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Yes, EBITDA Margin can be negative. When a company is positive it is due to good efficiencies processes that have kept certain expenses low. While Negative EBITDA can suggest the contrary.

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Q: Can a ebitda percentage margin be negative?
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Continue Learning about Basic Math

How do you convert a percentage into a fraction?

Divide by the sum of the primitive function of the percentage, accounting for a negative definite integral.


What ratio indicated the percentage of each sales dollar that is available to cover fixed costs and to provide profit?

Contribution margin ratio


How do you calculate a percentage change in excel if one number is negative?

To find the percentage change, you divide the change from initial to final by the absolute value of the initial value and then multiply by 100%. As an example: if the initial value is in cell A1 and the final value is in cell A2, the formula for percent change would be: =(A2-A1)/ABS(A1). You can EITHER multiply that value by 100 to get the percentage OR format the cell to display the number as a percentage. If the original number is negative and the final number is less (even more negative) - this makes the percentage change negative. If the original number is negative and the final number still negative but greater (closer to zero) then this would be an increase even though it would be less negative so the percent change would be positive. If the original number is negative and the final number zero or positive, this would still constitute an increase so the percentage change would be positive. If the initial number was positive and the final number negative, then this would be a pretty obvious decrease and the percentage change would be negative.


How do you calculate a percentage change increase or decrease?

the new value minus the old value, then divide it by the old value, times 100%, if the value is positive, it's the percentage increase, if it's negative, it's the percentage decrease.


How would you find the estimated percentage error?

Go find out.Or:(calculated value) - (actual value)---------------------------------------- * 100(%) = percentage of error(actual value)(if the top value is negative, just switch the two or multiply by -1)

Related questions

How do you calculate EBITDA percent Margin?

EBITDA Margin = EBITDA/Sales


What is EBITDA margin?

EBITDA Margin is the ratio of EBITDA to Sales Revenue. Example: Revenue of $10,458 and EBITDA of $871 yeilds EBITDA Margin of 8.3%.


What is meant by a EBITDA margin?

A EBITDA margin is a way for companies to measure their profitability. This margin is equal to their earnings before interest, depreciation, tax, and amortization divided by the total revenue of the company. It is important to note that an EBITDA margin doesn't take into amortization and depreciation and therefore an investor who is interested in the company is able have a cleaner view of the main profits of the company (profits that are not influenced by depreciation and amortization). Essentially, the higher a EBITDA margin is, the less operating costs the company must pay, and therefore more overall profitability in its operation.


Is EBIT equal to operating profit margin?

Its normally EBITDA and yes it is.


Is that good to have negative EBITDA?

Not necessarily. A negative EBITDA implies that the entity is not capable to cover its interest and tax payments with its operating profits.


What is a good EBITDA?

Depends on what you're comparing it to. Since EBITDA is a dollar amount, it's not really something you can compare between companies, especially of different sizes. Obviously, you want EBITDA to be positive, as it is essentially revenue. It would help with comparisons to convert it to a percentage change. (EBITDA2 - EBITDA1)/(EBITDA1) where EBITDA2 is EBITDA at period 2 and EBITDA1 is EBITDA at period 1. That way, you can see how much EBITDA has grown for a given company in a percentage. Then, you can compare it to similar companies. Higher is usually better.


Gross profit margin define?

EBITDA Earnings Before Interest Tax Depreciation and Amoortisation Also Revenue minus costs.


How do you calculate net profit margin if there is net loss?

The Gross Profit Margin = Gross Profit/Revenue*100 regardless of weather the Gross Profit is positive or negative (a loss). Therefor, it is acceptable to have a negative Gross Profit Margin.


What is the difference between net and gross margin?

Gross margin is Gross income as a percentage of revenue. Net Margin is net income as a percentage of revenue.


Can the margin of safety ever be negative?

yes it can be negative.


What is gm percentage?

Gross Margin % which is calculated as Gross Margin / Sales


Can a profit margin ratio be negative?

A profit margin can be negative if the company had a negative net income. For eample if the company had $100,000 in net sales, but their net income was ($10,000) then (10,000)/100,000 = (10%) or negative 10%.