How new-age Indian tech companies like Paytm have aligned with global counterparts to keep ESOPs out of EBITDA

While tech advancements have accelerated globally and in India, there’s a critical need to tweak Esop Costs. Some experts even opine that keeping Employee Stock Options (ESOPs) outside the purview of operating EBITDA is best. This is because factoring it while calculating operating EBITDA can skew numbers for a company’s overall financial report card, thereby impacting its performance, growth and profitability. This factor is already creating hurdles for new-age tech Indian companies getting listed on Dalal street.