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Can I say Operating profit is Profit before tax?

This topic has 1 reply, 2 voices, and was last updated 7 years ago by MikeLittle.

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July 25, 2017 at 7:16 pm #398645
sunny20
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I’m confused by the term operating profit and profit before tax. Can I say operating profit is profit before tax?
July 25, 2017 at 8:31 pm #398652
MikeLittle
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No, not quite
Operating profit is alternatively called EBIT ie earnings before interest and tax
So investment income and loan interest are not included in arriving at the figure earnings before interest and tax
OK?
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