Net earnings refer to the total profit a company makes after all expenses, taxes, and costs have been deducted from its total revenue. This figure is crucial for assessing a company's financial health and performance over a specific period, typically reported in its financial statements. Investors and analysts often use net earnings to evaluate a company's profitability and to compare it with other companies in the same industry. It is also a key component in calculating important financial metrics, such as earnings per share (EPS), which helps determine the value of a company's stock.