operating income investment & finance definition
The
income from a company’s main businesses. It is the difference between a
company’s gross profit and its operating expenses.
See operating income in Wall Street Words
The excess of revenues over expenses derived from normal business operations. Operating income, representing income from ordinary business activities, excludes expenses, such as interest and taxes. Unusual nonrecurring items, such as gains from selling a subsidiary or losses from closing a plant, are not included in the calculation of operating income. Also called
earnings before interest and taxes,
operating profit. Compare
operating loss. See also
operating revenue.
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