EBITDA Calculator
Calculate EBITDA from net income plus interest, taxes, depreciation, and amortization.
How it works
EBITDA strips a company's earnings back to its core operations by adding interest, taxes, depreciation, and amortization onto net income. The idea is to see the business without financing and accounting noise.
It is popular for comparing companies with different debt loads or tax situations, since it levels those out. Enter your net income and the four add-backs to get the figure.
Supply revenue as well and the tool shows the EBITDA margin — EBITDA as a percentage of revenue — which is often more telling than the raw number.
Frequently asked questions
What does EBITDA stand for?
Earnings before interest, taxes, depreciation, and amortization. It starts from net income and adds those four items back.
Why add back depreciation and amortization?
They are non-cash accounting charges that spread past spending across years. Removing them gives a cleaner view of current operating performance.
What is EBITDA margin?
It is EBITDA divided by revenue, shown as a percentage. It measures how much operating earnings each dollar of sales produces, making companies easier to compare.