Capital and reserves
Assets minus liabilities — the part of the company that genuinely belongs to its owners.
Capital and reserves brings together subscribed capital, share premium, the legal reserve, other reserves, profit or loss brought forward from earlier years, and the result for the current year.
Every Luxembourg capital company must put at least 5% of its annual result into the legal reserve until that reserve reaches 10% of subscribed capital. The reserve is unavailable: it cannot be distributed.
Negative equity means liabilities exceed assets. Where net assets fall below half of subscribed capital, the law requires the owners to be convened to decide whether the company should be wound up. It is one of the few figures in a public filing with a direct legal consequence.
Capital and reserves in figures
The ranking fills up as companies with published reports arrive.
Where this figure comes from
Read from the “Capital and reserves” line of the balance sheet filed with the Centrale des Bilans.
Related terms