Financial Statements, Statement of Directors - Hemas Holdings, Ltd

GlossaryCAPITAL EMPLOYEDTotal shareholders’ funds plus debt and minority interest.CAPITAL RESERVESReserves identified for specific purposes and considered notavailable for distribution.CURRENT RATIOCurrent assets divided by current liabilities.CONTINGENT LIABILITIESConditions or situations at the Balance Sheet date, the financialeffect of which are to be determined by future events which mayor may not occur.DEBTThe sum of interest bearing long-term and short-term loans andoverdrafts.DEFERRED INCOME TAXThe net tax effect on items which have been included in theIncome Statement, which would only qualify for inclusion ona tax return at a future date.DIVIDEND COVERNet profit attributable to the ordinary shareholders dividedby the total dividend paid and proposed.EARNINGSProfit after tax less minority interest.EARNINGS PER SHAREProfit attributable to ordinary shareholders divided by theweighted average number of ordinary shares in issue during theyear.EBITEarnings before interest and tax.EBITDAEarnings before interest, tax, depreciation and amortisation.EQUITYTotal shareholders’ funds.GEARINGDebt divided by the sum of equity, minority interest and debt.INTEREST COVEREarnings before interest and tax divided by the total finance cost.MARKET CAPITALISATIONThe number of ordinary shares in issue multiplied by the marketprice per share as at the reported date.MINORITY INTERESTPart of the net results of operations and of net assets of asubsidiary attributable to interests which are not owned, directlyor indirectly, through Subsidiaries, by the Parent.NET ASSETS PER SHAREShareholders funds divided by the number of ordinary shares inissue as at the end of the year.PRICE EARNINGS RATIOMarket price per share divided by the earnings per share.RETURN ON EQUITYProfit after tax, minority interest and extraordinary items dividedby average shareholders’ funds at the beginning and end of theyear.REVENUE RESERVESReserves set aside for future distributions and Investments.RETURN ON CAPITAL EMPLOYEDEarnings before interest and tax divided by average capitalemployed.SEGMENTConstituent business units grouped in terms of similarity ofoperations and strategy.EFFECTIVE RATE OF TAXATIONIncome tax over profit before tax.Annual Report 2010/11Hemas Holdings PLC 103