Annual report 2011 - Trelleborg

FINANCIAL DEFINITIONS
AND GLOSSARY
Financial key figures
Debt/equity ratio Net debt divided by total equity.
Earnings per share Profit for the period, attributable to
shareholders of the Parent Company divided by the
average number of shares outstanding.
Earnings per share after dilution Profit for the period,
attributable to shareholders of the Parent Company
divided by the average number of shares outstanding
plus the average number of shares added through
the conversion of outstanding debentures and warrants.
Equity/assets ratio Total equity divided by total assets.
Free cash flow Operating cash flow and cash flow from
financial items and tax and the effect of restructuring
measures on cash flow.
Free cash flow per share Free cash flow divided by the
average number of shares outstanding.
Net debt Interest-bearing liabilities less interest-bearing
assets and cash and cash equivalents.
P/E ratio Market price divided by earnings per share.
Return on shareholders’ equity Profit for the period,
attributable to shareholders of the Parent Company
as a percentage of average shareholders’ equity,
excluding non-controlling interests.
Yield Dividend as a percentage of the market price.
GLOSSARY
BRIC countries Brazil, Russia, India, China.
Brake shims Rubber metal alloy rings attached to the
brake lining (to minimize screech).
CDP (Carbon Disclosure Project), an independent organization
with the world’s largest database of climate
information. On behalf of global investors, the CDP
gathers information regarding emissions of greenhouse
gases by companies and organizations as well
as the measures being taken by them to prevent a
negative climate impact.
CR (Corporate responsibility) Refers to the responsibilities
of companies towards their key stakeholders, such
as employees, shareholders, customers, suppliers,
the local community and the environment. Often relates
to the same areas encompassed by the term
sustainability or Corporate Social Responsibility (CSR).
Global Compact UN initiative that unites companies and
social institutions around ten universally applicable
principles for environment and society. The aim is for
companies to become members of society that are
involved in developing solutions for challenges arising
from increasing globalization.
GRI (Global Reporting Initiative) A global network in which
community representatives, industries, investors and
others cooperate to create and improve the approaches
to sustainability reporting, on a consensus basis.
Operating key figures *
Average number of employees Average number of
employees during the year based on hours worked.
Does not include insourced staff.
Capital employed Total assets less interest-bearing financial
assets and cash and cash equivalents and
noninterest-bearing operating liabilities (including
pension liabilities) and excluding tax assets and tax
liabilities.
Earnings per share Profit for the period, attributable to
shareholders of the Parent Company, excluding items
affecting comparability net after tax, divided by the
average number of shares outstanding.
EBIT Operating profit according to the income statement,
excluding items affecting comparability.
EBITDA Operating profit excluding depreciation and
amortization of PPE and intangible assets, and items
affecting comparability.
EBITDA/Net interest income/expense EBITDA divided
by net interest income/expense (interest income less
interest expenses).
EBITDA margin EBITDA excluding profit from participation
in associated companies as a percentage of net
sales.
Net debt/EBITDA Net debt divided by EBITDA.
Number of employees at year-end Including insourced
staff and temporary employees.
Operating cash flow EBITDA excluding undistributed
participation in the earnings of associated compa-
ISO (International Organization for Standardization), an
international standardization body that works with
industrial and commercial standards. The following
standards are applied at Trelleborg; ISO 9000 which
provides guidelines for quality assurance systems,
ISO 14001 that sets requirements and provides guidance
regarding environmental management systems
and ISO 26000 which forms a practical set of guidelines
and standards for increasing responsibility in
the process to obtaining sustainable development.
NVH (Noise, Vibration, Harshness) An overall term for
noise, vibration and sudden movements that the car
driver and passengers experience as unpleasant. A
car with low NVH values is experienced as comfortable.
OEM (Original Equipment Manufacturer) The end producer
of, for example, a car.
Plastics can be divided into two main groups. Thermoplastics
are non-cross-linked plastics that are solid
at room temperature but become soft and moldable
when heated. Hard plastics are cross-linked plastics
that disintegrate upon heating and do not regain their
properties.
Polymer The word is derived from the Greek “poly,”
meaning “many” and “meros” meaning “parts.” Polymers
are made up of many small molecules – monomers
– that are linked in long chains. Examples of
polymers are plastics and rubber.
FINANCIAL DEFINITIONS AND GLOSSARY
nies, investments and changes in working capital but
excluding cash flow pertaining to restructuring.
Operating cash flow/Operating profit Operating cash
flow as a percentage of operating profit, excluding
items affecting comparability.
Operating cash flow per share Operating cash flow
divided by the average number of shares outstanding.
Operating margin (ROS – Return On Sales)
– Operating profit excluding participation in the earnings
of associated companies and items affecting comparability
as a percentage of net sales.
– Operating profit excluding participation in the earnings
of associated companies but including items affecting
comparability as a percentage of net sales.
Operating profit Operating profit as stated in the income
statement excluding items affecting comparability.
Rate of capital turnover Net sales as a percentage of
average capital employed.
Return on capital employed (ROCE) Operating profit
divided by the average capital employed.
Return on shareholders’ equity Profit for the period,
attributable to shareholders of the Parent Company,
excluding items affecting comparability, net after tax,
divided by average shareholders’ equity, excluding
non-controlling interests.
Western Europe Austria, Belgium, Denmark, Finland,
France, Germany, Greece, Iceland, Ireland, Italy,
Luxemburg, Malta, the Netherlands, Norway, Portugal,
Sweden, Switzerland, Spain, the UK.
*) for continuing operations
Polymer technology The technology relating to manufacturing
processes for polymers in combination with
their unique properties.
REACH (Registration, Evaluation and Authorization of
Chemicals). The aim of the EU’s REACH chemicals
ordinance is to only permit the use of substances in
the EU and EEA that are registered with the European
Chemicals Agency.
Safety@Work A program of preventative measures to
forestall injuries and illness at all of Trelleborg’s
workplaces. The program supports the organizational
change that is required to create a culture of safety
and strengthens the Group’s ability to attract, develop
and retain employees in all its units.
Annual Report 2011 Trelleborg AB 107