R&D
SPENDING (000$)
R&D spending in thousands of dollars including: an estimate for the current
year, a forecast for the coming year, and an historical figure for last year. According
to FASB #2, R&D is company sponsored research for the discovery of new
knowledge to be used in a new product, service or process for improving an existing
product. Development is using research to plan and design a new product or process.
COMPANY NUMBER
A number assigned to each company in each section showing the number of firms analyzed.
SIC DIFF
The difference between a company's R&D-to-Sales Ratio and the average
R&D-to-Sales Ratio for that company's industry, as defined by the SIC Number.
SIC NUMBER
Standard Industrial Classification Number of each company and industry as assigned by the
U.S. Department of Commerce to each company's primary line of business.
R&D TO SALES RATIO
R&D expense divided by net sales (after discounts and allowances) as a
percentage. An estimate for the current year. The "low" and "high" are
the lowest and the highest ratios of the current year, five years back, and one year
forward. In service industries, net sales is revenue or gross income or other
measure used by accountants as the "top line" of the income statement.
R&D TO MARGIN RATIO
R&D expense divided by gross margin (net sales-cost of goods sold) as a percentage. An
estimate for the current year. The "low" and "high" are the
lowest and highest ratios of the current year, five years back, and one year forward.
In service industries, cost of goods sold is the cost
of operations and providing services. Includes: labor, materials, goods purchased
for resale, production expense, and production overhead. Excludes: depreciation,
amortization, income taxes, administrative expenses, and other non-production
expenses.
GROWTH RATES
The average annual compound growth rate in R&D spending and the average
annual compound growth rate in sales, as a percentage from the current year to the
coming year.
THE MEANING OF E
"E" indicates that no historical R&D spending was available for
this company. Estimates were based on an Industry Model for that firm's industry.
Accuracy depends upon how similar the firm is to others in the same industry. |
