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Is profit and annual operating income supposed to be equivalent?
by kittiepryde 8y ago
Is profit and annual operating income supposed to be equivalent?
- duado 8y agoOperating income is usually a better way of measuring the health of a business than net profit since it excludes one-time charges and taxes.
- adventured 8y agoI used operating income for the US tech companies because the recent accounting changes can make net income an unusually volatile figure. SAP's operating income had been stable for several years so I guessed it had remained pretty similar to 2017 figures. It did jump decently for 2018, to around the high $6.x billion area. Going on that (a proper direct comparison), it's more like ~27 SAPs.