Distributable profit
The part of accumulated profit a company may direct to dividends under statute and its articles.
How to read the number
It caps the payment from above: even after a record year, only what the accounts and the state of net assets permit can be distributed.
When the metric lies
Profit on paper is not cash in the account: it went into inventory, construction and debt repayment long ago, and a payment then requires fresh borrowing.
Also known as: distributable profit