How can net profit trends be analysed over time?

Net profit trends can be analysed over time by comparing net profit figures across multiple periods, such as quarterly or annually. Creating a line chart or graph with net profit values over time helps visualise the trend. Observing consistent growth or decline in net profit indicates the business’s overall financial performance. Analysing the factors influencing these trends, such as changes in revenue, expenses, or economic conditions, provides valuable insights for decision-making and strategic planning.