1. A company's operating expenses divided by its operating revenues.
2. More generally, any of a number of ratios measuring a company's operating efficiency, such as sales to cost of goods sold, net profits to gross income, operating expenses to operating income, and net profit to net worth.
Related information about operating ratio:
- Operating ratio - Wikipedia, the free encyclopedia
The operating ratio is a financial term defined as a company's operating expenses as a percentage of revenue. This financial ratio is most commonly used for ...
- Operating Ratio Definition | Investopedia
A ratio that shows the efficiency of a company's management by comparing operating expense to net sales. Calculated as:
- Operating Ratio Definition & Example | InvestingAnswers
We explain the definition of Operating Ratio, provide a clear example of how it works and explain why it's an important concept in business, finance & investing.
- Operating Ratio - Financial Dictionary - The Free Dictionary
A ratio of a company's operating expenses to its sales or revenue. A lower operating ratio is considered ideal because it indicates that, in the event of a decline ...
- What is operating ratio? definition and meaning
Definition of operating ratio: A company's operating expenses divided by its operating revenues.
- Operating Ratio | Operating Formula - AccountingTools
Description: The operating ratio is the ratio of production and administrative expenses to net sales. It excludes financing costs, non-operating expenses, and ...
- Operating Ratio | RiskHeads
Oct 14, 2010 ... As part of our ongoing insurance how-to series we continue to explore the terminology and practices used in the Insurance world. Today we will ...
- What Is an Operating Ratio?
An operating ratio is a mathematical calculation used to determine a company's operational efficiency. The traditional operating ratio compares the company's ...