Earnings before interest, taxes, depreciation, amortization, and rent (EBITDAR) is a financial term used in calculating a company’s financial performance; it is sometimes referred to as operating cash flow.
DEFINITION of 'EBITDA Margin'
A measurement of a company's operating profitability. It is equal to earnings before interest, tax, depreciation and amortization (EBITDA) divided by total revenue.
EBITDA/enterprise value ratio (EBITDA/EV)
A modified measure of the ratio of a company's operating and non-operating profits to the market value of the firm's equity and debt.
Also known as operating profit before depreciation, EBITDA is the operating revenue less cost of sales, operating expenses, and SG&A expenses.
Investing terms and definitions starting with
Numbers A B C D E F G H I J K L M N O P Q R S T U V W Q Y Z ...
Earnings before interest, taxes, depreciation and amortization. Adds these items back to reported earnings to more accurately reflect real cash earnings of company. Similar to operating cash flow, except operating cash flow also considers changes in levels of inventories and receivables.
EV/~ (Enterprise value/~) is a popular valuation multiple used in the finance industry to measure the value of a company.
EV/~ is one of the most widely used valuation ratios. It is:
EV ÷ ~ ...
Definition: EBITDA is a rough approximation for cash flow and it is calculated as revenues - expenses (excluding taxes, interest, depreciation, and amortization).Advice: EBITDA is very important for investment bankers because transactions are often priced as a multiple of EBITDA.
Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) is a measure of a company's operating cash flow. This can be found from the income statement of the company. EBITDA is a financial indicator that is published on many websites, for convenience.
It is one of the most popular measures of cash flow.
EBITDA = Revenue - Expenses (excluding tax, interest, depreciation and amortization) ...
~ is essentially net income with interest, taxes, depreciation, and amortization added back to it. ~ can be used to analyze and compare profitability between companies and industries because it nullifies the effects of financing and accounting decisions.
Often, EBITDA is used instead of net earnings for the denominator, because more companies can be compared regardless of capital structure and accounting practices.
Enterprise Value/EBITDA Formula
Enterprise Value per EBITDA
Earnings before interest, tax, depreciation and amortization
~ is a profit ratio. It indicates the operative earning power of a company, independent of its capital structure or propensity to invest.
Earnings Before Interest, Taxes, Depreciation and Amortization is a good measure of a company's ability to service its debt. It is also a very good way to measure the profitability of a company, because it eliminates the effects of accounting and financing decisions.
An abbreviation for Earnings Before Interest Tax Depreciation and Amortisation. It is calculated by taking the net profit after tax and adding back the other amounts.
~ margin : Earnings before interest, tax, depreciation and amortization / Sales ...
~. An approximate measure of a company's operating cash flow based on data from the company's income statement. Calculated by looking at earnings before the deduction of interest expenses, taxes, depreciation, and amortization.
~ margin (Underlying)
The (underlying) ~ margin is calculated by dividing ~ (before special items) by sales
Economic cycle ...
Growth, Net Capital Expenditure needs, Leverage, Risk
Their EV/EBITDA is 9.37.
The dividend yield is very low, but their numbers all blow away all their numbers from the recent last five years or so.
~ What is it?
Earnings Before Interest, Tax, Depreciation, and Amortisation (i.e. revenues less expenses excluding interest, tax, depreciation, and amortisation)
Why do I want to know?
As a measure of operational results ~ strips out any expense due to depreciation and amortisation.
EV basically tells you how much a company is worth. By itself, it can be useful, but it's even more useful when you use it to with the company's cash flow. This is called the EV/EBITDA multiple (or enterprise value/earnings before interest, taxes, depreciation, and amortization).
Earnings before interest, taxes, depreciation, and amortization (EBITDA)
Earnings before taxes (EBT)
Earnings per share (EPS)
Earnings response coefficient
Earnings retention ratio
Economic assumptions ...
~: $97 million, compared with $115 million in 2011, or 7.0 cents per share versus 8.2 cents the previous year.
Net Profit: $74 million, versus $88 million in 2011.
Securities daily average traded value (SDAV) was $1.3 billion compared to $1.6 billion a year ago and $1.
DryShips has seen revenue and EBITDA growth lately while shrinking expenses,
but their balance sheet has caused some to speculate on a take-over. We examine
the long term prospects of the company as well as the likelihood and outcome of
any acquisitions in the industry.
Earnings Before Interest, Taxes, Depreciation and Amortization - EBITDA
An indicator of a company's financial performance which is calculated in the following EBITDA calculation:
Earnings Before Interest, Taxes, Depreciation, Amortization, and Restructuring or Rent Costs - EBITDAR ...
It looks like a value story trading on EV/EBITDA 2013 5.3x but it's not
It has massive reserves of oil
The government owns 64% of Petrobras so they cannot charge the full market price for oil and gas because of government interference
They have a poor record of exploiting reserves ...
A measure of the riskiness of these loans has also been rising - the average size of the debt for companies taking these loans in 2013 was 6.21 times a form of cash flow known as EBITDA or earnings before interest, tax, depreciation and amortization, up from 5.
The earnings number used in this ratio is sometimes called cash flow or earnings before interest, taxes, depreciation and amortization (EBITDA).
risks and leading companies; (2) analysis of the bond issuer, including the company's position in its industry; new products; management stability; the outlook for growth in revenues and cash flow as captured in Earnings Before Interest, Taxes, Depreciation and Amortization, also called EBITDA; ...
The market value of the stock can be completely unrelated to the actual value of the company. Fundamental metrics such as price to earnings or earnings before interest, taxes, depreciation and amortization, or EBITDA, rather than a past stock price, would be a better gauge.
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Obviously, the greater and more stable a company's gross margin, the greater potential there is for positive bottom line (net income) results. More recently, gross profit has been referred to as "Earnings before interest, taxation, depreciation and amortization" (~).
See also: What is the meaning of Market, Earnings, Investor, Stock, Profit?