In the fourth quarter of 2025, net sales decreased 1%, year to year, to $2.0 billion, and gross profit increased 9%, year over year, to $478.4 million. Gross margin expanded 220 basis points compared ... Gross profit is the profit a company makes after deducting the costs of making and selling its products or services.

Understanding the Context

It's also referred to as gross income. A firm’s net profit margin is a key indicator of its profitability. Analyzing it can tell potential investors whether the business may be a good bet. Morningstar: 15 stocks of S&P 500 companies growing sales the most while improving profit margins 15 stocks of S&P 500 companies growing sales the most while improving profit margins MSN: EPlus raises full-year guidance to 20%-22% net sales growth amid AI-driven momentum EPlus raises full-year guidance to 20%-22% net sales growth amid AI-driven momentum Seeking Alpha: Vita Coco outlines $680M–$700M 2026 net sales target as international momentum accelerates