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OIBIDA meaning in Accounts and Finance ? |
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Answer» What is Operating Income Before Depreciation and Amortization mean? A company's earnings before interest, taxes, depreciation, and amortization (commonly abbreviated EBITDA, pronounced , , or ) is a measure of a company's profitability of the operating business only, thus before any effects of interest, taxes and costs required to maintain its asset base. It is derived by subtracting from revenues all costs of the operating business (e.g. wages, costs of raw materials, services ...) but not depreciation, amortisation, interest, lease expenses, and taxes. Though often shown on an income statement, it is not considered part of the Generally Accepted Accounting Principles (GAAP) by the SEC and the SEC hence requires that companies registering securities with it (and when filing its periodic reports) reconcile EBITDA to net income. reference nan |
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