Sales revenue = price (of product) × quantity sold
Gross profit = sales revenue − direct cost ( cost of sales and cost of sold products )
Operating profit = gross profit − other indirect costs
EBITDA (earnings before interest, taxes, depreciation and amortization) = Operating profit − overheads
EBIT (earnings before interest and taxes) = EBITDA - non-operating income
Pretax profit (EBT, earnings before taxes) = operating profit − one off items and redundancy payments, staff restructuring − interest payable
Net profit = Pre-tax profit − tax
Retained earnings = Profit after tax − dividends