Operating margin is defined as Operating Profit divided by Revenue (or Sales).
<math>Operating\ Margin=Operating\ Profit / Revenue</math>
Operating margin is expressed as a percent of revenue and is the amount of profit you have for each $1 in sales after deducting all expenses other than interest and taxes.
Related Fool Articles
Related Community Blogs
Recent Mentions on Fool.com
- Can YouTube?s Subscription Music Service Compete With Spotify, Pandora, and the Rest?
- salesforce.com Earnings: What You Need to Know
- Billionaire John Paulson Has Sold General Motors Company. Should You?
- 3 Reasons General Electric Company's Stock Could Fall
- Expedia Earnings: Gaining Altitude
- Is it Time to Buy Cigna Corporation Stock?