10 KPIs for CFO Dashboards
10 KPIs for CFO Dashboards
Create a dashboard for your CFO and you will make their life easier.
Here are the 10 KPIs you can select as part of your CFO Dashboard.
Select only a few as too many KPIs kill the KPIs!
1. Revenue growth
How much more you sold goods, products, or services vs last period
Formula: Revenue period / Revenue previous period
2. Gross margin percentage
Gross margin is calculated using Revenue less Costs Of Good Solds.
Formula: (Revenue – COGS) / Revenue
3. Variances
This helps see how behave your costs vs your budgeted costs. Perfect to analyse your product costing and departmental costing.
Formula: Standard costs – Actual costs
4. Overhead rate
Costs not directly linked to the production of goods or services, but are necessary for the operation of a business. For example: general management costs.
Formula: Overhead costs / Revenue
5. EBIT
Earnings Before Interest and Taxes. It measures the profitability of the company from operations without the impact of interest and taxes.
Formula: Net Income + Interest + Taxes (or also: Revenue – COGS – Operating Expenses)
6. Operating Cash Flow (OCF)
Money generated by daily operations
Formula: Net Income + Non-Cash Expenses – Increase in Working Capital
7. WCR
Working Capital Requirement measures the need for financing the operational activities of a company for all short term operations.
Formula: Inventory + Receivables – Current Liabilities
8. Full Time Equivalent (FTE)
1 FTE equivalent of a standard working hours contract. Example: a part time at 50% = 0,5 FTE
Formula: Number of hours in the employee contract / Standard working hours
9. Overdues
Invoices due by clients but not paid. It’s key to track the ageing of overdue. The older it gets, the higher the risk is to not getting paid.
Formula: Total Amount of Customer Invoices due but not paid
10. Cash Burn Rate
Net Cash spent by a company in a specific time frame (usually monthly or normalized to a year)
Formula: Cash Spent (monthly average) – Cash Received (monthly average)
