Return on Sales
Return on Sales Formula |
\( ROS \;=\; \dfrac{ EBIT }{ NS } \) |
Symbol |
\( ROS \) = Return on Sales |
\( EBIT \) = Earnings Before Interest and Taxes (Operating Profit) |
\( NS \) = Net Sales |
Return on sales, abbreviated as ROS, is how efficiently a company can generate operating profit from its revenue.