The Financial Statements

Net Income

What’s left of revenue after every expense — costs, taxes, interest, everything — the “bottom line” profit. It’s the number that ultimately belongs to shareholders and, divided by the share count, becomes earnings per share. Rising net income alongside rising revenue is the healthiest combination; profit growing faster than sales signals improving efficiency, while profit shrinking as sales grow is a red flag that costs or competition are biting.

Educational information, not investment advice. See it applied across the screener →