Acquired growth¹
Changes in net sales attributable to business combinations compared with the corresponding period in the preceding year.
Acquired growth is used as a component to describe the trend in consolidated net sales, where acquired growth is distinguished from organic growth, divestments and exchange rate effects, see reconciliation table here.

Capital employed¹
Total assets less non-interest-bearing liabilities and provisions.
Capital employed shows what proportion of the Company’s assets have been lent by the Company’s shareholders or that have been lent by lenders, see reconciliation table here.

Cash flow from operating activities per share¹
Cash flow from operating activities, divided by the average number of shares outstanding following repurchases.
This measure is used for investors to be able to easily analyse the scale of the surplus from current operations generated per share.

Debt/equity ratio¹ ²
Financial net debt divided by equity.
A measure used to analyse financial risk.

Earnings per share
Shareholders’ share of profit after tax for the period, divided by the weighted average number of shares during the period.

Earnings per share after dilution
Shareholders’ share of profit after tax for the year, divided by the weighted average number of shares outstanding and adjusted for additional shares from the exercise of options outstanding.

EBITA¹
Operating profit before amortisation of intangible non-current assets.
EBITA is used to analyse the profitability generated by the operating activities, see reconciliation table here.

EBITA margin¹

EBITA as a percentage of net sales.
EBITA margin is used to show the degree of profitability of the operating activities.

EBITDA¹
Operating profit before depreciation/amortisation and impairment.
EBITDA is used to analyse the profitability generated by the operating activities, see reconciliation table here.

Equity/assets ratio¹ ²
Equity as a percentage of total assets.
The equity/assets ratio is used to analyse financial risk and shows what proportion of assets are financed through equity.

Equity per share1
Equity divided by number of shares outstanding on the balance sheet date.
This figure measures how much equity is attributable to each share and is presented to facilitate investors’ analyses and decisions.

Financial net debt¹
The net of interest-bearing liabilities and provisions, less cash and cash equivalents.
Net debt is used to monitor the debt trend, analyse the Group’s borrowing and its ability to repay its debts with cash and cash equivalents generated from the Group’s operating activities if all liabilities matured today, as well as any refinancing necessary.

Financial net debt/EBITDA¹
Financial net debt divided by EBITDA.
Comparing financial net debt to EBITDA provides a key financial indicator for net debt in relation to cash- generating earnings in the operations, that is, it provides an indication of the company’s ability to pay its
debts. This measure is generally used by financial institutions to measure creditworthiness.

Interest coverage ratio¹
Profit after net financial items plus interest expenses and bank charges, divided by interest expenses and bank charges.
This key financial indicator measures the Group’s capacity to generate a sufficiently large surplus through its operations and financial income to cover its financial expenses, see reconciliation table here.

Net debt excluding pensions¹
The net of interest-bearing liabilities and provisions, excluding pensions, less cash and cash equivalents.
A measure used to analyse financial risk, see reconciliation table here. 

Net debt/equity ratio, excluding pensions¹ ²
Net debt, excluding pensions, divided by equity.
A measure used to analyse financial risk, see reconciliation table here.

Net financial items¹
Financial income less financial expenses.
Used to describe the trend in the Group’s financial activities.

Net investments in non-current assets¹
Investments in non-current assets less disposals of non-current assets.
The measure is used to analyse the Group’s investments in renewing and developing its property, plant and equipment.

Number of shares outstanding
Total number of shares less treasury shares repurchased by the Company.

Operating margin¹
Operating profit as a percentage of net sales.
The measure is used to indicate what percentage of sales remains to cover interest and tax and to provide profit, after the Company’s expenses have been paid.

Operating profit¹
Operating income less operating expenses.
Used to describe consolidated earnings before interest and taxes.

Organic growth¹
Changes in net sales excluding currency effects, acquisitions and divestments compared with the corresponding period in the preceding year.
Organic growth is used to analyse the underlying sales growth driven by changes in volume, product range and price for similar products between different periods, see reconciliation table here.

Profit after financial items¹
Profit before tax for the period.
Used to analyse the operations’ profitability, including financial activities.

Return on capital employed¹
Profit after financial items plus financial expenses as a percentage of capital employed. The components are calculated as the average for the past 12 months.
Return on capital employed shows the Group’s profitability in relation to externally financed capital and equity, see reconciliation table here.

Return on equity²
Profit after tax divided by equity. The components are calculated as the average for the past 12 months.
From the shareholder perspective, return on equity measures the return provided on shareholders’ invested capital.

Return on working capital (P/WC)¹
EBITA divided by working capital.
P/WC is used to analyse profitability and is a measure that attaches a premium to high EBITA earnings and low working capital requirements.

Working capital¹
Working capital (WC) is measured by means of an annual average, de-fined as inventories plus accounts receivable less accounts payable.
Working capital is used to analyse how much working capital is tied up in the operations, see reconciliation table here.