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EBITDA, short for Earnings Before Interest, Taxes, Depreciation, and Amortization, is a financial metric used to measure a company's profitability. It helps investors understand a company's performance by excluding certain expenses. Imagine a business's total earnings, but we don't count the cost of borrowing money (interest), taxes paid, or the value of assets losing over time (depreciation and amortization). That's EBITDA! It's a simple way for kids and beginners to grasp a company's CORE earnings.

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