I want to understand how even though quarterly sales has been decreasing for a company , quarterly profit is increasing ?

Is it not the same ?

Please have a look at this image.

  • 8
    Not looked at the picture, but remember, at its simplest profit = revenue - costs. So if costs went down more than sales/revenue, profit can rise. – TripeHound Jul 24 '19 at 6:33
  • You should compare year-to-year financial report. Since this can be anything, e.g. reduction of cost (employee expenses, tax, loan interest, etc ), deferred income, one-off profit from selling equity,etc. – mootmoot Jul 24 '19 at 8:44

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