Definition of operating profit in English:

operating profit


  • A profit from business operations (gross profit minus operating expenses) before deduction of interest and taxes.

    • ‘This year it announced a 27% drop in operating profits.’
    • ‘Many companies routinely booked capital gains from cross-shareholdings as operating profits too.’
    • ‘This treatment indicates that the cost of interest was not treated as an expense, but rather as a distribution of operating profits to debtholders.’
    • ‘It generated operating profits in excess of £20m in 2002 on turnover of £165m.’
    • ‘EVA, or economic profit, is defined as the net operating profit after tax minus the cost of capital used to generate the profit.’
    • ‘There could be some pleasant news with respect to operating profits as revenues continue to grow and margins increase.’
    • ‘In the first half of '05, our operating profit has exceeded the profits we made for the full year of '01.’
    • ‘The resort has made a gross operating profit for the last two years.’
    • ‘This has helped to both hedge its sterling assets as well as creating a sterling based interest expense which offsets sterling operating profits.’
    • ‘Back then convenience foods made up just 30% of operating profits.’
    • ‘The company enjoys steady revenues and makes an operating profit, but has yet to publish full accounts.’
    • ‘It is a gauge of the residual wealth of a business, when its cost of capital is deducted from its operating profit.’
    • ‘The personal systems or PC unit pumped out $6.2m in revenue and an operating profit of $62m in the quarter.’
    • ‘During the same period, gross operating profits increased from 22 to 35 percent.’
    • ‘It recorded operating profits of €19 million and pre-tax profits of €15 million in 2001.’
    • ‘It explains why, notwithstanding the apparent operating profit shown in the profit and loss account, no tax was payable.’
    • ‘Look at the relationship between its operating profits and its interest bill: if operating profits are not three times the interest bill or more, watch out!’
    • ‘He said the company's profits would be down slightly from an operating profit of €3.7 million in 2001.’
    • ‘Aberdeen have announced an operating profit of £130,000 before non-cash items and interest.’
    • ‘Each year, the airport allocates one per cent of its gross operating profits to arts sponsorship.’
    financial gain, gain, return, returns, payback, dividend, interest, yield, surplus, excess
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