EBITDA Explained: Definition, Importance & Limits
Key Takeaways EBITDA means earnings before interest, taxes, depreciation, and amortization. Companies utilize EBITDA to verify their profitability in primary operations before expenses such as debt, tax, or equipment depreciation. Investors and analysts like to choose EBITDA when they want to compare firms in the same industry or size, as it provides a more transparent … Read more