EBITDA Margin Calculator

Quick answer

The EBITDA margin calculator works out EBITDA as a percentage of revenue – from EBITDA directly or from operating income plus depreciation and amortization – to compare operating profitability across companies.

$
$
$
$
EBITDA
$ —
EBITDA margin
— %
Operating margin
— %

EBITDA margins vary by industry: software companies often exceed 30%, while retailers and restaurants may be below 10–15%.

How to use the EBITDA Margin Calculator

  1. Revenue
  2. Operating income (EBIT)
  3. Depreciation
  4. Amortization

Results update as you type, and every field accepts the units shown in its menu.

How it works

Enter revenue, operating income, depreciation and amortization.

Tips

  • Use consistent periods (a year or a quarter) for flow figures and period-end values for balances.
  • Average opening and closing balances when a ratio mixes a flow with a stock.
  • Benchmark against competitors in the same industry.
  • Read the ratio together with others – profitability, liquidity and efficiency tell different stories.

Common mistakes to avoid

  • Using sales instead of cost of goods sold for inventory ratios.
  • Mixing gross, operating and net profit.
  • Ignoring one-off items that distort a single year.

Inputs explained

Field What to enter
Revenue Amount in your currency
Operating income (EBIT) Amount in your currency
Depreciation Amount in your currency
Amortization Amount in your currency

What each result means

  • EBITDA = [Operating income (EBIT)] + [Depreciation] + [Amortization]
  • EBITDA margin = [EBITDA]÷[Revenue]×100
  • Operating margin = [Operating income (EBIT)]÷[Revenue]×100

Example values

How the main result changes when Revenue changes and everything else stays at the example values above:

Revenue EBITDA margin (%)
1,250,000 36
1,875,000 24
2,500,000 18
3,125,000 14.4
3,750,000 12
5,000,000 9

Formula

EBITDA = operating income + depreciation + amortizationEBITDA margin = EBITDA ÷ revenue × 100

Worked example

Inputs — Revenue: $2,500,000; Operating income (EBIT): $300,000; Depreciation: $120,000; Amortization: $30,000.
Results — EBITDA = $450,000.00; EBITDA margin = 18 %; Operating margin = 12 %.

Frequently asked questions

What is a good EBITDA margin?

It depends on the industry; above 15% is often considered good.

How is EBITDA margin different from operating margin?

It adds back depreciation and amortization.

Can EBITDA margin be negative?

Yes, if operating costs exceed revenue.

What formula does the EBITDA Margin Calculator use?

EBITDA = operating income + depreciation + amortization.

Sources

  1. Corporate Finance Institute – financial ratios

Cite this calculator

Speedy Calculator. (2026). EBITDA Margin Calculator. Speedy Calculator. https://speedycalculator.com/calculators/finance/ebitda-margin/