EBITDA
Definition
Earnings Before Interest, Taxes, Depreciation, and Amortisation. A widely used measure of a company's core operating performance that strips out financing decisions, tax jurisdictions, and non-cash charges, making it useful for comparing profitability across companies.
Related Terms
Related FAQ
What is EBITDA and why does it matter for valuation?
EBITDA (Earnings Before Interest, Tax, Depreciation, and Amortisation) strips out financing and accounting decisions to show a company's core operational profitability — it's the most common valuation metric in M&A.
Read full answer →How do intangible assets affect company valuation?
Intangible assets typically represent 70-90% of enterprise value in modern companies, directly influencing revenue multiples, EBITDA margins, and acquisition premiums.
Read full answer →Put this knowledge to work
Use Opagio's free tools to measure and grow the intangible assets that drive your business value.