How do you calculate IBIDA?

Answer 1

IBIDA, or Interest, Taxes, Depreciation, Amortization, and Debt Adjustment, is calculated by taking a company's operating income and adding back interest expenses, tax expenses, depreciation, and amortization. This metric provides a clearer picture of a company's operational performance by excluding non-operational costs. To calculate IBIDA, use the formula: IBIDA = Operating Income + Interest + Taxes + Depreciation + Amortization. Adjustments for debt may also be included depending on the specific analysis being performed.