Operating Income
/ˈɒpəˌreɪtɪŋ ˈɪnkʌm/
Definitions
- (n.) The profit realized from a company's core business operations, calculated before deducting interest and taxes.
The company's operating income increased significantly this quarter due to higher sales and reduced operating expenses.
Forms
- operating incomes
Related terms
See also
Commentary
Operating income is a key indicator of business performance excluding non-operational revenues and expenses; precise definition is important to distinguish it from net income in legal financial disclosures.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.