22 Feb, 2017

EBITDA or Cashflow?

By |2017-02-22T05:48:51+11:00Feb 22, 2017|Education|

In the world of credit analysis, investors are often misled by EBITDA as it is sometimes used as a proxy for cashflow. EBITDA refers to a company's earnings before interest expense, taxation, depreciation and amortisation of certain capital expenses. While it is commonly used as a benchmark between peers, the measure does not account for capital expenditures, fails to accurately [...]