What are the most commonly used financial metrics and KPIs?



What are the most commonly used financial metrics and KPIs?

The list below describes 30 of the most commonly used financial metrics and KPIs, and you can find formulas and more information on each below. Gross Profit Margin Return on Sales (ROS)/Operating Margin

What are financial KPIs and why are they important?

Financial key performance indicators track your company’s performance in achieving those goals. In a nutshell, financial KPIs illustrate your company’s financial health and help you determine if your company will make a profit. Not sure how KPIs differ from metrics? Check out the differences between KPIs and metrics.

What is the KPI for accounts receivable?

The KPI is used to help you understand the solvency of your business. See example of KPI set-up in Cascade below. This free template enables you to visualize your organization’s Financial KPIs in a fully customizable fashion. Accounts receivable turnover shows you the rate at which you are collecting what is owed to you by customers.

What are the key performance indicators (KPI) of a business?

This KPI shows how successful you are at generating profit from shareholders’ investments in your business, because shareholder equity represents total assets minus total liabilities. In other words, it reveals how much you make from each dollar invested in your business.