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Earnings Before Interest and Tax
(redirected from Net Operating Profits)

   Also found in: Acronyms 0.01 sec.
Earnings Before Interest and Tax
A measure of a company's ability to produce income on its operations in a given year. It is calculated as the company's revenue less its expenses (such as overhead) but not subtracting its tax liability or interest paid on debt. It is important to note that EBIT does not account for one-off or otherwise unusual revenues and expenses, only recurring ones. EBIT represents cash available to pay off creditors in the event of liquidation and, as such, it is closely watched, especially when the company incurs little depreciation or amortization. It is also called operating profit.


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Net operating profits for the third-quarter of 2009 are AED 7.
Through research with retailers in ten Midwest and Great Plains states, Adayana Agribusiness Group found that top-performing seed retailers earned higher net operating profits on seed than crop protection when costs were fully allocated to each enterprise and other best practices identified were implemented.
With net operating profits of close to 20% of sales, Pfizer can afford to be generous.
 
 
 
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