Financial Ratios -- Profitability

Part five of a multipart example calculating some basic financial ratios. Part five focuses on the profitability ratios -- net profit margin, return on assets, and return on equity.

Category:

Education

Tags:

• Financial
• Ratios
• Profitability

[tomodachiATfrontru]

NPM usually takes net income BEFORE interests and taxation, whilst ROA net income AFTER taxation and preference dividends (if any)

[kevinbracker]

@tomodachiATfrontru No. Net Profit Margin uses Net Income (which is after interest and taxes). Operating Profit Margin uses Operating Income (which is before interest and taxation).

[kioseyful]

I am not an english native speaker, so I'd like the video maker to add some subtitles in the video for my better understanding.

[ak86ak1]

good work