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EBITDA full form stands for Earnings Before Interest, Taxes, Depreciation, and Amortization. It is the alternate method of measuring profitability in net income. EBITDA Formula The EBITDA formula is calculated by subtracting all expenses except interest, taxes, depreciation, and amortization from net income. Often the equation is calculated inversely by starting with net income and adding back the ITDA. Many companies use this measurement to calculate different aspects of their business. For instance, since it is a non-GAAP calculation, you can pick and choose what expenses are added back into net income. For example, it’s not uncommon for an ... EBITDA full form is Earnings Before Interest, Taxes, Depreciation, and Amortization. EBITDA is an alternate way of calculating profitability to net income. EBITDA is the vital financial metric that shows an organization's operational profitability by excluding all non-operational expenses. EBITDA , short for Earnings Before Interest, Taxes, Depreciation, and Amortization, is a measure used to evaluate a company's operating performance.
