Alternative Performance Measures of the Fabasoft Group

Within the scope of its periodical and obligatory reporting Fabasoft publishes alternative performance measures (APM). These performance measures are not defined in the existing accounting policy pursuant to the International Financial Reporting Standards (IFRS). Fabasoft calculates the APM with the aim of enabling comparability of the performance measures over time or a sectorial comparison. Fabasoft calculates the following APM:

  • Nominal change in sales revenue
  • EBIT or operating result
  • EBITDA
  • Equity ratio
  • Research ratio

 

Nominal change in sales revenue

The nominal change in sales revenue is a relative indicator. It indicates the change in the sales revenues in percent compared to the previous year.
 

EBIT (Earnings Before Interest and Taxes) or operating result 

EBIT stands for Earnings Before Interest and Taxes and shows the operative result of a company without the impact of effects arising from inconsistent taxation systems and different financing activities. EBIT (operating result) is calculated as follows:

Reconciliation of EBIT (operating result)

Result before income taxes

- Finance income

+ Finance expenses

= EBIT (operating result)

 

EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization)

EBITDA stands for Earnings Before Interest, Taxes, Depreciation and Amortization. In addition to interest and taxes this indicator of success also neutralises the distortionary effects of operative business activities arising from different depreciation methods and valuation latitude. EBITDA is calculated on the same basis as EBIT plus depreciation and amortisation affecting income in the period or less reversals of impairment losses on intangible assets or property, plant and equipment.

Reconciliation of EBITDA

EBIT

+ / – depreciation / amortisation / reversals of impairment losses on intangible assets or property, plant and equipment

= EBITDA

Equity ratio

The equity ratio indicates the proportion of equity in total capital.
 

Equity divided by total capital and multiplied by one hundred

Research & development ratio

Indicator that sets expenses for research and development in relation to the revenue.
 

Expenses for research and development divided by revenue, and multiplied by one hundred