EBIT, Operating Income
Operating Profit is a very important measurement to follow for any business. Operating profit is measured as the Sales less Operating Expenses. Another name for Operating Profit is EBIT (Earnings Before Interest and Tax). As you can see EBIT factors in depreciation, which is how it differs from EBITDA.
If a company has a lot of fixed assets, it will likely use EBIT to measure its core business efficiency.
Move the sliders to see how EBIT margin is impacted.
Please try in landscape mode or on a larger device for better overview.
