EBIT stands for "earnings before interest and taxes." Investors evaluate a company's earnings before subtracting interest expenses and taxes because interest and taxes are non-operating expenses ...
Operating income measures a company’s efficiency and performance and is the profit after operating expenses have been subtracted from gross profit. Before delving further into operating income ...
The formula for ROCE is earnings before interest and tax (EBIT) divided by capital employed ... functions that either look at net profit margins and gross profit margins, or are solely concerned ...