Gross Profit

Search for glossary terms (regular expression allowed)
Begin with Contains Exact termSounds like
Term Definition
Gross Profit

What is the meaning / definition of Gross Profit in the hospitality industry?

Gross Profit is the profit a company makes after deducting the costs of production (or the costs that allow the services to take place) from the net sales amount. Gross Profit is also called sales profit, sales credit or gross income. It only takes into account variable costs and disregards fixed costs such as building rent, marketing expenses, salaries etc.

Gross Profit will appear on a company's income statement and is a company's profit before operating expenses, interest payments and taxes. It can be calculated as below:

Formula:

Gross Profit = Revenue - Cost of Goods Sold

See Also:

Synonyms:

  • Sales Profit
  • Sales Credit
  • Gross Income

Synonyms: Sales profit, Sales credit, Gross income

Amsterdam - Bangkok - Barcelona - Brussels - Dubai - Jakarta - London - Miami - New York - Paris

Xotels Ltd., Zandvoortselaan 10, 2042 XA Zandvoort, The Netherlands
Chambers of Commerce, Haarlem - the Netherlands, Nr: 34 24 13 54

Our Partners: HotelScienz - Veturi Hotels - Vojo-Ventures - Rimedo - Kabano Rentals

Aggregated Rating Score


Sign Up ! Get the latest tips and trends from our blog

Please complete this form to create an account, receive email updates and much more.
Contact Email  *
Name 
You can sign up to receive email updates from topics that may interest you.
*Required Fields
DON'T MISS A THING! - Subscribe to our Blog
Enter your email:
Enter your name: