KPI Glossary¶
Audience: Users · Version 0.2 (draft) · Updated 2026-06-11
Exact definitions for the metrics shown in Capital Workbench, using the same labels you see on the pages. For where the numbers come from and why some are blank, see Data & Methodology.
All figures are derived from publicly available filings. Currency values are in USD.
Core KPIs¶
| Metric | Unit | Definition |
|---|---|---|
| Revenue | USD | Top-line revenue as reported. |
| Gross Margin | % | Gross Profit ÷ Revenue × 100. |
| Operating Margin | % | Operating Income ÷ Revenue × 100. |
| EBITDA Margin | % | EBITDA ÷ Revenue × 100. |
| FCF Margin | % | Free Cash Flow ÷ Revenue × 100. (Not shown for Financials-sector companies.) |
| Operating Cash Flow | USD | Net cash from operating activities, as reported. |
| Free Cash Flow (FCF) | USD | Operating Cash Flow − Capital Expenditures. |
| EBITDA | USD | Operating Income + Depreciation & Amortization (with a bottom-up fallback when needed). Unavailable when the inputs aren't disclosed. |
| Net Debt | USD | (Short-term Debt + Long-term Debt) − Cash & Equivalents. Negative means more cash than debt. (Not shown for Financials-sector companies.) |
Supporting line items¶
| Item | Definition |
|---|---|
| Gross Profit | Reported gross profit, or Revenue − COGS (− claims & benefits where applicable). |
| Operating Income | Reported operating income, or derived from gross profit less operating expenses; capped so it cannot exceed revenue. |
| Net Income | Reported net income. |
| Capital Expenditures (CapEx) | Capital expenditure outflow from the cash-flow statement. |
Working-capital metrics¶
| Metric | Unit | Definition |
|---|---|---|
| DSO (Days Sales Outstanding) | days | Accounts Receivable ÷ Revenue × 91. Lower is generally better. |
| DIO (Days Inventory Outstanding) | days | Inventory ÷ COGS × 91. Lower is generally better. |
| DPO (Days Payable Outstanding) | days | Accounts Payable ÷ COGS × 91. Higher is generally better (longer to pay suppliers). |
| CCC (Cash Conversion Cycle) | days | DSO + DIO − DPO. Can be negative, which is favorable. |
Day-count note: the KPI engine uses a 91-day (one-quarter) convention. The Working Capital page may recompute these using the actual number of days in the period, so values can differ slightly between the headline KPI and the page detail.
Cash-analysis ratios¶
These appear on the Cash Analysis page and depend on EBITDA being computable.
| Ratio | Definition |
|---|---|
| OCF / EBITDA | Operating Cash Flow ÷ EBITDA. |
| FCF / EBITDA | Free Cash Flow ÷ EBITDA. |
| Capex / EBITDA | |Capital Expenditures| ÷ EBITDA. |
| Working Capital / EBITDA | Working-capital cash impact ÷ EBITDA (shown as %). |
Statement ratios¶
Available via the AI Agent (get_statement_ratio) and computed directly from filed
line items.
| Ratio | Unit | Definition |
|---|---|---|
| CapEx / Revenue | % | Capital Expenditures ÷ Revenue × 100. |
| R&D / Revenue | % | Research & Development ÷ Revenue × 100. |
| SG&A / Revenue | % | SG&A ÷ Revenue × 100 (falls back to G&A + Sales & Marketing). |
| Stock-Based Comp / Revenue | % | Share-based Compensation ÷ Revenue × 100. |
| Interest Coverage | x | Operating Income ÷ Interest Expense. |
| Effective Tax Rate | % | Income Tax Expense ÷ Pre-tax Income × 100. |
| Current Ratio | x | Current Assets ÷ Current Liabilities. |
| Debt / Equity | x | Long-term Debt ÷ Equity (falls back to total debt). |
| Dividends Payout | % | Dividends Paid ÷ Net Income × 100. |
| Buyback Payout | % | Common Stock Repurchases ÷ Net Income × 100. |
Common confusions¶
- EBITDA Margin is not Operating Margin. EBITDA adds back depreciation & amortization; operating margin does not.
- Free Cash Flow is not Operating Cash Flow. FCF subtracts capital expenditures from operating cash flow.
- Net Debt can be negative — that's a net cash position, which is favorable.
- Higher DPO is favorable; lower DSO/DIO is favorable. CCC nets them together and can be negative.
- A blank metric usually means the company doesn't disclose it — see Why is a value blank?.