A
The annual meeting of shareholders of a company and the company's executive and supervisory boards. At the AGM shareholders can exercise their voting-rights e.g. on selecting members for the supervisory board, distributing of profits, or amending the company statutes (capital increases, the issue of convertible bonds etc.).
C
Capital invested in company assets and operations.
Measures a company’s liquid funds, indicating its financial and earnings potential. Calculated as the difference between the in- and outflow of cash and cash equivalents.
Institutionalized arrangements to ensure a company’s management and staff act in conformity with all statutory provisions and prohibitions, adhere to laws, rules, regulations, and corporate codes of conduct.
The average annual growth rate, e.g., of revenues, earnings or investment, measured over a specified period of time longer than one year.
Refers to a company’s system of management and supervision. It describes powers and authority of corporate management, the monitoring of these and structures through which certain stakeholder groups can exercise influence on the corporate management. Corporate governance standards create transparency for investors. All listed German companies which submit to the recommendations of the German Corporate Governance Codex are legally obliged to issue a compliance statement each year.
The German Corporate Governance Codex (abbreviation: DCGK) is intended to render the rules governing corporate management and control for a stock corporation in Germany transparent for national and international investors, engendering trust and confidence in the corporate management of German companies (learn more about
DCGK).
Aggregate of all immediately available loans from one or several banks.
D
Any transactions by members of a company’s body (Supervisory, Management or Divisional Board), or their family members, involving shares in the respective company.
Share of a company's profit paid to a shareholder. In a KGaA, the amount of the dividend per share is proposed by the general partner’s executive board and examined by the supervisory board. It is decided at the Annual General Meeting. Dividends are paid on shares possessed on the day of the AGM, with payment being issued the day after the AGM.
Indicator for assessing the profitability of an investment based on paid dividend per share. It is determined by dividing the dividend by the share price (e.g. at the close of the reporting year) and then multiplying it by 100.
E
Abbreviation for Earnings Before Interest and Taxes.
Abbreviation for Earnings Before Interest, Taxes, Depreciation and Amortization.
Indicating the profit (EBITDA or EBIT) in relation to revenues.
A financial metric serving as an indicator of a company’s profitability. It is calculated by dividing the profit of a company by the weighted average number of its shares outstanding.
The net wealth generated by a company over a certain period. Positive EVA is reached when the operating result exceeds the weighted average cost of capital (WACC). The WACC refers to the yield on capital employed expected by the capital market. EVA is a registered trademark of Stern Stewart & Co.
Financial indicator reflecting the ratio of shareholders’ equity to the company’s total capital, expressing the share of total assets financed out of equity (owners’ capital) rather than debt capital (provided by lenders).
F
Financial indicator expressing the cash flow from operating activities remaining in the reporting period after deducting cash outflow used for investing activities.
The free float is calculated by subtracting all shares that are restricted or closely-held, e.g. by long-term oriented investors, from the total shares outstanding.
G
The gearing ratio is a financial indicator expressing the ratio of net debt to shareholders' equity, used to assess the financial stability of a company.
Gross margin is indicating the percentage by which a company’s sales exceed cost of sales, i.e. the ratio of gross profit to sales.
Gross profit is the difference between sales and cost of sales.
I
International Financial Reporting Standards / International Accounting Standards. Designed to provide more comprehensive information for investors, they facilitate comparability of the financial statements of companies operating in different European countries. IFRS refer to a set of newer standards, while earlier standards that continue to apply keep the name IAS. As of 2005 capital market-oriented companies must prepare their consolidated financial statements in accordance with IFRS.
K
Abbreviation for “Kommanditgesellschaft auf Aktien”, describing a listed partnership limited by shares with three corporate bodies: the general partner (Komplementär), supervisory board and AGM. In a KGaA’s legal identity (legal entity) at least one partner has unlimited liability with respect to the company’s creditors (personally liable partner), while the liability for such debts of the other partners participating in the share-based capital stock is limited to their share capital (limited shareholders). Continuing close ties, it is a legal form particularly appropriate for listed companies with a strong backing from a parent company.
L
Bonus aligned to long-term financial performance.
N
Defined as borrowings, plus negative and positive fair values of derivative financial instruments, minus cash and cash equivalents plus readily monetizable securities & time deposits and financial collateral provided. Net liquidity (or net financial position) is a negative net financial debt position.
O
Describes a customer contract becoming effective and enforceable in accordance with the terms and conditions of such contract. Depending on the terms and conditions of the contract, recording may either be (i) upon signature of the contract or (ii) at a specific future date following fulfilment of specific conditions.
The value of SCHOTT Pharma’s non-completed orders at the end of the reporting period. The value is increased by order intake and reduced by shipments.
Revenue growth generated solely from within, taking into account adjustments for effects arising from acquisitions, divestments and foreign exchange differences.
P
A metric indicating what percentage of annual net income is paid out in dividends to shareholders, including non-controlling interests.
R
Standardized measure to judge a company’s creditworthiness, generally categorized by a rating agency. Allows conclusions about whether an issuer is capable of meeting in full its obligations under the terms of the issue.
Profitability indicator, reflecting value creation. Calculated based on EBIT, divided by the average capital employed. The resulting value reflects the relative return on the capital employed.
Financial term indicating the ratio of net profit to shareholders' equity.
A flexible financing tool in form of credit issued by a financial institution that allows the borrower during an allotted period of time to withdraw, repay and take out the loan again.
S
Six-digit number for all securities (shares, investment funds etc.) to facilitate share trading.
Stock composition which value is displayed in an index number based on the prices of a parcel of representative shares at a particular point in time. Well known stock indices include the German DAX®, the MSCI, the Dow Jones (USA), the Nikkei Index (Japan) and the Financial Times Ordinary Share Index (FTSE).
W
The average return on the capital employed, expressed as a percentage, and calculated on the basis of a weighted average of the cost of debt and equity. WACC represents the minimum return expected of a company by its lenders for financing its assets.
Inventories plus prepayments on stock, contract assets, and trade receivables from 3rd parties minus trade payable to 3rd parties and deposits received on orderings.
