Financial Glossary

EBITDA

Profitability

What is EBITDA?

Earnings Before Interest, Taxes, Depreciation, and Amortization. A measure of operating profitability that strips out financing and accounting decisions.

Why EBITDA matters

Allows comparison of operating performance across companies with different capital structures and tax situations.

Related terms in Profitability

Definitions are provided for educational and informational purposes only and are not investment advice. Consult a qualified financial advisor before making investment decisions.