Cash and cash equivalents
Indicates the cash and cash equivalents provided by the various capital flows and is the result of the cash flow accounting
Cash flow from financing activities
Indicates the balance of cash and cash equivalents provided to or used by a company in connection with transactions involving shareholders’ equity or outside capital
Cash flow from investment activities
Indicates the balance of cash and cash equivalents that a company has invested or received in connection with the acquistion or sale of financial and tangible assets
Cash flow from operating activities
Indicates the change in cash and cash equivalents resulting from operative business during the period under review
The organizational structure and content of the way companies are managed and controlled
Indicates the ratio between a dividend and a defined share trading price – typically the year-end trading price. The dividend yield expresses the magnitude of the effective yield of the capital invested in shares.
Calculation: Dividend ÷ Trading Price x 100
Describes the relationship between shareholder’s equity and total capital. The more shareholders’ equity that is available to a company, the better its credit rating will typically be.
Calculation: Shareholders’ Equity ÷ Balance Sheet Total x 100
The free-float includes all shares that are not held by major shareholders; i. e. shares that can be acquired and traded by the general public. Under Deutsche Börse’s definition, shares totaling over 5 percent of total equity or over 25 percent held by investment funds are not considered to be part of the free-float.
Gross domestic product (GDP)
Value of economic performance stemming from the domestic production of goods and services during the reporting period
Indicates the ratio between gross profit and net sales, enabling conclusions to be drawn regarding a company‘s production efficiency.
Calculation: Gross Profit ÷ Net Sales x 100
The result of net sales less cost of sales.
Calculation: Net Sales – Cost of Sales
Indicates the current market value of a company’s share holders’ equity on the stock exchange.
Calculation: Number of Shares Outstanding x Trading Price
Operating profit (EBIT)
Operating profit (earnings) before interest and taxes.
Calculation: Net Income ± Financial Income / Expenses ± Income Taxes ± Gain / Loss from Investment
Operating profit margin (ebit margin)
The ratio between operating profit and net sales – the higher the ratio, the higher the profitability of operating activities.
Calculation: Operating Profit (EBIT) ÷ Net Sales x 100
Research and development expense ratio
Is an expression of the relationship between the volume of research and development expenses and the volume of net income generated. Is thus considered to be an indicator of a company’s willingness to invest in its own innovation activities.
Calculation: R & D Expenses ÷ Net Income x 100
Return on capital employed (ROCE)
Ratio between operating profit and the total capital employed during a period.
Calculation: EBIT ÷ (Net) Assets + Working Capital x 100
Return on equity
Provides information about the yield on the equity provided by shareholders.
Calculation: Net Income ÷ Shareholders’ Equity x 100
A liquidity parameter that indicates the surplus of a company’s assets that are capable of being liquidated short term (within one year) over its short-term liabilities. Absolute calculation: Current Assets – Short-Term Borrowed Capital;
Relative calculation: Current Assets ÷ Short-Term
Borrowed Capital x 100
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