Käyttökateen

Käyttökate, often translated as operating income or earnings before interest, taxes, depreciation, and amortization (EBITDA), is a key financial metric used to assess a company's profitability from its core operations. It represents the earnings generated before accounting for financing costs, taxes, and the depreciation of assets. Essentially, Käyttökate shows how much cash a business is generating from its day-to-day activities.

The calculation of Käyttökate typically starts with a company's revenue and subtracts all operating expenses, excluding interest, taxes, depreciation, and amortization. It is a useful tool for comparing the operational performance of different companies, especially those with varying capital structures or tax jurisdictions. Analysts often use Käyttökate to gauge a company's ability to service its debt and to fund future investments. While it provides a good indication of operational cash flow, it does not represent the net profit of the company, as it excludes significant expenses like interest payments and taxes, as well as non-cash charges like depreciation. It is particularly important in industries with significant capital expenditures, where depreciation can be a substantial non-cash expense.