1.
ordinary profit; recurring profit; ordinary income
A key financial metric in Japanese corporate accounting that represents a company's profit from its regular business operations plus financial activities, before extraordinary items and taxes. Widely used in Japanese business reporting.
今期の経常利益は前年比で増加した。
This term's ordinary profit increased compared to last year.
経常利益が過去最高を記録した。
Ordinary profit reached a record high.
円安の影響で輸出企業の経常利益が大幅に改善し、株価も上昇した。
Due to the weak yen, export companies' ordinary profits improved significantly and stock prices also rose.
Composed of 経常 (ordinary, recurring) and 利益 (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 includes operating profit (営業利益) 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:
- 経常利益が増加する: ordinary profit increases
- 経常利益が減少する: ordinary profit decreases
- 経常利益率: ordinary profit margin
- 連結経常利益: consolidated ordinary profit
- 経常利益予想: ordinary profit forecast
SIMILAR WORDS:
- 営業利益: operating profit — profit from core business operations only, excluding financial income/expenses
- 純利益: net profit — the bottom line after all items including taxes and extraordinary items
- 売上高: sales; revenue — total revenue before any expenses are subtracted