Bill.Com Holdings Inc (BILL) is a leading financial management software company that provides cloud-based solutions for small and medium-sized businesses. The company's income statement shows its financial performance over a specific period of time. It includes revenue, expenses, and net income. This statement helps evaluate the company's profitability and efficiency.
One of the key metrics used in evaluating a company's financial performance is EBIT, which stands for earnings before interest and taxes. It is calculated by subtracting operating expenses and non-operating expenses from gross profit. EBITDA, on the other hand, adds back depreciation and amortization expenses to EBIT. These metrics provide a clear picture of a company's operating profitability before considering interest and taxes.
Gross profit is an important indicator of a company's financial health. It represents the revenue generated by the company after deducting the direct costs of producing goods or services. Net income from stockholders is the profit that is left over after subtracting all expenses, including taxes and interest, from the total revenue. It reflects how well the company is utilizing its assets and managing its costs.
Total revenue is the sum of all the money generated by the company from its primary operations. It includes revenue from product sales, services rendered, and any other sources. This figure demonstrates the company's ability to generate income and grow its business. The balance sheet provides a snapshot of a company's financial position at a specific point in time. It shows the company's assets, liabilities, and stockholders' equity.
Cash equivalents are highly liquid assets that can be easily converted into cash. It includes short-term investments such as treasury bills, commercial paper, and money market funds. Net debt is the difference between a company's total debt and its cash and cash equivalents. It measures the company's ability to meet its financial obligations. Stockholders' equity represents the residual interest in the company's assets after deducting liabilities.
Total assets represent the value of all the resources owned by the company, including cash, properties, equipment, and investments. It provides a measure of the company's financial strength and its ability to generate future cash flows. Total debt includes both short-term and long-term debts that the company owes to its creditors. It highlights the company's borrowing activities and its leverage.
Total liabilities include all the obligations that the company owes to its creditors, such as debts, accounts payable, and accrued expenses. It shows the company's financial obligations and its ability to repay its creditors. Cash flow is the movement of money into or out of a business. It encompasses three categories: operating cash flow, investing cash flow, and financing cash flow.
Operating cash flow measures the cash generated or used by a company's primary operations. It includes cash received from customers and cash paid to suppliers, employees, and other operating expenses. Investing cash flow includes cash flows from buying or selling assets, such as property, plant, and equipment. Financing cash flow includes cash flows from issuing or repurchasing the company's own stock and from borrowing or repaying debt.
Free cash flow is a measure of a company's ability to generate cash after deducting capital expenditures necessary to maintain or expand its asset base. It represents the cash that is available to be distributed to investors or reinvested in the business. Investing cash flow includes cash flows from buying or selling assets, such as property, plant, and equipment. Financing cash flow includes cash flows from issuing or repurchasing the company's own stock and from borrowing or repaying debt.