Finance Deals & Syndicated Lending · glossary
Earnings before interest, tax, depreciation and amortisation: roughly operating profit. Both Sunrise ratios use it, and it means whatever the definition says. Each cost left out as exceptional raises EBITDA and loosens both covenants. Definition: EBITDA · Chapter 9
Explained in Chapter 9, Undertakings and Financial Covenants, of Finance Deals & Syndicated Lending.
Also explained in Security & Collateral.
EBITDA stands for earnings before interest, tax, depreciation and amortisation. It is not an accounting standard, so it means whatever the contract says. The Sunrise definition starts from operating profit and excludes “exceptional and one-off items”.Read Chapter 9, Undertakings and Financial Covenants →
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the consolidated operating profit of the Group for the relevant period before taxation, before interest and other finance charges, and before depreciation, amortisation and impairment, adjusted to exclude exceptional and one-off items, all as determined from the consolidated financial statements of the Group;Read the definition in the document →
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