I want to understand the difference between projects and subgroups in GitLab.
Please help me on understanding the above.
A project manages one git repository and adds an issue tracker, a wiki, etc:
See: https://docs.gitlab.com/ee/user/project/index.html#doc-nav
Groups can be used to combine several projects under one topic. Examples:
See: https://docs.gitlab.com/ee/user/group/index.html#doc-nav
Different groups may have different permissions
Subgroups are only available in GitLab 9 and above; they allow you to create additional groups inside of groups, e.g. "js/frontend"; this is useful if you are working on a large project with several sub-projects. See the official documentation for some examples:
https://docs.gitlab.com/ee/user/group/subgroups/index.html
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