Logistics |
||
|---|---|---|
| Net Profit Margin | Net Pretax Profit ÷ Revenue The bottom line -- the amount you have left after every other expense is taken out. (Sageworks adjusts the number so any extra funds the owners have taken out have been added back in.) |
3.9% |
| Gross Profit Margin | Gross Profit ÷ Revenue Gross profit is your revenue minus what it costs to make your product. |
55% |
| EBITDA Margin | EBITDA ÷ Revenue Many companies use this as a shorthand measure of cash flow. EBITDA is earnings before interest, taxes, depreciation, and amortization.< |
9.6% |
| Return on Equity | Net Income ÷ Total Equity The return your shareholders are getting on their investment. |
12.3% |
| Return on Assets | Net Income ÷ Total Assets Net income generated for each dollar of assets. It's especially relevant for capital-intensive industries, like manufacturing. |
6.1% |
| Interest Coverage Ratio | EBITDA ÷ Interest Expense This ratio shows roughly how easily you can repay your debts. |
7.6 |
| Debt to Equity Ratio | Total Liabilities ÷ Total Equity What you owe compared with what you own. |
2.8 |
| Sales per Employee | $264,334 | |
| Profit per Employee | $13,151 | |
| Payroll as % of Sales | 19% | |
| Advertising as % of Sales | 0.6% | |
| * Accounts Payable Days | (Accounts Payable ÷ Cost of Goods Sold) x 365 The number of days, on average, you take to pay your bills. |
20 |
| Accounts Receivable Days | (Accounts Receivable ÷ Sales) x 365 The number of days, on average, your customers take to pay you. |
30 |
| Current Ratio | Total Current Assets÷Total Current Liabilities The amount of cash (or assets that can be turned into cash) on hand. |
1.9 |
| Quick Ratio | (Cash + Accounts Receivable) รท Total Current Liabilities Similar to the current ratio, this is a good measure of a company's short-term cash position. |
1.4 |
| Sample Size | 730 | |
* Industry Focus: Logistics
Logistics firms sometimes have a low number for accounts payable, partly because their fuel bills are due within seven days, says Sheri A. Pawlik, a partner with B2BCFO. So although 20 looks good compared with other industries, don't get too cocky -- it's the overall trend that counts. When a company in any industry starts to deteriorate, it often shows in a rising number for AP days. Says Pawlik: "They're trying to finance everything by not paying their suppliers as quickly as they otherwise would."
