EBITDA,sometimes called operating profit,is often emphasized by telecommunications companies because of their lack of real profitability.

Question

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EBITDA is often emphasized by telecommunications companies because it provides a better reflection of their operating performance by excluding non-operating expenses and non-cash items, such as depreciation and amortization, which can give a distorted view of profitability. However, this does not mean that telecommunications companies lack real profitability.

EBITDA,sometimes Called Operating Profit,is Often Emphasized by Telecommunications Companies Because