{"id":180888,"date":"2022-12-23T18:45:00","date_gmt":"2022-12-23T23:45:00","guid":{"rendered":"https:\/\/ibkrcampus.com\/glossary-terms\/gross-profit\/"},"modified":"2025-05-14T12:20:35","modified_gmt":"2025-05-14T16:20:35","slug":"gross-profit","status":"publish","type":"glossary-terms","link":"https:\/\/www.interactivebrokers.com\/campus\/glossary-terms\/gross-profit\/","title":{"rendered":"Gross Profit"},"content":{"rendered":"

This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can be an indicator of future profits. For example, the costs of providing a software program typically doesn\u2019t increase in direct proportion to increases in the number of clients that use the technology. If the software is already profitable and a company adds customers, its profits will grow much faster than a manufacturer that has to increase its manufacturing\u2014and its expenses\u2014as its sales increase.<\/p>\n","protected":false},"excerpt":{"rendered":"

This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can be an indicator of future profits. For example, the costs of providing a software program typically doesn\u2019t increase in direct proportion to increases in the number of clients that use the technology. If the software is already profitable and a company adds customers, its profits will grow much faster than a manufacturer that has to increase its manufacturing\u2014and its expenses\u2014as its sales increase.<\/p>\n","protected":false},"featured_media":0,"parent":0,"template":"","meta":{"_acf_changed":false,"footnotes":""},"traders-glossary":[13271,13278,13251],"class_list":["post-180888","glossary-terms","type-glossary-terms","status-publish","traders-glossary-trading-terms-g","traders-glossary-ibkr-traders-glossary","traders-glossary-trading-alphabet"],"pp_statuses_selecting_workflow":false,"pp_workflow_action":"current","pp_status_selection":"publish","acf":[],"yoast_head":"\nArchives Term | IBKR Glossary | IBKR Campus<\/title>\n<meta name=\"description\" content=\"This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can...\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.interactivebrokers.com\/campus\/wp-json\/wp\/v2\/glossary-terms\/180888\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Gross Profit definition\" \/>\n<meta property=\"og:description\" content=\"This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can be an indicator of future profits.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.interactivebrokers.com\/campus\/glossary-terms\/gross-profit\/\" \/>\n<meta property=\"og:site_name\" content=\"IBKR Campus US\" \/>\n<meta property=\"article:modified_time\" content=\"2025-05-14T16:20:35+00:00\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Gross Profit definition\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\n\t \"@context\": \"https:\\\/\\\/schema.org\",\n\t \"@graph\": [\n\t {\n\t \"@type\": \"WebPage\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/glossary-terms\\\/gross-profit\\\/\",\n\t \"url\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/glossary-terms\\\/gross-profit\\\/\",\n\t \"name\": \"Gross Profit definition\",\n\t \"isPartOf\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#website\"\n\t },\n\t \"datePublished\": \"2022-12-23T23:45:00+00:00\",\n\t \"dateModified\": \"2025-05-14T16:20:35+00:00\",\n\t \"description\": \"This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can be an indicator of future profits.\",\n\t \"breadcrumb\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/glossary-terms\\\/gross-profit\\\/#breadcrumb\"\n\t },\n\t \"inLanguage\": \"en-US\",\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"ReadAction\",\n\t \"target\": [\n\t \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/glossary-terms\\\/gross-profit\\\/\"\n\t ]\n\t }\n\t ]\n\t },\n\t {\n\t \"@type\": \"BreadcrumbList\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/glossary-terms\\\/gross-profit\\\/#breadcrumb\",\n\t \"itemListElement\": [\n\t {\n\t \"@type\": \"ListItem\",\n\t \"position\": 1,\n\t \"name\": \"Glossary\",\n\t \"item\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/glossary-terms\\\/\"\n\t },\n\t {\n\t \"@type\": \"ListItem\",\n\t \"position\": 2,\n\t \"name\": \"Gross Profit\"\n\t }\n\t ]\n\t },\n\t {\n\t \"@type\": \"WebSite\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#website\",\n\t \"url\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/\",\n\t \"name\": \"IBKR Campus US\",\n\t \"description\": \"Financial Education from Interactive Brokers\",\n\t \"publisher\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#organization\"\n\t },\n\t \"potentialAction\": [\n\t {\n\t \"@type\": \"SearchAction\",\n\t \"target\": {\n\t \"@type\": \"EntryPoint\",\n\t \"urlTemplate\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/?s={search_term_string}\"\n\t },\n\t \"query-input\": {\n\t \"@type\": \"PropertyValueSpecification\",\n\t \"valueRequired\": true,\n\t \"valueName\": \"search_term_string\"\n\t }\n\t }\n\t ],\n\t \"inLanguage\": \"en-US\"\n\t },\n\t {\n\t \"@type\": \"Organization\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#organization\",\n\t \"name\": \"Interactive Brokers\",\n\t \"alternateName\": \"IBKR\",\n\t \"url\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/\",\n\t \"logo\": {\n\t \"@type\": \"ImageObject\",\n\t \"inLanguage\": \"en-US\",\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#\\\/schema\\\/logo\\\/image\\\/\",\n\t \"url\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2024\\\/05\\\/ibkr-campus-logo.jpg\",\n\t \"contentUrl\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/wp-content\\\/uploads\\\/sites\\\/2\\\/2024\\\/05\\\/ibkr-campus-logo.jpg\",\n\t \"width\": 669,\n\t \"height\": 669,\n\t \"caption\": \"Interactive Brokers\"\n\t },\n\t \"image\": {\n\t \"@id\": \"https:\\\/\\\/ibkrcampus.com\\\/campus\\\/#\\\/schema\\\/logo\\\/image\\\/\"\n\t },\n\t \"publishingPrinciples\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/about-ibkr-campus\\\/\",\n\t \"ethicsPolicy\": \"https:\\\/\\\/www.interactivebrokers.com\\\/campus\\\/cyber-security-notice\\\/\"\n\t }\n\t ]\n\t}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Archives Term | IBKR Glossary | IBKR Campus","description":"This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can...","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.interactivebrokers.com\/campus\/wp-json\/wp\/v2\/glossary-terms\/180888\/","og_locale":"en_US","og_type":"article","og_title":"Gross Profit definition","og_description":"This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can be an indicator of future profits.","og_url":"https:\/\/www.interactivebrokers.com\/campus\/glossary-terms\/gross-profit\/","og_site_name":"IBKR Campus US","article_modified_time":"2025-05-14T16:20:35+00:00","twitter_card":"summary_large_image","twitter_title":"Gross Profit definition","schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/ibkrcampus.com\/campus\/glossary-terms\/gross-profit\/","url":"https:\/\/ibkrcampus.com\/campus\/glossary-terms\/gross-profit\/","name":"Gross Profit definition","isPartOf":{"@id":"https:\/\/ibkrcampus.com\/campus\/#website"},"datePublished":"2022-12-23T23:45:00+00:00","dateModified":"2025-05-14T16:20:35+00:00","description":"This is the amount of profit resulting from the differences in the sales prices of products and the cost of manufacturing the items or services. It can be an indicator of future profits.","breadcrumb":{"@id":"https:\/\/ibkrcampus.com\/campus\/glossary-terms\/gross-profit\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/ibkrcampus.com\/campus\/glossary-terms\/gross-profit\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/ibkrcampus.com\/campus\/glossary-terms\/gross-profit\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Glossary","item":"https:\/\/ibkrcampus.com\/campus\/glossary-terms\/"},{"@type":"ListItem","position":2,"name":"Gross Profit"}]},{"@type":"WebSite","@id":"https:\/\/ibkrcampus.com\/campus\/#website","url":"https:\/\/ibkrcampus.com\/campus\/","name":"IBKR Campus US","description":"Financial Education from Interactive Brokers","publisher":{"@id":"https:\/\/ibkrcampus.com\/campus\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/ibkrcampus.com\/campus\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-US"},{"@type":"Organization","@id":"https:\/\/ibkrcampus.com\/campus\/#organization","name":"Interactive Brokers","alternateName":"IBKR","url":"https:\/\/ibkrcampus.com\/campus\/","logo":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/ibkrcampus.com\/campus\/#\/schema\/logo\/image\/","url":"https:\/\/www.interactivebrokers.com\/campus\/wp-content\/uploads\/sites\/2\/2024\/05\/ibkr-campus-logo.jpg","contentUrl":"https:\/\/www.interactivebrokers.com\/campus\/wp-content\/uploads\/sites\/2\/2024\/05\/ibkr-campus-logo.jpg","width":669,"height":669,"caption":"Interactive Brokers"},"image":{"@id":"https:\/\/ibkrcampus.com\/campus\/#\/schema\/logo\/image\/"},"publishingPrinciples":"https:\/\/www.interactivebrokers.com\/campus\/about-ibkr-campus\/","ethicsPolicy":"https:\/\/www.interactivebrokers.com\/campus\/cyber-security-notice\/"}]}},"_links":{"self":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/glossary-terms\/180888","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/glossary-terms"}],"about":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/types\/glossary-terms"}],"version-history":[{"count":0,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/glossary-terms\/180888\/revisions"}],"wp:attachment":[{"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/media?parent=180888"}],"wp:term":[{"taxonomy":"traders-glossary","embeddable":true,"href":"https:\/\/ibkrcampus.com\/campus\/wp-json\/wp\/v2\/traders-glossary?post=180888"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}