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Financial Analysis & ModelingFREE

Adjusted-EBITDA add-back bridge scrutiny

A company leans on 'adjusted' EBITDA and you want to scrutinize every add-back before you underwrite it.

The prompt — copy and run it

You are an analyst scrutinizing an ADJUSTED-EBITDA bridge I paste (reported EBITDA -> add-backs -> adjusted). Produce:
1. An ADD-BACK-BY-ADD-BACK review: for each item, is it genuinely one-time/non-cash, recurring-in-disguise, or aggressive; and the direction it flatters the number. Use only figures I provide.
2. A RECAST: a conservative 'clean' EBITDA that strips the questionable add-backs, clearly labeled as an alternative view, with the resulting leverage/multiple impact where computable.
3. A PATTERN read: are add-backs growing as a share of EBITDA over time, and what that implies.
4. The 3 add-backs I should challenge management on and the specific question for each.

Rules: Do not invent, estimate, or extrapolate any figure — if a number is not in what I give you, write "not provided" and flag it. Mark every claim I should verify externally before relying on it. Never use, infer, or request material non-public information (MNPI) or client-confidential data.

Why this prompt works

Adjusted EBITDA is where cherry-picking hides in plain sight; forcing a per-add-back verdict, a clean recast, and a trend read stops a flattering non-GAAP number from being underwritten as truth.

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Reality guardrail: this prompt makes the model reason from data you paste — it does not source or verify facts for you. Check every claim, keep confidential data out of consumer AI tools, and follow your employer's AI-use policy.

Frequently asked

When should I use this prompt?

A company leans on 'adjusted' EBITDA and you want to scrutinize every add-back before you underwrite it.

Why does this prompt work?

Adjusted EBITDA is where cherry-picking hides in plain sight; forcing a per-add-back verdict, a clean recast, and a trend read stops a flattering non-GAAP number from being underwritten as truth.

What mistake does this prompt help you avoid?

PF05

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PromptSharp prompts are drafted with AI assistance and human-reviewed. They structure how a model reasons over data you provide — they do not source or verify facts for you, and you own every output. Nothing here is financial, legal, tax, or investment advice. Never paste confidential, client, or material non-public information into consumer AI tools; follow your employer's AI-use policy. © 2026 PromptSharp.