EBITDA Margin Calculator

Defination / Uses

The EBITDA margin is a system for analyzing how operating complete a company is. Since EBITDA doesn't consider interest, duties, deprecation, and amortization, this boundary is a establishment representative of core operating effectiveness. It's calculated by dividing EBITDA over earnings and expressed as a chance.

Then it's important to notice that the cost of goods vended, and the electricity spent by a company that produces sword arenon-comparable to a cybersecurity company. Accordingly, if EBITDA periphery is a metric for assaying core operation effectiveness, there's no sense to compare sword directors to companies that vend firewalls and antivirus.