Q:

What is income from continuing operations?

A:

Quick Answer

Income from continuing operations is ongoing earnings from normal business activity. It is what a company can expect from future earnings, such as if a company plans to continue to produce shoelaces and buttons but no longer zippers, earnings from the zippers is not calculated as income from continuing operations.

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What is income from continuing operations?
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Full Answer

Earnings from continuing operations do not include discontinued product lines, one-time sales of real estate or equipment. Earnings of this nature are from the company’s product lines or major business activity. A subset of net earnings, the breakdown of income from continuing operations gives a realistic picture to investors of how the company is faring overall.

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