Non-operating income

Non-operating income,

Definition of Non-operating income:

  1. Non-operating income is the portion of an organization's income that is derived from activities not related to its core business operations. It can include items such as dividend income, profits or losses from investments, as well as gains or losses incurred by foreign exchange and asset write-downs.

  2. Non-operating income is also referred to as incidental or peripheral income.

  3. Income received by a business that is not derived from operations, such as manufacturing. Non-operating income usually does not occur on an ongoing basis, and is examined separately from operating income. An example of non-operating income is income generated through the sale a subsidiary or division, since the company wont be able to resell that division again and the income is a one-time occurrence.

How to use Non-operating income in a sentence?

  1. Non-operating income is the portion of an organization's income that is derived from activities not related to its core business operations.
  2. Separating non-operating income from operating income gives investors a clearer picture of how efficient a company is at turning revenue into profit.
  3. It can include dividend income, profits or losses from investments, as well as gains or losses incurred by foreign exchange and asset write-downs.

Meaning of Non-operating income & Non-operating income Definition