Pdf

Return on capital employed

(%)

Return on capital employed graph

Performance  Return on capital employed icon

Return on capital employed increased by 1.2 percentage points during the year, from 19.3% to 20.5%.

Definition

Headline operating profit as a percentage of the average of opening and closing capital employed as adjusted for certain items of goodwill written off.

Capital employed is defined as net assets adjusted for net cash/(debt).

Headline earnings per share

(pence)

Headline earnings per share graph

Performance  Headline earnings per share icon

Headline earnings per share increased by 6.7p (13.6%) up from 49.2p to 55.9p.

Definition

Headline earnings per share is defined in note 8 to the financial statements.

Return on sales

(%)

Return on sales graph

Performance  Return on sales icon

Return on sales increased by 1 percentage point during the year, from 18.0% to 19.0%. Headline operating profit increased by 12% from £123.9m to £138.3m, while revenue increased by 5.6% from £690.2m to £728.6m.

Definition

Headline operating profit as a percentage revenue.

Headline operating cash flow

(£m)

Headline operating cash flow graph

Performance   Headline operating cash flow icon

Headline operating cash flow for the Group was £128.7m (2017: £111.7m). This was 93% of headline operating profit (2017: 90%).

Definition

Headline operating cash flow stated before cash flow relating to restructuring of £4.4m (2017: £3.7m) and acquisition costs of £0.5m (2017: nil).

Total reportable case rate (TRC)1

(number)

Total reportable case rate graph

Performance  Total reportable case rate icon

Bodycote works tirelessly to improve safety and reduce workplace incidents and is committed to providing a safe environment for everyone who works at or visits our locations. The TRC rate decreased to 2.6 this year (2017: 2.8). Further details are included in the corporate responsibility and sustainability section.

Definition

TRC is defined as as the number of lost time incidents, restricted work cases and medical treatment cases x200,000 hours (approximately 100 man years), divided by the total number of employee hours worked.

Carbon footprint

(tonne CO2e/£m sales)

Carbon footprint graph

Performance  Carbon footprint icon

On a normalised basis, the carbon footprint decreased by 3.8% from 480.3 tonnes per £m sales to 462.0 tonnes per £m sales. Further details are included in the Corporate responsibility section.

Definition

Carbon footprint is defined as tonnes of CO2 equivalent emissions divided by £m revenue. CO2 equivalent emissions are calculated by taking electricity and gas usage in kilowatt hours and multiplying by country specific conversion factors provided by the International Energy Agency (IEA). Normalised emissions statistics restate prior year figures using current year country specific conversion (IEA) factors and current year average exchange rates.