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operating income

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operating income

–noun
revenue from business operations after operating expenses are deducted from gross income.
Also called operations income.
Dictionary.com Unabridged
Based on the Random House Dictionary, © Random House, Inc. 2009.
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Financial Dictionary

Operating Income

The profit realized from a business' own operations.

Investopedia Commentary

This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit.

Related Links

Zooming in on Net Operating Income

See also: After Tax Operating Income - ATOI, IFO, Net Operating Income, Non-Operating Cash Flows, Operating Expenses, Operating Margin

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Financial Dictionary

operating income

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. Compare operating loss. Also called earnings before interest and taxes, operating profit. See also operating revenue.

Wall Street Words: An A to Z Guide to Investment Terms by David L. Scott.
Copyright © 2003. Published by Houghton Mifflin.
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