What Is Asset Performance?

Financial performance is whether the company's strategy and its implementation and execution are contributing to the ultimate business performance. Financial performance can fully express the effects of cost control, asset management and use of capital resources, and the return on shareholder equity.

Financial Performance

(1) Profitability. The standpoint of the assessment is the growth rate of economic value added (EVA) and sales (profit). Use EVA instead

Financial performance can fully express the effects of cost control, asset management and use of capital resources, and the return on shareholder equity. It can answer four areas of concern to non-financial executives: ^[2]

Where does the money come from-financial leverage;

Will it fail tomorrow-quick action ratio;

Whether to do business-accounts receivable turnover rate, inventory turnover rate, accounts payable turnover rate, fixed asset turnover rate during backlog of funds, growth rate of operating income;

Will it make money-cost rate, sales expense rate, management expense rate, research and development expense rate, financial expense rate, net interest rate, return on total assets and return on equity.