reconciliation of non-GAAP EBIT and EBITDA

quarterly, fiscal 2019 to present

Background

We have presented earnings from continuing operations before interest expense and income taxes (EBIT) and earnings from continuing operations before interest expense, income taxes, depreciation, and amortization (EBITDA) as non-GAAP financial measures. We believe these measures provide meaningful information about our operational efficiency compared with our competitors by excluding the impact of differences in tax jurisdictions and structures, debt levels, and, for EBITDA, capital investment. These measures are not in accordance with, or an alternative to, generally accepted accounting principles in the United States (GAAP). The most comparable GAAP measure is net earnings from continuing operations. There was no impact from discontinued operations for 2020 and beyond; therefore, for 2020 to 2023 and interim periods therein, net earnings from continuing operations equals net earnings. EBIT and EBITDA should not be considered in isolation or as a substitution for analysis of our results as reported in accordance with GAAP. Other companies may calculate EBIT and EBITDA differently, limiting the usefulness of the measures for comparisons with other companies.

2023

2022

2021

(millions) (unaudited)

Q4 (a)

Q3

Q2

Q1

4Q

3Q

2Q

1Q

4Q

3Q

2Q

1Q

Net earnings from continuing operations

$ 1,382

$

971

$

835

$

950

$ 876

$

712

$

183

$ 1,009

$ 1,544

$ 1,488

$

1,817

$ 2,097

+ Provision for income taxes

404

264

237

254

167

197

34

240

473

423

553

512

+ Net interest

expense

107

141

147

129

125

112

112

104

105

104

108

107

Earnings from continuing operations before

interest expense and income taxes (EBIT)

1,893

1,342

1,213

1,351

1,172

1,034

329

1,361

2,121

2,016

2,474

2,717

+ Depreciation

and amortization (b)

729

722

683

667

697

674

650

679

690

652

633

667

EBITDA

$ 2,622

$ 2,064

$ 1,896

$ 2,018

$ 1,869

$ 1,708

$ 979

$ 2,040

$ 2,811

$ 2,668

$ 3,107

$ 3,384

2020

2019

(millions) (unaudited)

4Q

3Q

2Q

1Q

4Q

3Q

2Q

1Q

Net earnings from continuing operations

$ 1,380

$ 1,014

$

1,690

$

284

$

833

$

706

$

938

$

792

  • Provision for income taxes
  • Net interest expense

350

284

499

45

218

195

279

229

106

632

122

117

118

113

120

126

Earnings from continuing operations before interest expense and income taxes (EBIT)

+ Depreciation and amortization (b)

1,836

1,930

2,311

446

1,169

1,014

1,337

1,147

637

603

604

641

699

637

624

644

EBITDA

$ 2,473 $ 2,533 $ 2,915 $ 1,087 $ 1,868 $ 1,651 $ 1,961 $ 1,791

  1. The fourth quarter 2023 consisted of 14 weeks compared with 13 weeks in the comparable periods presented.
  2. Represents total depreciation and amortization, including amounts classified within Cost of Sales.

Last Updated: 3/5/2024

reconciliation of non-GAAP EBIT and EBITDA

annual, fiscal 2019 to present

(millions) (unaudited)

2023 (a)

2022

2021

2020

2019

Net earnings from continuing operations

$

4,138

$

2,780

$

6,946

$

4,368

$

3,269

+ Provision for income taxes

1,159

638

1,961

1,178

921

+ Net interest expense

502

478

421

977

477

EBIT

5,799

3,896

9,328

6,523

4,667

+ Depreciation and amortization (b)

2,801

2,700

2,642

2,485

2,604

EBITDA

$

8,600

$

6,596

$

11,970

$

9,008

$

7,271

  1. 2023 consisted of 53 weeks compared with 52 weeks in the comparable periods presented
  2. Represents total depreciation and amortization, including amounts classified within Cost of Sales.

Last Updated: 3/5/2024

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Target Corporation published this content on 05 March 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 05 March 2024 11:48:05 UTC.