Pretax earnings or profits

(redirected from Pre-Tax Earnings)

Pretax earnings or profits

Net income before federal income taxes are subtracted.

Pretax Earnings or Profits

A company's total revenue less its operating expenses, interest paid, and depreciation, but not taxes. For example, a widget manufacturer earns $1,000,000 in total revenue. The widgets cost $200,000 to make and his administrative and payroll expenses total $250,000. He also must subtract $50,000 in depreciation on his widget manufacturing equipment. His net income is stated as: $1,000,000 - $200,000 - $250,000 - $50,000 = $500,000. It is important to note, however, that this number does not include any taxes that the widget manufacturer must pay that year; this fact is what differentiates pretax earnings or profits from net income.
References in periodicals archive ?
First quarter total revenue of $28 million, a 24% increase over the first quarter of 2014; pre-tax earnings of more than $1 million, EBITDA of nearly $7 million, a 22% increase over the first quarter of 2014, and a first quarter EBITDA margin of more than 23%
Sierra Vista Bank (OTCBB: SVBA) has reported pre-tax earnings of USD844,000 for the year 2014, a 25.
Mulberry suffered a fall in pre-tax earnings to PS7.
Makalot reported pre-tax earnings of NT$ 776 million (US$ 25.
consolidated pre-tax earnings of the first 3 quarters of 2009 and the pre-tax
Pre-tax earnings, however, were up dramatically, to $47.
Former shareholders of Real Estate School Online will also be entitled to a one-time cash payment of up to $500,000 if the pre-tax earnings of Real Estate School Online exceed specified targets during the first twelve full calendar quarters following the closing.
Pre-tax earnings in the mortgage banking segment were $220 million, compared with $680 million for the fourth quarter of 2003.
The world's second largest brewer, which owns brands in Italy, the Czech Republic, Russia and Hungary, said pre-tax earnings before interest and goodwill in Europe were pounds 150.
Audi accounts for about 13 per cent of Volkswagen group's production, but over 20 per cent of the its pre-tax earnings.
18 per share) and pre-tax earnings of $1,135,000 ($0.
Year over year, the banking segment pre-tax earnings increased USD1.