What are the four main financial indicators?

The four main financial indicators are: solvency index, operational index, profitability index and enterprise development index.

1. The solvency index is an important management index of enterprise financial management, which refers to the enterprise's ability to repay due debts (including principal and interest). The solvency indicators include short-term solvency indicators and long-term solvency indicators, and the measurement indicators mainly include current ratio, quick ratio and cash current debt ratio.

2. Operational ability refers to the operational ability of an enterprise, that is, the ability of an enterprise to make profits by using various assets. The financial analysis ratio of enterprise's operating ability includes: inventory turnover, accounts receivable turnover, business cycle, current assets turnover and total assets turnover. These ratios reveal the capital operation and turnover of enterprises and reflect the efficiency of enterprise management and application of economic resources. The faster the turnover of enterprise assets, the higher the liquidity, the stronger the solvency of enterprises, and the faster the assets can be profitable.

3 profitability indicators mainly include operating profit rate, cost profit rate, surplus cash guarantee multiple, return on total assets, return on net assets and return on capital. In practice, listed companies often use earnings per share, dividends per share, price-earnings ratio, net assets per share and other indicators to evaluate their profitability.

4. The analysis and development capacity mainly includes the following eight indicators: growth rate of operating income, rate of capital preservation and appreciation, rate of capital accumulation, growth rate of total assets, growth rate of operating profit, ratio of investment in science and technology, three-year average growth rate of operating income and three-year average growth rate of capital.

Financial indicators are relative indicators used to summarize and evaluate the financial situation and operating results of enterprises. The three financial indicators stipulated in China's General Principles of Enterprise Finance are: solvency indicators, including asset-liability ratio, current ratio and quick ratio; Operational capacity indicators, including accounts receivable turnover rate and inventory turnover rate; Profitability indicators, including capital profit rate, sales profit rate (profit and tax rate of operating income), cost profit rate, etc.

Refer to "Financial Indicators" from Baidu Encyclopedia.