THE ANALYSIS OF PROFITABILITY INDICATORS

Suciu Gheorghe
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Suciu Gheorghe: Dimitrie Cantemir Christian University Brasov, Romania

Annals - Economy Series, 2013, vol. 4, 132-138

Abstract: The analysis of profitability indicators is an activity that should preoccupy all companies. Profitability does not mean only obtaining profit. A company is competitive if the ownership equity grows (the shareholders’ money), the company has a profit that is comparable to that of other companies from the same area of activity, has a positive cash flow and the employees are satisfied with their salaries. Multiple indicators are used to measure performance: profit, commercial, economic, financial, investment rate of return, breakeven point, economic value added, net operating result.

Keywords: profit; rate of return; breakeven point; economic value added; net operating result. (search for similar items in EconPapers)
Date: 2013
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