operating income

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Operating Income

A company's income from the goods and services it provides, less its operating expenses and depreciation. The operating income does not include losses from interest payments or income tax. For example, a widget manufacturer earns $1,000,000 in gross revenue from the sale of widgets. 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 operating income is stated as: $1,000,000 - $200,000 - $250,000 - $50,000 = $500,000. Operating income is closely related to earnings before interest and taxes (EBIT), but EBIT includes nonoperating income, which is usually (but not always) significantly less than operating income. See also: Net income.
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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. Also called earnings before interest and taxes, operating profit. Compare operating loss. See also operating revenue.
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operating income

See net operating income.

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References in periodicals archive ?
While operational income increased by 40pc in 2018, the operating expenses only increased by 10.7pc in 2018, compared with 2017.
Of the renegade player, Secretary Rio wryly commented: "The participation fee of P1 million it paid might have significantly cost NOW Telecoms' mother company, NOW Corp., of its operational income, which only stood at P6.3 million in 2017." That comment raises every reputational risk imaginable.
The operational income decreased by 100 per cent from Rs 202 million in 2016 to Nil on December 31, 2017 whereas the administrative expense increased by 25 per cent from Rs 847 million in 2016 to Rs 1061 million on December 31, 2017, according to the inquiry On the other hand, Sheikh had denied all the allegations subsequently PM had appointed Fazal Abbas Maken, incumbent cabinet secretary to conduct a fact-finding inquiry and submit the report.
After excluding these items you would find a clear loss on their sheets from operational income," Issam Kassabieh
In a press event on June 11, Chairman and CEO of TDCC Sherman Lin reported that the company's operational income rose to NT$4.5 billion with an after-tax profit of NT$2 billion for 2017.
Petrochemical and aluminium manufacturing assets were major growth drivers for the company's operational income, said a statement.
We believe an operational income statement (OIS) not only provides very significant enterprise performance management (EPM) advantages but also supports an entirely new budgeting process--the operational budget (OB), which has significant advantages over the traditional budget.
Hisham Alrayes, CEO of GFH, added, "We are delighted with the continued and strong progress we are making and growth in our operational income. In the third quarter, contributing to our strong revenues was the placement of recent investments we have made in the United States in yielding assets and real estate sales in our development projects.
Hisham Alrayes, CEO of GFH,A added,A "We are delighted with theA continuedA and strong progress we are making and growth in our operational income. In the third quarter, contributing to our strong revenues was theA placement of recent investments we have made in the United States in yielding assets andA real estate sales in our development projects.A These transactions underscore investor confidence in GFH as a brand and the value of the opportunities we are creating.A WithA the solidA foundations weA have set,A we look forward to a strong close to 2017 and results that would please ourA investors and shareholders."
IDBI's total income during the fourth quarter of 2016- 17 was Rs 8,048 crore, down from Rs 8,275 crore in the year- ago quarter leading to reduced operational income.
The company recorded operational income of SAR 273 million($73 million) in Q1, 2017, compared to operational loss of SAR 32 million($8.5 million) in the same quarter of 2016.

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