$ETH Profit is the financial gain a business makes when its total revenue exceeds its total expenses. It is a key indicator of a company's success and sustainability. There are mainly two types of profit: gross profit and net profit. Gross profit is calculated by subtracting the cost of goods sold from total revenue, while net profit is what remains after all expenses—such as salaries, rent, taxes, and utilities—are deducted. Profit allows a business to grow, invest in new opportunities