The Annual General Meeting (AGM) is the meeting for shareholders which a company must hold every year within a set period following the end of the financial year. Shareholders of the company vote on routine agenda items such as the election of directors and the approval of year-end reports and accounts.
A company's asset management plan (AMP) sets out how it intends to optimise the use of its assets in terms of service benefits and financial return. The plan runs over an agreed period of time and is reviewed at agreed intervals.
An investor or dealer on a stock exchange, currency market or commodity market who expects prices to fall.
A market in which prices are falling or expected to fall.
A certificate of debt issued by a borrower to a lender to raise funds. Bonds typically pay a fixed rate of interest and are repayable at a fixed date.
Estimates, normally in the form of a written note, issued by stockbrokers and bank analysts about a company's performance.
An investor or dealer on a stock exchange, currency market or commodity market who expects prices to rise.
A market in which prices are rising or expected to rise.
Profit made on the sale of shares, commodities, property or land. In the UK, capital gains tax may be payable on the profit.
Capital gains tax (CGT)
Capital gains tax (CGT) is a tax on a capital gain. A gain is an increase in value. You normally only have to pay CGT when you no longer own an asset, that is when you have disposed of it. In the UK, capital gains tax applies to the net gains (after deducting losses) accruing to individual in any tax year. There is an exemption to liability if the individual's gains do not exceed a specified figure.
The period prior to the company’s release of its interim or preliminary results during which the directors and other employees deemed to be aware of price-sensitive information, are prohibited from dealing in the shares of the company. For a company reporting results six-monthly the close periods are normally the two months before results.
Provisions in a bond indenture or preferred stock agreement that require the bond or preferred stock issuer to take certain specified actions (affirmative covenants) or to refrain from taking certain specified actions (negative covenants).
An electronic share settlement system created by the Bank of England for the securities industry. The system is run by CRESTCo. Shares are registered electronically and allows the purchase and sales to be settled instantaneously on the due date. Dividends can be paid electronically direct to the shareholder's bank.
There are no paper share certificates issued to shareholders in CREST, however their names appear on the company register of shareholders. As with paper shares, it is the company register that provides proof of ownership.
The number of times a company's dividend could be paid out of its net profits after tax in the same period.
Earnings per share (EPS). A company's profit divided by its number of outstanding shares. In calculating EPS, the company often uses a weighted average of shares outstanding over the reporting term.
The voting capital in the company, represented by the ordinary shares.
Literally meaning 'without dividend'. A share is said to be 'ex dividend' between the record date and the payment date. The buyer of a stock selling ex-dividend does not receive the recently declared dividend, but would be eligible for future dividends.
The accounting period of a company. Kingfisher plc’s financial year is for 52 weeks from the beginning of February to the end of January. For financial reporting dates please visit out Financial calendar.
Financial Services Authority (FSA) is an independent, non-governmental body that regulates the financial services industry in the UK.
Used to describe the relationship between debt and equity and is calculated by dividing the company debt by shareholders’ equity. A highly geared company is one that carries a high proportion of debt.
A holding company (or parent company) is one that holds shares in other companies.
Unaudited first six months of the company's financial year figures that provide an indication of the company’s trading and profit performance since the last full year accounting period.
The date from which interest accrued on a security is calculated.
Joint venture (JV). Co-operation on a project or business between two or more parties.
London Inter Bank Offered Rate (LIBOR). The rate of interest that major international banks in London charge each other for borrowings.
Unredeemed redeemable shares held by shareholders receive a dividend calculated on 75 per cent of six months' LIBOR.
A programme which is used to issue debt in the euro and sterling bond markets. The programme includes a standard form of issue documents and a prospectus, which is updated regularly.
The most common class of share representing the owners interest in a company.
Ratio or multiple calculated by dividing the price per share (p) by the earnings per share (e). The A simple measure for comparing the relative valuations of different companies. The P/E ratio is an indicator used by analysts to decide the value of shares relative to the market.
Preliminary results (prelims)
The first release of a company’s results for the full financial year to the stock exchange (unaudited).
The date, set by the issuing company, on which a shareholder must own shares in order to be eligible to receive a declared dividend.
Revolving Credit Facility
A bank credit facility which has a fixed maturity date and which allows the company to draw and repay loans to meet its funding requirements.
US Private Placement
An issue of debt in the US in the private rather than the public debt market. The debt is usually issued in US dollars for fixed periods, with a fixed coupon.
The rate of return gained on an investment. It also refers to the dividend payable on a share (expressed as a percentage of the market price).