Investors

Definitions and glossary

Average number of employees during the year
Total number of hours worked divided by the number of hours worked per year (1,920 hours).

Capital employed
Total assets less noninterest-bearing liabilities and noninterest- bearing provisions. Average capital employed is calculated as capital employed at the start of the year plus capital employed at the end of the year, divided by two.

Cash flow from operating activities per share
Cash flow from operating activities for the period divided by the weighted average number of shares.

Cash flow per share
Cash flow for the year divided by a weighted average number of shares outstanding. For cash flow per share after the dilutive effect see "Earnings per share after dilution" below.

Debt-equity ratio
Interest-bearing liabilities divided by shareholders' equity including minority interests.

Dividend yield
Dividend per share divided by the year-end share price.

Earnings per share
Majority owner's share of net profit for the year divided by a weighted average number of shares outstanding.

Earnings per share after dilution
Majority owner's share of net profit for the year after tax, adjusted for interest expenses after taxes pertaining to outstanding convertibles, divided by a weighted average number of common shares adjusted for the dilutive effect of convertibles. The dilutive effect of convertibles consists of the number of shares that would be issued upon full conversion.

Equity ratio
Shareholders' equity including minority interests, as a percentage of total assets.

Interest cover ratio
Profit after financial items plus financial expenses, divided by financial expenses.

Like-for-like sales
Like-for-like sales refer to store sales reported on the basis of an entire comparison period, i.e., both years.

Margin after financial items
Profit after financial items as a percentage of net sales for the year.

Net asset value per share
Shareholders' equity divided by the number of shares outstanding. For net asset value per share after the dilutive effect, see "Earnings per share after dilution" above.

Net debt
Cash and cash equivalents plus interest-bearing receivables less interest-bearing liabilities and provisions.

Net debt-equity ratio
Interest-bearing liabilities and provisions less cash and cash equivalents and interest-bearing receivables, divided by shareholders' equity including minority interests.

Operating margin
Operating profit as a percentage of net sales for the year.

P/E multiple after dilution
Share price in relation to earnings per share after dilution.

P/E multiple before dilution
Share price in relation to earnings per share.

Return on capital employed
Profit after financial items, plus financial expenses, as a percentage of average capital employed.

Return on shareholders' equity
Majority owner's share of net profit for the year as a percentage of the majority owner's share of average shareholders' equity. Average shareholders' equity is calculated as shareholders' equity at the start of the year plus shareholders' equity at the end of the year, divided by two.

Shareholders’ equity per share
Equity attributable to owners of the parent divided by the number of shares.

See also:

Industry related glossary

Sustainability glossary