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
- How Disney Spent $53 Billion in 12 Months
- Wall Street Is Dead Wrong About KNOT Offshore Partners
- Why Kohl's Is the Department-Store Stock to Buy This Holiday Season
- Can Pandora's Rdio Buyout Make Up Lost Ground Against Apple Music and Spotify?
- More Proof Microsoft Corporation's Mobile Strategy Is Spot On
- This Is What Is Stressing Halliburton Company