EBITDA Calculator
This EBITDA calculator offers three ways to calculate EBITDA depending on the information you have: reconciliation from Net Income, from Operating Income (EBIT), or by aggregating revenue and expense line items. Use the method that best matches your source statements and accounting definitions.
EBITDA is a non-GAAP performance metric commonly used for valuation and operating performance comparison. This tool provides transparent formulas and allows custom add-backs; it does not substitute audited financial statements or professional accounting advice.
Reconcile EBITDA by starting from reported Net Income and adding back interest, taxes, depreciation, amortization and any user-specified adjustments.
Inputs
Advanced inputs
Inputs: Net Income reconciliation
Inputs: Operating Income
Inputs: Revenue & expense components
Results
EBITDA
$0.00
EBITDA Margin (%)
—
| Output | Value | Unit |
|---|---|---|
| EBITDA | $0.00 | currency |
| EBITDA Margin (%) | — | % |
Visualization
Methodology
The calculator implements common accounting conventions: EBITDA = Earnings before Interest, Taxes, Depreciation and Amortization. When reconciling from Net Income, we add back interest, tax, depreciation, amortization and user-specified adjustments.
Inputs must match the entity and currency of the financial statements used. If you supply consolidated figures, ensure all components are on the same consolidation basis. Treat non-recurring items consistently and document adjustments.
Data handling and accuracy recommendations follow best-practice controls. For secure processing and record-keeping, consult NIST guidance on data integrity and ISO risk management standards. For technical precision in numeric systems, follow relevant IEEE numeric handling guidelines.
Worked examples
If Net Income = 100, Interest = 10, Tax = 20, Depreciation = 15, Amortization = 5, Other Adjustments = 0 → EBITDA = 150.
If Operating Income = 200, Depreciation = 30, Amortization = 10 → EBITDA = 240.
If Revenue = 1000, COGS = 400, Operating Expenses (excl. depr/amort) = 300 → EBITDA = 300; EBITDA Margin = 30%.
Expert Q&A
Is EBITDA a GAAP measure?
No. EBITDA is a non-GAAP metric. It is useful for comparing operating performance but may exclude items that affect cash flow or long-term value. Reconcile to audited statements when required.
Which method should I use?
Use the method that aligns with the source of your numbers. If you have Net Income and tax/interest schedules, reconciliation from Net Income is precise. Use Operating Income when that line item is available. Use the components method if you have revenue and detailed expense breakdowns.
How should I treat one-time items?
One-time items may be added back as 'Other adjustments' if you and your stakeholders agree they are non-recurring. Document the rationale and ensure consistent treatment across periods.
How accurate are the results?
Accuracy depends on the correctness and consistency of inputs. Rounding, currency mismatches, consolidation differences, and inconsistent treatment of expenses can produce materially different EBITDA. Reconcile results to audited statements where necessary.
Can this tool be used for regulatory reporting or audits?
No. This tool is for analysis and planning. For regulatory reporting or audit purposes, rely on formal accounting records and consult a qualified accountant or auditor.
Sources & citations
- NIST — National Institute of Standards and Technology — https://www.nist.gov
- ISO — International Organization for Standardization — https://www.iso.org
- IEEE — Institute of Electrical and Electronics Engineers — https://www.ieee.org
- OSHA — Occupational Safety and Health Administration (general workplace compliance) — https://www.osha.gov