Financial Statements
Operating Profit
Definition
What is Operating Profit?
Profit from core operations after operating expenses but before financing costs and tax.
Example in practice
How This Looks in Practice
Gross profit of ₦500 million less ₦300 million operating expenses gives ₦200 million operating profit.
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Related Terms
Financial Statements
Revenue
Income generated from selling goods or services before expenses are deducted.
Financial StatementsSales Growth
The percentage increase or decrease in revenue over a period.
Financial StatementsCost of Goods Sold
Direct costs attributable to goods or services sold during a period.
Financial RatiosGross Margin
Gross profit expressed as a percentage of revenue.