Nextwave Wireless (fka WAVE)

[Ecostate]

i like this from yahoo - Nextwave Wireless' EBITDA Turns Positive for its Fourth Quarter
04/20/2010

New York, NY, April 20, 2010-Ebitda News reports that EBITDA for Nextwave Wireless, Inc. (NASDAQ:WAVE) for its fourth quarter ended December 31, 2009 was a positive $23,581,000, compared with a negative EBITDA of $(926,000) for the comparable year earlier quarter. Prior to this positive quarter Nextwave Wireless had generated fifteen consecutive quarters of negative EBITDA. EBITDA for the most recent quarter also reached a three year high.

For Nextwave Wireless' twelve months ended December 31, 2009 EBITDA was $(32,828,000), compared with $(164,323,000), a 80% improvement over the comparable year earlier twelve months. EBITDA for the most recent twelve months also reached a three year high.

The shares of Nextwave Wireless were recently trading at $0.47.

EBITDA defined by Ebitda News:

EBITDA is an acronym for (Earnings Before Interest Taxes Depreciation & Amortization) and it is calculated by taking Operating Income and adding or subtracting depreciation and/or amortization.

EBITDA is a relatively new performance metric that came into vogue during the 1980s.
The reason why is because corporations in the 1980s significantly increased the use of debt to finance their operations and acquisitions. Many investors and analysts believe that the increased interest expense as a percentage of total income due to the significant increase in debt masks the performance of an operating business and thus reduces the valuation of that business when traditional valuation metrics such as after tax income are utilized. EBITDA was created so that investors and analysts would be able to understand a company’s cash earnings power before non-cash items such as depreciation and amortization and interest and taxes were expensed. EBITDA has also become an increasingly popular performance measure for global investors and analysts because many countries have varying corporate tax rates. The simple theory behind EBITDA is that it is the actual profit that a business or corporation would generate if it were to be sold to an all cash buyer.

Ebitda News is currently the only "EBITDA" news source for over 8,000 public companies for monitoring and reporting on EBITDA. It currently publishes over 30,000 stories per year related to EBITDA and is the leading global source for EBITDA related news. Ebitda News’s company, industry, indices, sector and ETF news and archives are available at www.StockTrendNews.com.