net income formula:
NI is a key indicator of a company's financial health and profitability.
We acknowledge and thank the FMA, Dr Karena Kelly and Brook Taurua Grant, the RBNZ and the Māori Dictionary for their research which helped us with te Reo Māori kupu for this glossary.
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