Global Business ToolkitGBT

EBITDA Calculator

Calculate Earnings Before Interest, Taxes, Depreciation & Amortization

Financial Inputs

Enter your company's financial data

Total Revenue ($)

Cost of Goods Sold ($)

Operating Expenses ($)

Depreciation ($)

Amortization ($)

Interest Expense ($)

Taxes ($)

EBITDA Importance: A key metric for business valuation, showing operational profitability before financing and accounting decisions. Commonly used in M&A and company valuations.

Understanding EBITDA

What is EBITDA?

Purpose: Measures operational performance independent of capital structure
Formula: Net Income + Interest + Taxes + Depreciation + Amortization
Use Cases: Business valuation, acquisition analysis, performance comparison
Industry Standard: Valuation multiples typically 3-8x EBITDA

Interpretation Guidelines

Healthy EBITDA Margin: 15-25% for most businesses
Growing EBITDA: Indicates improving operational efficiency
Negative EBITDA: Business losing money on core operations
Compare: Against industry peers and historical performance