Alternative performance measures

Senzime has defined alternative performance measures that are not defined in accordance with IFRS.

The following table shows the reconciliation of the alternative performance measures which are taken from Senzime’s reviewed interim report for the period January 1 – September 30, 2021.


Performance measure


Motive for use

Gross margin excl. amortization

Gross profit (loss) excl. amortization of intangible assets divided by net sales

The group uses the alternative performance measure gross margin excluding amortization because it illustrates the impact of amortization of capitalized development expenditure on gross margin.

Operating profit excluding depreciation

Earnings before interest and taxes excluding depreciation of intangible assets

The group uses the alternative
key ratio Operating profit excluding depreciation
as it shows how much impact depreciation
of capitalized development costs
has on operating profit.

Equity/assets ratio

Closing equity in the period divided by closing total assets in the period

The group uses the alternative performance measure equity/assets ratio because it illustrates the portion of the total assets that consist of equity and has been included so investors will be able to assess the group’s capital structure.