Operating Profit is the amount of money a company makes after deducting all expenses excluding interest and taxes.
<math>Operating\ Profit=Revenue - Operating\ Expenses</math>
Operating profit is expressed in dollars and is the amount of profit you have for each $1 in sales after deducting all expenses other than interest and taxes. It is also often referred to as EBIT, or Earnings Before Interest and Taxes.
Related Fool Articles
Related Community Blogs
Recent Mentions on Fool.com
- Chipotle's High Stock Price: Worth the Premium?
- 3 Things Archer Daniels Midland Company Wants You to Know
- General Electric Company Sees a Big Future for Wind Power; but 2015 Could Be a Taxing Year
- How 1 Company May Change Banking As We Know It
- Media Reports Another Solar Company Bailout, But They're Wrong
- A GMO Potato Is Approved, But Will Anyone Buy It?