Earnings Before Interest and Taxes (EBIT) is a financial metric that measures a company's profitability from its core operations. It represents the earnings generated before accounting for interest expenses and income taxes. This figure helps investors and analysts assess a company's operational efficiency without the influence of its capital structure or tax obligations. EBIT is often used in financial analysis to compare companies within the same industry, as it provides a clearer picture of operational performance. By focusing solely on earnings from operations, EBIT allows stakeholders to evaluate how well a company is managing its resources and generating profits.