earnings before taxes

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Related to earnings before taxes: EBIT

Earnings before taxes (EBT)

A financial measure defined as revenues less cost of goods sold and selling, general, and administrative expenses. In other words, operating and nonoperating profit before the deduction of income taxes.

Earnings Before Taxes

A measure of a company's ability to produce income on its operations in a given year. It is calculated as the company's revenue less its expenses (such as overhead), but not subtracting its tax liability. EBIT represents cash available to pay off creditors in the event of liquidation, and, as such, it is closely watched, especially when comparing companies in jurisdictions with different tax laws. However, it is not as common a measure as earnings before interest and taxes.

earnings before taxes

References in periodicals archive ?
Earnings before taxes were $3,576,000, as compared with a loss before taxes of $25,582,000 for the second quarter of 2000, an increase of $29,158,000.
The formula to compute return on assets is simply annual earnings before taxes divided by the dollars of total assets on your balance sheet.
Here the discussion is between using earnings before taxes or earnings before interest and taxes.
Inc., parent company to Miller Brewing Co., recently announced that consolidated operating revenues, operating income, earnings before taxes, and net earnings increased for both the third quarter and first nine months of 1990.
Earnings before taxes was up by 177% during the quarter to CAD21.1m, as compared with CAD7.6m in the corresponding quarter of the prior year.

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