Term

EBITDA

Earnings before interest, tax, depreciation and amortisation.

Pending professional review. This content was drafted with Claude from official sources and has not yet been reviewed by an ArthaKara professional. Verify against the official sources before relying on it.
Simple meaningEarnings before interest, tax, depreciation and amortisation.

Technical meaning

An operating profit measure excluding financing costs, taxes and non-cash charges.

Practical example

Revenue Rs 1 crore minus operating costs Rs 80 lakh gives EBITDA of Rs 20 lakh.

Related terms

  • Operating Margin

Official reference

General usage

Information published by ArthaKara Consulting Services is intended for general educational and informational purposes. It is based on the statutory provisions and official information referenced on the respective page as of its stated verification date. Laws, rules, notifications and regulatory interpretations may change. Readers should independently verify the applicable provisions and seek professional advice before taking action. ArthaKara is an independent professional information and consulting platform and is not a government website or government-endorsed portal.