Net Income

Net Income is the profit a company makes after paying all its bills. It's what's left over after subtracting expenses, taxes, and interest from total revenue. You'll see Net Income on a company's income statement (a financial report showing how much money came in and went out). It matters because it shows whether a company is actually profitable—not just bringing in sales, but keeping money in the bank. A company could have huge revenue but still lose money if expenses are too high. For example, if TechCorp Inc. brought in $100 million in sales but spent $80 million on operations and $15 million on taxes, their Net Income would be $5 million. That's the real profit.