EBITDA Margin is a measure of how much profit a company makes from its core operations as a percentage of its revenue. It is calculated by dividing TTM EBITDA, which is earnings before interest, taxes, depreciation, and amortization for the trailing 12 months, by TTM Revenue, which is the total amount of money earned from selling goods and services for the trailing 12 months. It shows how much cash profit a company generates for every dollar of revenue. It does not include the effects of interest, taxes, or capital structure. The formula for EBITDA Margin is:
EBITDA Margin = (TTM EBITDA / TTM Revenue) * 100
Where:
- TTM EBITDA is TM007,
ttm_ebitda
- TTM Revenue is TM006,
ttm_net_sales