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Operating income

Kai Explains

What’s the best way to measure corporate performance?

by Kai Ryssdal and Maria Hollenhorst
Feb 18, 2022
“There isn’t one,” said Patrick Badolato, a professor of accounting. But investors and analysts use “net income” and “EBITDA” in their attempts.
Obscure financial metrics "seem to tell a nice and neat and tidy story, and the reality is messy and nuanced,” said Patrick Badolato, an associate professor of accounting at the University of Texas.
George Marks/Retrofile/Getty Images
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