Community Adjusted EBITDA

The Community Adjusted EBITDA is the gauge devised by WeWork to measure net income without the interest, taxes, depreciation, and amortization, also including the “building and community level operating expenses”, such as rent and tenancy expenses, utility, internet, salaries of the building staff, and the cost of building amenities. Considered as a controversial financial metric, Community Adjusted EBITDA also includes management expense for active WeWork buildings. The investor presentation focuses on a non-GAAP income measure it calls “community-adjusted EBITDA”. That's essentially EBITDA excluding the cost of sales.