An accounting measure of profit that represents the net income for a certain period of time as determined based on accounting norms and principles. Accounting profit reflects the bottom line result on an income statement (profit or loss) for a designated period.

Generally speaking, net income (NI) is the amount of accounting profit an entity has left over after covering all its relevant expenses. In other words, is the excess of revenues over expenses for a specific period of time (an accounting period). Net income is usually perceived as one of the key indicators of profitability for an entity.

Accounting profit involves certain shortcomings as a measure of profitability, and hence managements and investors usually supplement it with more accurate measures such as economic profit (economic value added or EVA).