Bottom Line

Bottom line means a company’s profit after costs and expenses. In simple terms, bottom line shows how much money the company keeps. Bottom line is important because a company can have strong sales but weak profits if costs are too high. Investors watch the bottom line to understand profitability. For example, if a company grows revenue but net income falls, the top line improved but the bottom line weakened. Bottom line is not the same as top line. Top line means revenue, while bottom line means profit.