← Back to glossary Category: Financiar · Acronym: EBITDA EBITDA Quick answer: Operating profit before interest, taxes, depreciation and amortization — a measure of operating performance. Key takeawaysGross margin (cost of goods sold)Operating costs (logistics, staff, errors)Avoidable penalties and losses What EBITDA is EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) is operating profit before interest, taxes, depreciation and amortization. It shows how much the core business generates, independent of financing and accounting policies. Why it matters to the board EBITDA is the preferred metric in valuations and cross-company comparisons because it removes capital-structure and depreciation effects. It's also a useful proxy for operating cash flow. What influences EBITDA in operations Gross margin (cost of goods sold) Operating costs (logistics, staff, errors) Avoidable penalties and losses How Azuvio helps Azuvio is not accounting software, but it indirectly improves EBITDA by reducing avoidable operating costs: manual work, chargebacks, dead stock and retail penalties. Frequently askedIs EBITDA the same as net profit?No. Net profit is after interest, taxes and depreciation; EBITDA excludes them, to show pure operating performance.Does Azuvio do the accounting for EBITDA?No. Azuvio is an operational layer, not accounting. It contributes to EBITDA by reducing operating costs, and clean data flows into the accounting ERP. Where Azuvio fitsConectori ERPSoftware OMSSoftware WMS Related termsProfit and loss statement — Financial statement showing a company's revenues, expenses and result (profit/loss) over a period.Gross Margin — The difference between revenue and cost of goods sold, usually expressed as a percentage of revenue.Cash flow — The actual movement of money in and out of a company over a period — a measure of liquidity, not profit.ROI (Return on Investment) — The metric measuring the net gain of an investment relative to its cost: (benefit − cost) / cost. Last updated: 2026-07-06