Gross Profit is the profit that the company receives after deducting the costs associated with the sale of its products, for example, manufacturing costs. It is usually indicated in the income statement before the transfer of selling, general and administrative expenses.
Gross Profit is important because it reflects a company's core profitability and its overhead while also illustrating the financial success of a product or service.
If a company is classified as Insurance or Bank, Gross Profit will not be available due to its calculation methodology. These companies will not have Costs of Goods Sold, which is used in the calculation.