Shearman & Sterling LLP
Issue link: https://digital.shearman.com/i/1494417
Non-GAAP Financial Metrics (cont.) EBITDA Financial Statements – The Basic Requirements 41 • EBITDA = Earnings Before Interest, Taxes, Depreciation and Amortisation • By adding back interest, taxes, depreciation and amortization to net income, many view EBITDA as enabling more like-for-like comparisons of similar businesses by considering only those costs intrinsic to such businesses' operations • The SEC and the ECB permit the use of EBITDA and other metrics not prepared in accordance with GAAP or IFRS but they also provide guidance and limitations on the presentation