Annual Report 2019

Five years in figures
Wärtsilä provides certain financial performance measures, which are accounting measures that are not defined by IFRS. These alternative performance measures, such as comparable operating result, comparable adjusted EBITA, cash flow from operating activities, and gearing, are followed and used by management to measure the Group's performance and financial position. In addition, Wärtsilä's targets of financial performance are linked to for example comparable operating result and gearing. Thus, these alternative performance measures provide useful information to the capital markets. The alternative performance measures should not be evaluated in isolation from the IFRS measures. The alternative performance measure calculation definitions are disclosed in section Calculations of financial ratios.
					Restated
MEUR			2019	2018	2017*	2016	2015
Net sales			5 170	5 174	4 911	4 801	5 029
of which outside Finland		%	98.5	98.9	97.7	97.5	97.8
Exports from Finland			1 933	2 145	1 953	1 804	1 936
Personnel on average			19 110	18 899	17 866	18 332	18 565
of which in Finland			3 868	3 766	3 521	3 482	3 580
Order book			5 878	6 166	5 100	4 696	4 882
From the consolidated statement of income
Depreciation, amortisation and impairment			180	130	134	138	124
Share of result of associates and joint ventures			-9	13	13	14	17
Comparable operating result			457	577	576	583	612
as a percentage of net sales		%	8.8	11.2	11.7	12.1	12.2
Operating result			362	543	538	532	587
as a percentage of net sales		%	7.0	10.5	11.0	11.1	11.7
Comparable adjusted EBITA			498	621	612	618	643
as a percentage of net sales		%	9.6	12.0	12.5	12.9	12.8
Financial income and expenses			-47	-40	-47	-53	-34
Profit before taxes			315	502	491	479	553
as a percentage of net sales		%	6.1	9.7	10.0	10.0	11.0
Profit for the financial period from the continuing operations			218	386	375	357	429
Profit for the financial period from the discontinued operations			-	-	-	-	22
Net profit for the financial period			218	386	375	357	451
as a percentage of net sales		%	4.2	7.5	7.6	7.4	9.0
From the consolidated statement of financial position
Non-current assets			2 518	2 369	2 285	2 116	2 215
Current assets			3 797	3 690	3 363	3 275	3 374
Assets held for sale			82	-	-	-	-
Total equity attributable to equity holders of the parent company			2 396	2 418	2 352	2 288	2 201
Non-controlling interests			14	14	24	34	41
Interest-bearing debt			1 096	823	619	629	724
Non-interest-bearing liabilities			2 824	2 804	2 653	2 441	2 623
Liabilities directly attributable to assets held for sale			68	-	-	-	-
Total equity and liabilities			6 398	6 059	5 648	5 391	5 589
From the consolidated statement of cash flows
Cash flow from operating activities			232	470	430	613	255
Cash flow from investing activities			-95	-240	-235	-126	-288
Cash flow from financing activities			-256	-118	-278	-339	-210
Gross capital expenditure			122	306	255	146	346
as a percentage of net sales		%	2.4	5.9	5.2	3.0	6.9
Research and development expenditure			164	165	141	131	132
as a percentage of net sales		%	3.2	3.2	2.9	2.7	2.6
Dividends paid			284**	284	272	256	237
Financial ratios
Earnings per share (EPS), basic and diluted***		EUR	0.37	0.65	0.63	0.60	0.75
Dividend per share***		EUR	0.48**	0.48	0.46	0.43	0.40
Dividend per earnings		%	130.8**	73.7	70.8	72.8	53.3
Interest coverage			7.7	10.8	11.8	18.6	15.9
Return on investment (ROI)		%	11.5	18.1	18.5	17.1	21.0
Return on equity (ROE)		%	9.0	16.1	16.0	15.6	20.2
Solvency ratio		%	40.8	44.4	46.3	47.6	44.6
Gearing****			0.30	0.14	0.10	0.07	0.17
Equity per share***		EUR	4.05	4.09	3.97	3.87	3.72
Working capital (WCAP)		EUR	732	581	563	490	543
* Figures in the comparison period 2017 have been restated due to the adoption of IFRS 15.
** Proposal of the Board of Directors.
*** Share issue without payment (share split) approved by Wärtsilä Corporation’s Annual General Meeting on 8 March 2018 increased the total number of Wärtsilä shares to 591,723,390. Figures in the comparison periods have been restated accordingly.
**** Includes the cash and cash equivalents pertaining to assets held for sale.