Net Income Ratio
Net income ratio is a financial metric that measures the profitability of a company by comparing its net income to its total revenue. It indicates the percentage of revenue that translates into profit after all expenses have been deducted. A higher net income ratio suggests that a company is more efficient at generating profits from its revenue, while a lower ratio may indicate inefficiencies or high operating costs. This ratio is commonly used by investors and analysts to evaluate a company's financial performance and sustainability.