EBIT is essentially a financial metric that indicates profitability, making it useful for stock analysis. Image source: Getty Images. To calculate a company's EBIT, start with its total revenue.

Calculating taxes in operating cash flow involves reverse-engineering the following equation: Operating Cash Flow = EBIT + depreciation - taxes, where EBIT refers to earnings before interest and ...

Operating income is often used interchangeably with the acronym EBIT, which stands for earnings before interest and tax, and that is the reason EBIT margin is often referred to as operating margin.