Discover how to calculate and understand key income statement ratios to evaluate company performance, including gross margin, ...

Learn about gross, operating, and net profit margins, how each is calculated, and how businesses and investors can use them to analyze a company’s profitability.

American Airlines AAL has struggled with respect to a key metric, operating margin, which indicates how efficiently a company manages its operating costs, such as labor and other expenses related to ...

Forbes contributors publish independent expert analyses and insights. Melissa Houston covers financial issues that affect women in business. When it comes to starting a business, revenue gets all the ...

Profit margin conveys the relative profitability of a firm or business activity by accounting for the costs involved in producing and selling goods. Margins can be computed from gross profit, ...