Funds From Operations Definition

Funds From Operations

Definition

FFO. A financial measure used by REITs to define their operating performance. FFO is calculated by adding depreciation and amortization expenses to earnings. This gives an idea of the REIT's cash performance, which is a better measure of the REIT's performance than earnings, which include (often large) non-cash items.

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Funds From Operations is ...
... part of the Earnings, Real Estate and Investor Relations subjects.

Related Terms

adjusted funds from operations - More