The stock market is one of the best alternatives to grow your wealth, but this is only possible when you invest in a growth-oriented and profitable company. So, how do you determine if a company is profitable or not? The solution lies in the company’s income statement, which tells you how much revenue it earned, how much expenses it incurred, and ultimately, how much net income (loss) it made in the last financial year.

In this blog, we will understand more about the income statement, its components, and its importance. We will also explore how you can use it in the analysis of stock market.