Profitability refers to the ability to generate profits or gains from an investment or economic activity. It is a measure that indicates the performance or efficiency of an investment in terms of economic return.

The higher the profitability, the greater the ability to obtain profits. It is used to assess the viability and attractiveness of an investment, as it indicates how effectively available resources are utilized.

Profitability can be expressed as a percentage or a rate of return, and is used in various contexts such as business, finance, and investment projects.

What Is Profitability