This website does readability filtering of other pages. All styles, scripts, forms and ads are stripped. If you want your website excluded or have other feedback, use this form.

What is Operating Income? definition and meaning

InvestorWords.com - Online Investing Glossary

operating income

Definition

A measure of a company's earning power from ongoing operations, equal to earnings before deduction of interest payments and income taxes. also called operating profit or EBIT (earnings before interest and taxes).

Use operating income in a sentence

“ If you want to budget out everything properly then you will need to know what your full operating income is. ”

​ Was this Helpful?   7 people found this helpful.

“ A company often makes decisions based off of their operating income instead of after tax earnings because tax amounts can change from year to year. ”

​ Was this Helpful?   5 people found this helpful.

“ The operating income of our company was adversely affected by stagnant revenues combined with greater selling and administrative expense during the recent fiscal year. ”

​ Was this Helpful?   4 people found this helpful.

Related Terms

Cite / Link

Mentioned in these terms

Most Viewed

Browse Definitions by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Resources

Articles
Tips
Browse by subject

Company

Advertise with Us
About us
Content Licensing
Careers
Contact Us

Follow Us

URL to this page: http://www.investorwords.com/3460/operating_income.html

Copyright © 2017 by WebFinance, Inc. ALL RIGHTS RESERVED. Reproduction of all or part of this glossary, in any format, without the written consent of WebFinance, Inc. is prohibited.

Disclaimer and Copyright

operating income before depreciation and amortization after tax operating income (ATOI)