Businesses often use profitability ratios to gauge their performance against industry benchmarks or competitors. Calculating these ratios involves a straightforward process, typically using ...

To determine the profitability of banks, simply looking at the earnings per share isn't quite enough. It's also important to know how efficiently a bank is using its assets and equity to generate ...

How to Calculate an Industry's Profitability. One way to determine profitability is to calculate the ratio of profits to other financial metrics, such as sales, assets or equity. Common ...

While there are dozens of types of financial ratios available to analysts, profitability ratios and asset utilization ratios are among the most common and easy to calculate.

Why it's useful Total margin ratio is useful for assessing and comparing the overall profitability of businesses, and is also useful for tracking a business' profitability over time.

The times interest earned (TIE) ratio is a measure of a company's ability to meet its debt obligations based on its current ...

Businesses often use profitability ratios to gauge their performance against industry benchmarks or competitors. Calculating these ratios involves a straightforward process, typically using figures ...