KPI of the Day – Accounting: $ Net income after taxes (NIAT)
Definition
Measures what a company earned after subtracting operating expenses, interest, charge-offs, depreciation, and taxes.
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Measures what a company earned after subtracting operating expenses, interest, charge-offs, depreciation, and taxes.
Indicates the net profit generated in one reporting period for each ordinary share outstanding, including common stock equivalents. The net profit is adjusted by the dividends on preferred shares when appropriate.
Many companies are facing difficulties in measuring the performance of support functions within the organization, such as Human Resources, Information Technology, or the Finance and Accounting Department.
Measures how much of the company’s working capital is available, in relation to its employees.
Measures the deviation between the actual costs and the planned (budgeted) costs for the same period. It can be applied at organizational, team, project or individual level.