Fundamental Glossary / Earnings & Accounting Concepts
Other Income
Income that is not revenue from the main operations: interest, dividends, gains on investments, and some forex or asset-sale gains.
Formula
A separate line on the Indian statement of profit and loss, below revenue from operations.
What it means
Other income is real, and it is often less repeatable than selling the product. A cash-rich company's interest income is genuine. A trading gain may not be.
Operating profit discussions should say whether other income is included. Many headline margins quietly include it.
How to read it
Other income that is a small, stable percentage of profit is incidental. Other income that is most of the profit means the core business is not the story the multiple is paying for.
What to watch
Fair-value gains on investments can swing other income without any operating change. They can reverse next year.
This note explains the term. It is not a research recommendation, a target price, or a comment on any security. Ratios and regulatory thresholds change; use the latest filing or circular for a live figure.