D
Dairy Milk
Top chocolate bar.
Dividend cover
Underlying EPS divided by Dividend per ordinary share.
Dividend Yield (%)
The current percentage dividend yield based on the present cash dividend rate. It is calculated as the indicated annual dividend divided by the current price, multiplied by 100.
E
Economic Profit
Our objective is to maximise the value of Cadbury Schweppes for our shareowners. An important financial tool that helps us measure value is economic profit. Traditional ways of measuring performance, such as operating profit after tax or earnings per share, do not take into account the full cost of the capital used to generate those profits.
Capital is a combination of the funds provided by shareowners and money borrowed by Cadbury Schweppes, which we use to run the business and fund assets, such as property, office equipment, machinery and working capital.
All capital has a cost which must be taken into account to calculate the economic profitability of our business. We only create value when we make a profit greater than the cost of capital invested.
We define economic profit as:
Operating Profit less Tax less a Capital Charge
Where the capital charge is calculated by multiplying the money the business has tied up in capital by the weighted average cost of capital"WACC".
Ethical Trading
Our aims to ensure that conditions within mainstream production chains meet basic minimum standards and to eradicate the most exploitative forms of labour such as child and forced labour. Labelling criteria are generally based on core ILO conventions.
F
Free cash flow
Free cash flow is the amount of cash generated by the business after meeting all its obligations for interest, tax and dividends and after all capital investment, excluding share sales or purchases by the Employee Trust.
Functional confectionery
Refers to a market sector where the product serves a purpose such as cough sweets, sugar-free or chewing gum.