[ ee-bit-do ]

noun, abbreviationFinance, Business.
  1. earnings before interest, taxes, depreciation, and amortization: a widely used measure of the profitability (or lack thereof) resulting from a company’s core operations, calculated by subtracting from total revenue the cost of goods (or services) sold, sales and marketing expenses, and the cost of overhead. Other costs that may be indirectly related to operations, as interest (paid on company debt), taxes (paid on profits), and depreciation and amortization (generally of property and equipment), are not taken into account when calculating EBITDA.

Origin of EBITDA

First recorded in 1985–90

Words Nearby EBITDA

Dictionary.com Unabridged Based on the Random House Unabridged Dictionary, © Random House, Inc. 2023

British Dictionary definitions for EBITDA


abbreviation for
  1. earnings before interest, tax, depreciation, and amortization: Often shortened to: EBIT

Collins English Dictionary - Complete & Unabridged 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012