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Showing posts with the label key performance indicator

CFOs KPI

What is a CFOs KPI? A CFOs Key Performance Indicator (KPI) or metric  is a quantifiable high-level measure of financial  performance. These KPI metrics can also be used to measure a company's financial performance relative  to competitors in the same industry.  Here are 6 Key Performance Indicators every  CFO should be aware of... 1. GPM (Gross Profit Margin) -   GPM compares the cost of the goods or services  to the income derived from those costs. It determines how effective the organisation is at making money  from its revenue production activities.   2. Quick Ratio -  Quick Ratio measures a company's ability to immediately fulfil its short-term financial obligations. It allows you to quickly assess the financial health of your company for  immediate turnaround and decision changes.  Quick Ratio = (Cash + Marketable Securities + Accounts Receivable) / Current Liabilities 3. EBITDA (Earnings Befo...