経常利益(けいじょうりえき)

Composed of 経常(けいじょう) (ordinary, recurring) and 利益(りえき) (profit). This is one of the most important profit metrics in Japanese financial reporting and appears in virtually every corporate earnings announcement.

Usage

In Japanese accounting, 経常利益(けいじょうりえき) includes operating profit (営業利益(えいぎょうりえき)) plus non-operating income and expenses such as interest and dividends. It excludes extraordinary gains and losses. This metric is given more prominence in Japanese business reporting than in Western accounting traditions.

Common collocations

• 経常利益(けいじょうりえき)が増加(ぞうか)する: ordinary profit increases
• 経常利益(けいじょうりえき)が減少(げんしょう)する: ordinary profit decreases
• 経常利益(けいじょうりえき)率(りつ): ordinary profit margin
• 連結(れんけつ)経常利益(けいじょうりえき): consolidated ordinary profit
• 経常利益(けいじょうりえき)予想(よそう): ordinary profit forecast

Similar words

• 営業利益(えいぎょうりえき): operating profit — profit from core business operations only, excluding financial income/expenses
• 純利益(じゅんりえき): net profit — the bottom line after all items including taxes and extraordinary items
• 売上高(うりあげだか): sales; revenue — total revenue before any expenses are subtracted