Operating Income and EBITDA, or Earnings Before Interest, Taxes, Depreciation, and Amortization, are two important financial metrics used to measure a company’s profitability. Operating Income is the profit a company earns from core business operations after deducting operating expenses such as cost of goods sold, depreciation, and other operating expenses. On the other hand, EBITDA is typically used by investors as an indicator of a company’s financial health since it ignores non-operational expenses like interest payments and taxes. With this metric, you can quickly assess how profitable the company’s core operations are. While both metrics provide valuable insights into a company’s financial performance, it’s important to note that EBITDA focuses solely on operational results while Operating Income is a more comprehensive measure of profitability.