Formula
(This period EBITDA - last period EBITDA) / last period EBITDA.
What it means
EBITDA growth is the pace of cash operating profit before capital spending. It is common in businesses where depreciation and financing hide the operating trend.
It should be read with EBITDA margin so that a larger company is not confused with a better one.
How to read it
EBITDA growing faster than revenue means the operating margin expanded. Growing slower means costs, mix, or price gave ground.
What to watch
If EBITDA grows while operating cash flow does not, working capital or cash costs that EBITDA ignores are absorbing the gain.
This note explains the term. It is not a research recommendation, a target price, or a comment on any security. Ratios and regulatory thresholds change; use the latest filing or circular for a live figure.