Bottom line

The bottom line is the profit or loss reported by a business. This information is located on the lowest line of the income statement, which is the "bottom line" on the report. Someone reading a company's income statement may skip straight to the bottom line to discern the results of the organization, before going back through the details of the income statement to see what caused the profit or loss.

The bottom line is improved either by growing revenues or decreasing expenses.

Related Courses

The Interpretation of Financial Statements