Non-operating activities include interest expenses, tax rates, and large non-cash items such as depreciation and amortization. By removing the non-operating effects, EBITDA gives investors the ability to focus on the profitability of their operations.
Thomas Edison once speculated: Genius is one percent inspiration and ninety-nine percent perspiration.
Edison is famous not only for his inventions but also his attitude on failure. In his mind failure was simply another stepping stone on the road to success. Unlike Michael Jordan however, Edisonâs rate of success was significantly below Jordanâs 50% average. But unlike the average person Edison continued to try and try again.