🤔How is EBITDA «adjusted» to get to the Adjusted EBITDA?

📝 Adjusted EBITDA is commonly used by investors and analysts to better understand a company's core business operations and compare performance across different companies or industries;

🔎 EBITDA measures a company's earnings before interest, taxes, depreciation, and amortization, while adjusted EBITDA adds further adjustments to account for non-recurring expenses or one-time gains;

🔢 Adjustments to EBITDA may include expenses related to restructuring, acquisition-related costs, or stock-based compensation, which can skew a company's true operating performance...

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🧐 Here are some examples of adjustments in more detail:

💰 Non-recurring expenses, which are related to 🏗️restructuring, 💼severance, ⚖️litigation, or other one-time costs that are not expected to be repeated;

🆕 One-time gains, like those realized from the 🏷sale of assets (or other non-operating income);

💵 Stock-based compensation, which are non-cash expenses related to stock options or other equity-based compensation;

📥 Acquisition-related costs, incurred when acquiring or integrating another company, such as 🗞transaction fees, 📑due diligence costs, or 🧾integration expenses;

💹 💱 Foreign exchange gains or losses, which are fluctuations in currency exchange rates that impact a company's reported earnings, but may not be indicative of its underlying operating performance

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