What is the meaning / definition of EBITDAR in the hospitality industry?

EBITDAR stands for: Earnings Before Interest, Taxes, Depreciation, Amortisation, and Rent

It is the same calculation as EBITDA, with the exception that rents and/or restructuring costs are excluded from the expenses.

It is useful KPI for hotels to evaluate its financial performance.

How do you calculate EBITDAR?

EBITDAR Formula for Hotels, by Xotels

  • EBITDAR Formula:ย Revenue – Expenses*

*Expenses in this case are excluding tax, interest, depreciation, amortization and rent (or restructuring) cost

See Also:

Subscribe to our free newsletter

Enjoy the latest trends shaping the hotel industry.

*By subscribing, you agree to receive communications from Xotels as perย ourย Terms & Conditions.

TURNING LOOKERS INTO BOOKERS

FREE AI-powered Hotel Marketing

Driving people from trip inspiration to booking.