earned surplus

Earned surplus

Undistributed Profits

The amount of a publicly-traded company's post-tax earnings that are not paid in dividends. Most earnings retained are re-invested into the company's operations. Year-on-year tracking of the ratio of undistributed profits to dividends is important to fundamental analysis to investigate whether a company is increasing or decreasing its rate of re-investment. Undistributed profits form part of a company's equity, and are owned by shareholders. They are also called retained earnings, accumulated profits, undivided profits, and earned surplus.

earned surplus

References in periodicals archive ?
1121(b) during the claim provided that "[e]xcept as otherwise provided by this section, a corporation shall use the same accounting methods to apportion taxable earned surplus as used in computing reportable federal taxable income.
Olympus made the errors in some tables so that the numbers didn't match with figures elsewhere in the report, while the totals for debt, earned surplus and net assets were correct, Olympus said in a statement.
Under this very broad definition, most state assessments, including some franchise taxes based on earned surplus or income taxes, qualify as income tax payments.
Net taxable earned surplus was defined in the state statute by reference to the corporation's federal taxable income.
The bank said it will also seek the approval of shareholders to tap all of its 90 million yen earned surplus reserve to write off the same amount of losses from its operations.
A ruling party panel working on measures to bolster the sagging stock market plans to seek a legal amendment to allow companies to buy back shares up to an amount equivalent to their earned surplus, a senior panel official said Thursday.
This article discusses the following issues relating to throwback sales: (1) Massachusetts's "home office" rule; (2) Michigan's jurisdictional test for single business tax purposes; (3) differing throwback rules for the taxable capital and earned surplus components of Texas franchise tax; and (4) application of throwback to combined returns.
Goodwill would be charged as the excess of cost over other assets and then written off to earned surplus.
Of course, dividends will be paid only out of our unreserved and unrestricted earned surplus, but given our current and expected growth rate, we believe we can continue to grow the company as well as reward our shareholders with a very competitive dividend.
86-272 for earned surplus purposes, and overruled a previous comptroller's decision indicating that delivery in company-owned vehicles was unprotected; see.
The huge loss wiped out Fujitsu's earned surplus and put the account into a deficit of 80.
NYSE:HIT)(TOKYO:6501) today announced that its Board of Directors has decided to submit a proposal for reduction of the capital reserve and the earned surplus reserve to its Ordinary General Meeting of Shareholders to be held on June 23, 2009.