Net margin

What it measures¶

Net margin is net income — the bottom line of the income statement, after every cost, interest payment and tax — divided by revenue. It is the share of each unit of sales that ends up as profit for the owners.

Why it is on the page¶

It is the third step of the margin funnel. The gap between operating and net margin is interest and tax: a company with heavy debt or an unusual tax year shows a large gap.

Thresholds, their source and the population they were fitted on¶

The page draws no zones: net margins differ by industry and are moved by one-off items such as the sale of a division or a tax settlement, so no single line applies.

• Fitted on: no population — a descriptive ratio.
• Evidence grade: not graded.

A worked example¶

Celestica, as the Fundamentals page showed it on 9 August 2026 (fiscal year 2025): net margin 6.72% — 832 million US dollars of net income on 12.39 billion of revenue — against an operating margin of 8.64%.

What “No verdict” means here¶

The row carries no verdict of its own. It reads insufficient data when net income or revenue is not stored. A loss shows as a negative margin, never as a gap.

What the verdict is and is not¶

The figure describes the share of one year's sales that became profit. It is not a forecast and not an instruction to trade the shares.