Benchmark Report

SEPTEMBER 14, 2022

The adjusted EBITDA is meant to find a company’s true normalized earnings by taking away any outside influences or ownership influences on the company’s bottom line. In the world of small to mid-market mergers and acquisitions, a number that is very important is a company’s adjusted EBITDA.

EBITDA 52

EBITDA Normalized Earnings Marketability 52

Chris Mercer

NOVEMBER 15, 2022

million value with non-normalized earnings is $19.3 Now we can see why it is essential to normalize when valuing minority interests. No informed seller would sell at the lower value implied by using non-normalized EBITDA in the appraisal. The present value based on these assumptions is $11.65 million ($29.0

Business Valuation 52

Business Valuation Normalized Earnings EBITDA Appraisal 52

Viking Mergers

MARCH 24, 2022

SDE is variously referred to as Seller’s Discretionary Cash Flow, Adjusted Cash Flow, Owner Benefit, Recast Earnings, or Normalized Earnings, although Seller’s Discretionary Earnings is the official terminology advocated by the International Business Broker’s Association (IBBA). SDE vs EBITDA.

EBITDA 130

EBITDA Business Valuation Normalized Earnings Marketability 130

Class VI Partner

NOVEMBER 14, 2022

Many private equity groups have pointed to their challenges in determining what they consider to be true normalized earnings, given the unique business elements of the last couple of years, both positive and negative. As a result, they are relying heavily on buy-side quality of earnings reports and ramping up financial diligence.

Equity 52

Equity Normalized Earnings Finance EBITDA 52

Class VI Partner

JULY 28, 2021

Net Income Net Income can refer either to pre- or post-tax net earnings of a company, which is defined as revenues or sales, less cost of sales, less operating expenses, less interest, and either before or after taxes.

Book Value 52

Book Value Equity Enterprise Value Fair Market Value 52