EBITDA margins in interactive media sector have grown from 2003 to 2007, from 20% in 2003, to 34% in 2007. Why
Please provide links to sources to back up your answers. Doing this for my school research.
- 1 decade agoFavorite Answer
The sector itself has seen exponetial growth (You can find a site for this). The real question though is why is EBITDA bad, or how does EBITDA affect the way things are reported? For that, see the link below and go to the Bad and the Ugly section.
You can draw some conclusions, such as they are reporting only their expected cash, not including their costs (such as amortization, cost to expand (capital investments) etc). I know this is not 100% the answer, but if I give it all to you, then what will you learn, right?
Good luck!Source(s): See: Bad and Ugly - http://www.investopedia.com/articles/analyst/02060...