Alternative measures

In many areas within the Elma Group, the financial reporting includes the use of alternative performance measures (APMs).

In many areas within the Elma Group, the financial reporting includes the use of alternative performance measures (APMs) which are not defined in the Swiss GAAP ARRs. These APMs should not be viewed in isolation or as a substitute for other reporting metrics, but should be regarded as supplementing those financial key performance indicators whose use is specified in the Swiss GAAP ARRs.

In accordance with the SIX Swiss Exchange’s Directive on the Use of Alternative Performance Measures of March 20, 2018 with entry into effect on January 1, 2019, the APMs used by the Elma Group are explained as follows:

Order Income
The order income includes deliveries within the next six months. Call orders are only disclosed if the partial delivery is scheduled within the next six months

EBITDA 
Earnings before Interest, Income Taxes as well as Depreciation and Amortization on fixed assets and intangible assets

EBITA
Earnings before Interest, Income Taxes and Amortization on intangible assets

EBIT 
Operating result, i.e. net sales less cost of goods sold, sales and administrative expenses as well as other operating expenses plus other operating income before financial result, non-operating result and income taxes

ROE (Return on Equity)
Return on equity, i.e. net profit divided by the average equity

Net debts
Short-term and long-term interest-bearing financial liabilities minus cash

Free Cash Flow
Cash flow from operating activities minus cash flow from investing activities

ROCE
EBITA/(equity plus interest-bearing debt) in%

Net debts ratio
Net financial debts /EBITDA

Adjusted for currency translation effects

Order income and net sales are also shown adjusted for currency translation effects. Foreign currency effects are adjusted by converting orders and net sales for the current reporting period using the average exchange rates for the same period in the previous year

Stock market capitalization
The stock exchange listed capitalization is equivalent to the share closing price, multiplied by the number of shares on the reporting date