Operating Profit Margin:

Operating Profit Margin:

            The ratio is the relationship of operating income of the company divided by

total revenue of the company. This ratio is used to measure a company's pricing strategy and operating efficiency. It indicates about what proportion of a company's revenue is left over after paying for variable costs of production. A positive and healthy operating profit margin is required for a company to pay off its fixed costs, such as interest on debt. The higher the margin, the better it would be.

Operating Profit Margin =	Operating Profit
	Net Sales