Non-Operating Income


DEFINITION of 'Non-Operating Income'

The portion of an organization's income that is derived from activities not related to its core operations. Non-operating income would include such items as dividend income, profits (and losses) from investments, gains (or losses) incurred due to foreign exchange, asset write-downs and other non-operating revenues and expenses.

BREAKING DOWN 'Non-Operating Income'

When analyzing a company's performance over a recent quarter or year, it is important to differentiate between operating and non-operating profit and loss. For example, if a company's bottom-line earnings per share is reported to be markedly higher this year than last year, but this is due to a one-time gain on investment securities, this should be excluded from the firm's operating income, in order to gain a better measure of how much the company's operations actually grew during the year.

  1. Net Operating Income - NOI

    A company's operating income after operating expenses are deducted, ...
  2. Operating Loss - OL

    The net loss recorded as a result of a company's unprofitable ...
  3. Non-Core Item

    Items that are considered outside of normal activities or operations. ...
  4. Discontinued Operations

    A segment of a company's business that has been sold, disposed ...
  5. Pretax Operating Income - PTOI

    An accounting term that refers to the difference between a company's ...
  6. Income Statement

    A financial statement that measures a company's financial performance ...
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