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 This Looming Threat Could Devastate the U.S. Energy Industry
- Guess Which Airline Just Introduced Its First Checked Bag Fee
- Oil: A Blessing and a Curse for the Middle East
- Investor to Olive Garden: Stop Serving So Many Breadsticks... and 3 More Fixes We Want to See!
- 3 Reasons Disney's Stock Could Rise
- Is Microsoft One of the Best Companies in America?