Definition
Interest earned minus interest paid – The difference between interest income a lender earns on its loan book/investments and the interest expense it pays on its own borrowings and deposits, before any other operating costs or provisions. For an NBFC or bank, this is the core spread-based profitability metric before fee income, staff costs, or credit losses are factored in. Found In: Statement of Profit and Loss, earnings presentations (segment/subsidiary financial highlights)