Operating Loss (OL),

What Does Operating Loss (OL) Mean?

  • Operating loss occurs when a company's operating costs exceed its gross profit (or revenue for a service-based company). Operating losses do not take into account interest income, interest expenses, extraordinary gains or losses, or investment income or losses or tax effects. These items are below the line, meaning they are added or subtracted after an operating loss (or sale, if positive) to reach a final conclusion. Operating losses usually result in a loss of net income unless extraordinary profits (such as the sale of assets) are recognized during the accounting period.

    • If a company's operating expenses exceed its gross profit, it reflects the operating loss in its annual financial statements.
    • Operating losses do not include interest income, interest expenses, extraordinary gains or losses, or investment income or losses or tax effect.
    • Operating losses reflect unprofitable operations and changes may be necessary to reduce costs or increase sales.
    • A company can also suffer operating losses if it reinvents itself to grow its business in the future.

Literal Meanings of Operating Loss (OL)

Operating:

Meanings of Operating:
  1. (One person) to control an operation (machine, process or system).

  2. Surgical intervention

Sentences of Operating
  1. The Prime Minister uses the system of distribution to govern.

  2. The surgeon operated on his jaw yesterday morning.

Synonyms of Operating

intervene, guide, run, work, ply, employ, be in charge of, put someone under the knife, set off, pilot, perform surgery, utilize, exercise, manipulate, use, manage, steer, handle, wield, control, carry out an operation, make go, drive, manoeuvre

Loss:

Meanings of Loss:
  1. The fact or action of losing something or someone.

Sentences of Loss
  1. Avoid wasting time

Synonyms of Loss

waste, misplacement, depletion, forfeiture, deprivation, reduction, disappearance, mislaying, privation, overlooking, diminution, dissipation, dropping, losing, squandering, erosion, impoverishment, forgetting

OL:

Meanings of OL:
  1. Formation of the name of the organic compound representing alcohols and phenols.

  2. Formation of the name of an organic compound that identifies compounds derived from oil and petroleum.

Sentences of OL
  1. Glycerin

  2. Benzene

Operating Loss (OL),

Operating Loss (OL): What is the Meaning of Operating Loss (OL)?

  1. Operating Loss (OL) means, Operating losses occur when the company's operating costs exceed its profits (or the company's revenue based on the service). Operating losses do not take into account interest income, interest expenses, extraordinary income or loss or loss on income or investment or tax. These items are below the line, which means they are added or subtracted according to operating losses (or sales, if positive) to reach a final conclusion. Operating losses usually lead to a loss of profit, unless the abnormal n (e.g., sales of y) is listed in the ledger.

    • If a company's operating expenses exceed its profits, it will result in an operating loss on its annual financial statements.
    • Operating losses do not include interest income, interest expenses, extraordinary income or loss, or investment income or loss or tax effect.
    • Operating losses reflect unprofitable operations and changes may be necessary to reduce costs or increase sales.
    • A company may also incur operating losses if it is reinvested to grow its business in the future.

Operating Loss (OL),

Operating Loss (OL): What is the Meaning of Operating Loss (OL)?

Will Canton specializes in investment and business legislation and regulation. Prior to that, he held senior writing positions at Investopedia and Kapitall Wire, and earned an MA in Economics from the New School of Social Research at New York University and a PhD in Philosophy in English Literature.

  • If a company's operating expenses exceed its profits, it will result in an operating loss on its annual financial statements.
  • Operating losses do not include interest income, interest expenses, extraordinary income or loss or the effect of investment or tax income or loss.
  • Operating losses reflect unprofitable operations and changes may be necessary to reduce costs or increase sales.
  • If a company reinvents itself to grow its business in the future, it may also face operating losses.

Literal Meanings of Operating Loss (OL)

OL:

Meanings of OL:
  1. Formation of the name of the organic compound that identifies alcohols and phenols.