Non-GAAP Measures - From full year 2019 onwards
- Restructuring, litigation, implementation and other non-recurring costs
- Profit/loss on disposals and non-operating items*
- Recurring EBITDA*
- Recurring EBITDA Margin*
- Recurring EBIT*
- Operating profit/loss (EBIT) before impairment*
- Net income before impairment and divestments*
- Earnings Per Share (EPS) before impairment and divestments*
- The Net Maintenance and Expansion Capex (“Capex” or “Capex Net”)
- Free Cash Flow*
- Net financial debt (“Net debt”)*
- Invested Capital*
- Net Operating Profit After Tax (“NOPAT”)*
- ROIC (Return On Invested Capital)*
- Cash conversion*
- Recurring SG&A costs*
- Net CO2 emissions (kg per ton of cementitious material)
- Waste reused in operations (million tons)
- Freshwater withdrawal (liter per ton of cementitious material)
- Lost time injury frequency rate (LTIFR)
Factors out changes in the scope of consolidation (such as divestments and acquisitions occurring in 2019 and 2018) and currency translation effects (2019 figures are converted with 2018 exchange rates in order to calculate the currency effects).
Significant items that, because of their exceptional nature, cannot be viewed as inherent to the Group's ongoing performance, such as strategic restructuring, major items relating to antitrust fines and other business related litigation cases.
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 Comprises capital gains or losses on the sale of Group companies and of material property, plant and equipment and other non-operating items that are not directly related to the Group's normal operating activities such as revaluation gains or losses on previously held equity interests, disputes with non-controlling interests and other major lawsuits.
The Recurring EBITDA is an indicator to measure the performance of the Group excluding the impacts of non-recurring items. It is defined as:
+/- Operating profit/loss (EBIT)
- depreciation, amortization and impairment of operating assets
- restructuring, litigation, implementation and other non-recurring costs
Recurring EBITDA divided by net sales
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 The Recurring EBIT is defined as Operating profit (EBIT) adjusted for restructuring, litigation and other non-recurring costs and for impairment of operating assets.
The Operating profit/loss (EBIT) before impairment is an indicator that measures the profit earned from the Group’s core business activities excluding impairment charges which, because of their exceptional nature, cannot be viewed as inherent to the Group’s ongoing activities. It is defined as:
+/- Operating Profit/loss (EBIT)
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 - Impairment of goodwill and long-term assets
Net income before impairment and divestments excludes impairment charges and capital gains and losses arising on disposals of investments which, because of their exceptional nature, cannot be viewed as inherent to the Group’s ongoing activities. It is defined as:
+/- Net income (loss)
- Gains or losses on disposals of Group companies
- Impairments of goodwill and long-term assets
Net income before impairment and divestments attributable to the shareholders of LafargeHolcim Ltd divided by the weighted average number of shares outstanding.
The Net Maintenance and Expansion Capex is an indicator to measure the cash spent to maintain or expand its asset base. It is defined as:
+ Expenditure to increase existing or create additional capacity to produce, distribute or provide services for existing products (expansion) or to diversify into new products or markets (diversification)
+ Expenditure to sustain the functional capacity of a particular component, assembly, equipment, production line or the whole plant, which may or may not generate a change of the resulting cash flow
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 – Proceeds from sale of property, plant and equipment
The Free Cash Flow is an indicator to measure the level of cash generated by the Group after spending cash to maintain to expand its asset base.
The Free Cash Flow pre-IFRS 16 is defined as:
+/– Cash flow from operating activities adjusted for IFRS 16 impacts
– Net Maintenance and expansion Capex
The Free Cash Flow post-IFRS 16 is defined as:
+/– Cash flow from operating activities
– Net Maintenance and expansion Capex
– Repayment of long-term lease liabilities
The Net financial debt is an indicator to measure the financial debt of the Group after deduction of the cash. It is defined as:
+ Financial liabilities (long-term & short-term) including derivative liabilities
– Cash and cash equivalents
– Derivative assets (long-term & short-term)
The invested capital is an indicator that measures total funds invested by shareholders, lenders and any other financing sources. It is defined as:
+ Total shareholders’ equity
+ Net financial debt
– Assets classified as held for sale
+ Liabilities classified as held for sale
– Current financial receivables
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 – Long-term financial investments and other long-term assets
The Net Operating Profit After Tax is an indicator that measures the Group’s potential earnings if it had no debt. It is defined as:
+/– Net Operating Profit/(loss) (being the Recurring EBITDA and share of profits of associates, adjusted for depreciation and amortization of operating assets but excluding impairment of operating assets)
– Standard Taxes (being the taxes applying the Group's tax rate to the Net Operating Profit as defined above)
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 The ROIC is defined as Net Operating Profit After Tax (NOPAT) divided by the average Invested Capital. The average is calculated by adding the Invested Capital at the beginning of the period to that at the end of the period and dividing the sum by 2 (based on a rolling 12 months calculation).
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 Cash conversion pre-IFRS 16 is defined as: Free Cash Flow pre-IFRS 16 divided by Recurring EBITDA pre-IFRS 16 Cash conversion post-IFRS 16 is defined as: Free Cash Flow post-IFRS 16 divided by Recurring EBITDA after leases (referred to as Recurring EBITDA less the depreciation of right-of-use assets).
Fixed Costs included in the Recurring EBITDA, include Sales & Marketing, Administration, Corporate Manufacturing & Corporate Logistics costs.
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 Net CO2 emissions are CO2 emissions from the calcination process of the raw materials and the combustion of traditional kiln and non-kiln fuels. Cementitious materials refer to clinker production volumes, mineral components consumed in cement production and mineral components processed and sold externally.
The total volume of waste derived resources includes the following components: alternative fuels, alternative raw materials, industrial mineral components consumed and/or processed and sold externally, industrial gypsum, alternative aggregate produced and/or consumed and returned asphalt recycled.
Total volume of freshwater withdrawn by the cement plant divided by the total production of cementitious material.
醉红楼-醉红楼在线-醉红楼视频盛宴-国产自拍精品在线 Number of lost-time injury divided by million hours worked.
Following the implementation of IFRS 16 Leases, effective 1 January 2019, the Group has elected the modified retrospective approach which does not require restatement of 2018 numbers. Consequently, in 2019, for better comparability this indicator is calculated <pre> and <post> IFRS 16.