Back

PRATHAM

 • 

Medial • 9m

📊 EBITDA Positive ≠ Profitable: The Startup Illusion/delusion EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) is just a fancy term used to prevent yourself to be called loss making and shows reduced losses 1. Depreciation Reality: Those servers and fancy office chairs? They're losing value 2. Interest Burden: Venture debt isn't free money. Those interest payments are real headaches as entrepreneur 3. Tax Troubles: I don't I need to explain it 4. Capital Expenditure (CapEx) : EBITDA ignores the cash you're burning on long-term investments. Basically the above mentioned points aren't calculated while measuring EBITDA so Many startups are EBITDA positive but not profitable Remember: Cash is king, profit is queen, and EBITDA +ve is a guy who prevents you to be called loss making company

24 replies24 likes
9
Replies (24)

More like this

Recommendations from Medial

Vikas Acharya

 • 

Medial • 5m

What is EBITDA ? Get to know about earnings before Intrest, tax , depreciation and Amortization!

0 replies2 likes
1
Image Description
Image Description

Manu

Building altragnan • 1m

Definition: EBITDA is a financial metric that measures how much money a company earns from its operations before deducting interest, taxes, depreciation, and amortization. It's useful for evaluating a company's operational profitability. Why is EBI

See More
2 replies12 likes
3
Image Description

Mridul Das

Introvert! • 2m

🚀 EBITDA Explained in Simple Terms! 🚀 Ever wondered how much money a business actually makes before all those sneaky expenses like taxes, interest & depreciation? That’s where EBITDA comes in! 🔹 It shows how profitable a company really is! 🔹 Su

See More
2 replies20 likes
12
Image Description

Gautam Ambani

Money Magnet • 1y

LOL Same story of all startups waanna be listed on BSE , NSE. Don't give a shit about profit until want to go public. Do profit before a year or two wanted to do IPO. OYO has reported a profit after tax of nearly INR 100 crore ($12 million) for fisc

See More
1 replies7 likes
Image Description
Image Description

PRATHAM

Experimenting On lea... • 1y

📢 WTF is EBITDA ❓🤔 EBITDA stands for Earnings Before Interest, Taxes, Depreciation, and Amortization ( Amortization in simple words is like repayment of installment/loans). It’s like looking at how much money a company makes from its core busine

See More
20 replies20 likes
5
Image Description
Image Description

Ronak Patel

Here you go! • 10m

Wth is CM1, CM2???? CM - Contribution Margin Contribution margin is the selling price per unit minus the variable cost per unit. CM1 = Contribution margin one= selling price- material costs - logistics costs. CM2= Contribution margin two= sellin

See More
9 replies12 likes
5
Image Description
Image Description

Vaibhav Babruwan Shingde

Student • 1y

Hello Everyone 🤩💭, Today's topic is EBITDA, Gross Margin and Operationally Positive terms: EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) - > 🤑 •Measures overall financial performance and cash flow potential •Usef

See More
4 replies14 likes
Image Description
Image Description

Inactive

AprameyaAI • 11m

Today in the Cafe! EBITDA: Earnings before interest, taxes, depreciation, and amortization, a method for measuring a company's financial health and ability to generate cash. Mezzanine Financing: A hybrid form of financing that is often a mix of de

See More
4 replies9 likes
1

financialnews

Founder And CEO Of F... • 6m

Breakout stocks to buy or sell: Sumeet Bagadia recommends five shares to buy today.. Shares to buy today DCM Shriram | Buy in cash at ₹1,255 | Target price: ₹1,320 | Stop loss: ₹1,210 Century Enka | Buy in cash at ₹709.4 | Target price: ₹750 | Stop

See More
0 replies6 likes
1

vishakha Jangir

 • 

Set2Score • 3d

𝗕𝗼𝗮𝘁 𝗰𝗼𝗺𝗽𝗮𝗻𝘆 𝗳𝗶𝗻𝗮𝗻𝗰𝗶𝗮𝗹 𝗮𝗻𝗮𝗹𝘆𝘀𝗶𝘀: 📍Financial Performance Overview. : Revenue: ₹3,122 crore in FY24, a 5% decline from ₹3,285 crore in FY23. Net Loss: Reduced by 47% to ₹53.5 crore in FY24 from ₹101 crore in FY23. EBIT

See More
0 replies12 likes
1

Download the medial app to read full posts, comements and news.