amortization

noun

am·​or·​ti·​za·​tion ˌa-mər-tə-ˈzā-shən How to pronounce amortization (audio)
 also  ə-ˌmȯr-
1
: the act or process of amortizing
2
: the result of amortizing

Examples of amortization in a Sentence

Recent Examples on the Web
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
Its profit, as measured in earnings before interest, taxes, depreciation and amortization (EBITDA), grew to £228 million ($307 million), compared with £199 million in the previous year. Georg Szalai, HollywoodReporter, 15 July 2025 Longer term, the Fitch ratings assumes Macy’s can generate annual earnings before interest, taxes, depreciation and amortization of around $1.7 billion to $1.8 billion. David Moin, Footwear News, 14 July 2025 Despite owning a trio of market-leading businesses, the company still trades at a heavy discount: around seven-times earnings before interest, taxes, depreciation and amortization versus low to mid-teens for peers and even higher multiples for Tripadvisor historically. Kenneth Squire, CNBC, 12 July 2025 It’s been a winning strategy: the firm recorded $3 billion in EBITDA (earnings before interest, tax, depreciation and amortization) on $20.4 billion in sales in its latest financial year ending in August 2024. Danielle Chemtob, Forbes.com, 11 July 2025 See All Example Sentences for amortization

Word History

First Known Use

1810, in the meaning defined at sense 1

Time Traveler
The first known use of amortization was in 1810

Browse Nearby Words

Cite this Entry

“Amortization.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/amortization. Accessed 21 Jul. 2025.

More from Merriam-Webster on amortization

Last Updated: - Updated example sentences
Love words? Need even more definitions?

Subscribe to America's largest dictionary and get thousands more definitions and advanced search—ad free!