Operating Margin
Also called: EBIT margin, operating profit margin
Operating margin is operating income divided by revenue — profitability after all the costs of running the business but before interest and tax. It's the fairest cross-company comparison of operational efficiency, because it strips out financing and tax choices that differ by structure and jurisdiction. Widening operating margin as revenue grows is operating leverage made visible.
Formula
Operating margin = Operating income ÷ Revenue
Where this is taught
Definitions are the trailer. These free levels turn Operating Margin into something you play — one bite-size lesson, with worked examples, a quiz and XP.