{"id":3246,"date":"2025-05-12T09:02:16","date_gmt":"2025-05-12T07:02:16","guid":{"rendered":"https:\/\/pro-visions.anvetogroup.com\/financial-leverage-ratio\/"},"modified":"2025-07-15T14:27:26","modified_gmt":"2025-07-15T12:27:26","slug":"financial-leverage-ratio","status":"publish","type":"page","link":"https:\/\/pro-visions.eu\/en\/financial-leverage-ratio\/","title":{"rendered":"Financial Leverage Ratio"},"content":{"rendered":"<div class=\"wp-block-image\">\n<figure class=\"alignright size-full is-resized\"><a href=\"https:\/\/e.pcloud.link\/publink\/show?code=XZ3fclZchRI0gqxbxp23J6IY9LwX0a2PNDV\" target=\"_blank\" rel=\" noreferrer noopener\"><img loading=\"lazy\" decoding=\"async\" width=\"360\" height=\"360\" src=\"https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview.png\" alt=\"\" class=\"wp-image-2359\" style=\"width:150px\" srcset=\"https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview.png 360w, https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview-300x300.png 300w, https:\/\/pro-visions.eu\/wp-content\/uploads\/2025\/05\/png-transparent-pdf-thumbnail-computer-icons-pdf-pdf-miscellaneous-angle-text-thumbnail-removebg-preview-150x150.png 150w\" sizes=\"auto, (max-width: 360px) 100vw, 360px\" \/><\/a><\/figure>\n<\/div>\n<ul class=\"wp-block-list\">\n<li>Financial Leverage Ratio = Return on Equity \/ Return on Capital Employed<\/li>\n\n\n\n<li>Return on Equity = Earnings Before Taxes (EBT) \/ Equity<\/li>\n\n\n\n<li>Return on Capital Employed = Earnings Before Taxes (EBT) \/ Capital Employed<\/li>\n\n\n\n<li>It shows the effect that the use of capital employed has on the profitability of the company&#8217;s equity.<\/li>\n\n\n\n<li>If the ratio is &gt;1, the effect of the use of external capital on the company&#8217;s profits is positive and beneficial<\/li>\n\n\n\n<li>If the ratio is &lt;1, the effect of the use of external capital is negative and the company borrows on onerous terms.<\/li>\n<\/ul>\n\n<p class=\"wp-block-paragraph\"><strong>Business actions to improve the Index<\/strong><\/p>\n\n<p class=\"wp-block-paragraph\">Reduce Equity through dividend payment or through Increase in provisions<br \/>Increase in Capital Employed<\/p>\n\n<ul class=\"wp-block-list\">\n<li>through Reduction in Total Liabilities<\/li>\n\n\n\n<li>through Increase in Total Assets<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Business actions to improve the Index Reduce Equity through dividend payment or through Increase in provisionsIncrease in Capital Employed<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"inline_featured_image":false,"footnotes":""},"class_list":["post-3246","page","type-page","status-publish"],"_links":{"self":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages\/3246","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/comments?post=3246"}],"version-history":[{"count":2,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages\/3246\/revisions"}],"predecessor-version":[{"id":3248,"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/pages\/3246\/revisions\/3248"}],"wp:attachment":[{"href":"https:\/\/pro-visions.eu\/en\/wp-json\/wp\/v2\/media?parent=3246"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}