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Definitions – including alternative performance measures

The Group’s financial reports contain financial ratios defined according to the IFRS. They also include measurements not defined according to the IFRS, known as alternative performance measures.

Organic growth, EBITA, Adjusted EBITA, EBITA margin and Adjusted EBITA margin are alternative performance measures for which detailed calculations are set out below. The purpose is to provide additional information for comparing performance between years while providing an indicator of the Group's performance and financial position. The alternative performance measures are used by management to monitor the business in the Group's financial targets. These alternative performance measures are important for understanding the underlying business.

 

Acquisition-related items
Depreciation/amortisation and impairment of goodwill and acquisition-related intangible assets, revaluation of contingent considerations and gains/losses on disposal of companies and operations.

Average number of FTEs
Average number of employees during the year converted to the equivalent number of year-long, full-time positions. The actual number of employees is higher, owing to part- time employment and the fact that some employees work for only part of the year.

Capacity utilisation
Time invoiced to clients in relation to total time all employees are present at work.

Cash flow per share
Cash flow from operating activities in relation to average number of outstanding shares.

Current ratio
Current assets in relation to current liabilities.

Dividend yield
Dividend per share in relation to share price at end of reporting period.

Earnings per share
Earnings attributable to the parent’s shareholders in relation to average number of outstanding shares. The Groups own shares are not regarded as outstanding shares.

EBITA
Earnings before interest, taxes and amortisation. Operating profit/loss with restoration of acquisition-related items.

EBITA margin
EBITA in relation to net sales.

EBITDA
Earnings before interest, taxes, depreciation and amortisation. Operating profit/loss before interest, taxes, impairment and depreciation/amortisation.

Equity per share
Equity attributable to the parent’s shareholders relative to total number of outstanding shares.

Equity ratio
Equity including non-controlling interests in relation to balance sheet total.

Growth-total
Growth between two periods presented in change in value or percentage. Calculation: Value (Net sales minus net sales comparison period) and percentage (Net sales minus net sales comparison period divided by net sales comparison period).

Growth-acquisitions
Net growth between net sales acquisitions and divested operations between two periods presented in a change in value or percentage. The net sales of the acquired or divested unit is included in the calculation 12 months from the impact of the acquisition or divestment on earnings. Calculation: Value (Net sales acquisition minus net sales divestment minus corresponding calculation in the comparison period) and percentage (Net sales acquisition minus net sales divestment minus corresponding calculation comparison period divided by total net sales comparison period).

Growth-currency
Net currency impact between two periods presented in change in value or percentage. Calculation: Value (Net sales minus the corresponding net sales recalculated with the exchange rates of the comparison period) and percentage (Net sales minus the corresponding net sales recalculated with the exchange rates of the comparison period divided by the net sales comparison period).

Growth-organic
Growth adjusted for acquisitions, divestments and currency effects between two periods presented in a change in value or percentage. Calculation as follows: Value (Net sales minus net sales for acquisitions, divestment and currency impact) and percentage (Net sales minus net sales for acquisitions, divestments and currency effects divided by net sales comparison period).

Growth-due to calendar
Calendar impact between two periods presented in change value or percentage. Calculation: Value (Difference in working hours between two periods divided by the total number of working hours of the comparison period multiplied by the total net sales of the comparison period) and percentage (Difference in working hours between two periods divided by the total number of working hours multiplied by the total net sales of the comparison period divided by the net sales comparison period).

Growth-adjusted organic
Organic growth adjusted for calendar impact between two periods presented in change in value or percentage. Calculation: Value (Organic growth minus calendar impact) and percentage (Organic growth minus calendar impact divided by net sales comparison period).

Interest cover
Profit/loss after financial items with restoration of financial expenses in relation to financial expenses.

Items affecting comparability
Refers mainly to costs of restructuring and costs for major acquisitions. Other one-off items may also be reported as items affecting comparability in the cases where this gives a fairer picture of the underlying operating profit.

Net debt
Interest-bearing liabilities (excluding contingent considerations) and pension provisions less cash, cash equivalents and interest-bearing receivables.

Net debt/equity ratio
Net debt in relation to equity including non-controlling interests.

Number of employees
Total number of employees at end of reporting period.

Operating margin
Operating profit in relation to net sales.

Operating profit (EBIT)
Profit/loss before net financial items and tax (earnings before interest and tax).

Operating profit excl. items affecting comparability
Operating profit/loss adjusted for items affecting comparability.

Operating margin excl. items affecting comparability
Operating margin adjusted for items affecting comparability.

Order stock
Ordervalue minus value of completion (revenue recognizing).

Profit margin
Profit/loss after financial items, in relation to net sales.

Return on capital employed
Profit/loss after financial items and restoration of financial expenses in relation to average balance sheet total, less non-interest-bearing liabilities and net deferred tax.

Return on equity
Profit/loss after tax in relation to average shareholders’ equity including non-controlling interests.

Return on total capital
Profit/loss after financial items and restoration of financial expenses, in relation to average balance sheet total.

Rolling twelve-month sales and operating profit
Net sales and operating profit for the most recent twelve-month period.

Total shareholder return
Share price development including re-invested dividend.