EBIT Calculator is used to calculate the Earnings Before Interest and Taxes (EBIT) of a company

- EBIT:
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- What does EBIT mean?
- EBIT or Earnings before interest and taxes is an assessment of profit of a business and includes all expenses except interest and income tax expenses.

- Formula
- EBIT = Revenue - OPEX (Operating Expenses)
- OR
- EBIT = Net Income + Interest + Taxes

- Example
Suppose a company manufacturers harvester for commercial use. This year its income statement report has the following:-

**Sales:**$1,000,000**CGS:**$650,000**Gross Profit:**$350,000**OPEX:**$200,000**Interest Expense:**$50,000**Income Taxes:**$10,000**Net Income:**$90,000

Therefore, the company earned a profit of $90,000 for this year. According, to the formula EBIT for the year equals $150,000.