Profitability Metrics
EBITDA, defined as earnings before interest, taxes, depreciation, and amortization, is a metric used to evaluate a company’s operating performance. It can be seen as a proxy for cash flow. It adds those four items back to a firm’s net income
Pre-tax, Pre-bonus Profit Margin on NSR
Survey Median Very High Profit Firm Median 16.0% 23.2% 24.9% Fast Growth Firm Median EBITDA Margin on NSR Survey Median Very High Profit Firm Median 17.0% 24.1% 27.2% Fast Growth Firm Median
2018 2019 2020 2021 2022
12.7% 13.9% 15.0% 15.6% 16.0%
2018 2019 2020 2021 2022
14.2% 16.3% 16.7% 16.3% 17.0%
THE PRINCIPALS ACADEMY 2022
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