Traditional Culture Encyclopedia - Hotel accommodation - What do ebita and ebitda mean respectively?

What do ebita and ebitda mean respectively?

1.ebita (earnings before interest and tax): earnings before interest and tax; EBITDA (profit before interest, tax, depreciation and amortization): profit before interest, tax, depreciation and amortization.

2.EBITDA profit before interest, tax, depreciation and amortization is the abbreviation of income before interest, tax, depreciation and amortization, that is, profit before interest, tax, depreciation and amortization. EBITDA= net profit+income tax+interest+depreciation+amortization, or EBITDA=EBIT+ depreciation+amortization.

Thirdly, EBITA is very suitable for evaluating some industries that have huge upfront capital expenditure and need long-term amortization of upfront investment, such as nuclear power industry, hotel industry and property leasing industry.

1.EBITDA reflects the profitability of enterprises from another angle. EBITA's operating income reflects how much EBITDA profit can be brought by an enterprise's operating income of 1 yuan.

2.EBITDA is an indicator to measure profit. At present, although the domestic accounting standards and the Guidelines for the Disclosure of Financial Reports of Listed Companies do not require listed companies to disclose the EBITDA value, investors and analysts can easily calculate the EBITDA value of the company according to the data and information in the company's financial statements.

1.What's the difference between ebit and EBITDA?

1. Different measurement objects: EBIT is mainly used to measure the profitability of an enterprise's main business, while EBITDA is mainly used to measure the ability of an enterprise's main business to generate cash flow.

2. Different definitions: EBIT is the profit before deducting interest and income tax, that is, the profit before calculating interest and tax. EBITDA is the sum of net profit and income tax, depreciation of fixed assets, amortization of intangible assets, amortization of long-term deferred expenses and cash for interest payment.

3. The calculation method is different: EBIT= total sales revenue-total variable cost-fixed operating cost. EBITDA= earnings before interest and tax (EBIT)+ depreciation expense+amortization expense.