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Not all corporate language is universal and a glossary of terms is often helpful to define meaning and explain active financial terminology.

Adjusted Net Earnings

This is the net earnings of Empire Company Limited and its subsidiary, Sobeys Inc. attributable to the owners of the company. However, this financial position is excluding certain items to better help analyze trends in performance and financial results.

Book Value Per Common Share

This is the total of the shareholder’s equity and net of non-controlling interest. However, it also includes dividing this number by the total common shares that are outstanding.

CAGR

This is an acronym standing for compound annual growth rate. It references the annual growth rate of an investment over a specified period of time longer than one year.

Capital Expenditures

These are the payments made for the acquisition of property, equipment, and investment property purchases under the Empire Company Limited brand name.

EBITDA

This is an acronym for the total earnings before interest, tax, depreciation, and amortization. By definition, it means the net earnings prior to specific financial costs (net of the financial income) of items and intangibles.

EBITDA Margin

This is the total earnings before interest, tax, depreciation, and amortization divided by the sales totalled under the Sobeys Inc. name.

Adjusted EBITDA

This is also excluding certain items so a better financial position and performance understanding can be reached when analyzing specific data trends.

Free Cash Flow

This is the cash flow from operating activities. This is a financial position also inclusive of the proceeds on the disposal of property and the equipment and investment of property. This is exclusive of acquisitions of property, equipment, investment property, and intangibles.

Funded Debt

This pertains to all of Empire’s interest-bearing debt. This includes bank loans, bankers’ acceptances, long-term debt, and long-term lease liabilities.

Gross Profit

The gross profit and financial position of Empire Company Limited and its subsidiary, Sobeys Inc., pertains to the sales minus the cost of those sales.

Gross Margin

The gross margin is the gross profit divided by the total sales.

Hedge

A hedge is a financial instrument used to manage the foreign exchange interest rate, energy, or other commodity risk. It does so by transacting that which offsets the existing position.

Interest Expense

An interest expense is a financial move to expense liabilities. These liabilities are measured at amortized cost and interest experience on lease.

Net Funded Debt

The net funded debt is the funded debt of Empire Company Limited and its subsidiary, Sobeys Inc., minus the cash and cash equivalents.

Net Total Capital

The net total capital is the funded debt of business in addition to the shareholder’s equity and the net of non-controlling interest. However, this total is without the inclusivity of cash and cash equivalents.

Net Funded Debt to Net Total Capital

In reference to the phrase, “net funded debt to net total capital” is the definition that the net funded debt is divided by the net total capital.

Operating Income

The operating income is also named the earnings before interest and taxes (EBIT). This is calculated as net earnings from continuing operations prior to financial costs (net of the financial income) and income taxes.

Operating Income Margin

This is the operating income divided by the sales of Empire Company Limited through its subsidiary, Sobeys Inc.

Private Label

A private label of Sobeys Inc. is a brand or line of products. They are wholly marketed, distributed, and owned by the company. Examples include Compliments and Panache.

ROE

This is the return on equity and defines the net earnings for the year. This is attributable to the owners of the parent company divided by the average shareholder’s equity.

Same-Store Sales

This verbiage of financial position is in reference to any sale made duplicate in multiple stores operating within the same location in both reporting periods.

Total Capital

The total capital for Empire Company Limited and its subsidiary, Sobeys Inc., is the funded debt plus shareholder equity and the net of non-controlling interest.

Weighted Average Number of Shares

The weighted number of shares is the total number of Non-Voting Class A shares plus Class B common shares outstanding. This is then adjusted to account for the timeshares are outstanding within the reporting period.

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Empire Company Limited continues to provide transparency on its financial position and operations of its company and its subsidiary brand, Sobeys Inc. Additional information regarding annual and quarterly reporting and the overall capital structure of the company can be found through the links below.

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Quarterly Reports

Capital Structure

Capital Structure

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Sustainable Business Report