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EBIT

Earnings before interest and taxes (income taxes only).

What does EBIT mean?

EBIT is a performance indicator developed as a part of the International Financial Reporting Standards. EBIT is used to show the profitability of a business while simultaneously allowing comparisons with companies in similar industries. The EBIT margin assists in such comparisons by showing EBIT as a percentage of a company’s revenue.

Another key performance indicator for measuring a company’s operating earnings is EBITDA.

Further information on the calculation of EBIT and other profitability indicators can be found in our latest annual report.