EBIT Calculator
About EBIT Calculator
The EBIT Calculator is used to calculate the earnings before interest and taxes (abbreviated as EBIT).
EBIT Definition
In accounting and finance, earnings before interest and taxes (EBIT) is a measure of a company’s profitability that excludes interest and income tax expenses. It is calculated as the sum of operating income (also known as “operating profit” and “operating earnings”) and non-operating income, where operating income is operating revenues minus expenses. When a firm has zero non-operating income, then operating income is sometimes used as a synonym for EBIT.
Calculation of EBIT
The EBIT calculation formula is as follows:
EBIT = Operating Revenue – Operating Expenses (OPEX) + Non-operating Income
