Cash flow & liquidity · Core

Operating expenditure

Also called: opex

ELI5

Spending recognised as operating expense rather than capitalised.

Used in conversation

“How are we defining operating expenditure in this deck?”

Pitch context

You will see “Operating expenditure” in financial models, budgets, board packs and investor materials when the discussion reaches cash flow & liquidity.

Why it matters: In cash flow & liquidity, different calculation boundaries, periods or accounting treatments can change the number and the decision.

Caution

Calculation, recognition and disclosure can vary by accounting framework, company policy and reporting context.

Connected terms

Sources & evidence · 4

Direct term-level sources and supporting source families.