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Operating Profit Margin

   Also found in: Dictionary/thesaurus, Acronyms, Wikipedia 0.01 sec.
Operating profit margin
The ratio of operating profit to net sales.

Profit Margin
A measure of how well a company controls its costs. It is calculated by dividing a company's profit by its revenues and expressing the result as a percentage. The higher the profit margin is, the better the company is thought to control costs. Investors use the profit margin to compare companies in the same industry and well as between industries to determine which are the most profitable.


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An institutional investor estimated Asustek has made great stride in improving core-business operations as its operating profit margin exceeded 5% in the third quarter of this year, a substantial increase from a mere 0.
The operating profit margin as a percentage of sales, excluding some costs, rose to 16.
7 per cent earnings margin and our operating profit margin is 30.
 
 
 
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