statement of earnings noun [C]. âº ACCOUNTING, FINANCE an âofficial âdocument that is âpart of a company's âfinancial âresults and gives details of its âprofit or âloss for a particular âperiod: During the âboom âyears, âcompanies put out exaggerated âstatements of âearnings.
Lagging indicators report on data that comes from past activity. The difference between leading and lagging indicators is the latter can indicate whether the nationâs economy is actually growing or contracting. A few examples of leading indicators may be bond yields or housing starts. Bonds are typically safe investments with little inherent risk.
Key business indicators are a type of measurement. They are essential for business leaders to understand what is happening in their business. The first step to determining your KPI is to understand the difference between lagging and leading indicators. The second step is to define and monitor your business indicators.