Finance Review  | continued The effective tax rate of 17.8% of pre-tax profit was higher than 2011 (16%),  reflecting the mix of Group profits by geographical region.  Earnings per share declined by 7% to 76.5c (2011: 82.6c), reflecting the lower  pre-tax profit for the year. Excluding non-cash depreciation, amortisation and  impairment charges, cash earnings per share increased by 7% to 206.8c  (2011: 194.0c). Some key financial performance indicators which, taken together, are a  measure of performance and financial strength are set out below in table 2. The share price at 31 December 2012 was €15.30, little changed from the  2011 closing price (€15.36); however, with the 2012 dividend at 62.5c,  the net return for shareholders for the year was a positive 4%. This follows  returns of +3% in 2011, -16% in 2010 and +22% in 2009. At year-end 2012,  CRH’s market capitalisation was €11.1 billion (2011: €11 billion), ranking the  Group at number four in its building materials peer group. Total shareholders’ equity remained unchanged at €10.6 billion, with the  net comprehensive income for the year of €0.4 billion offset by dividends of  €0.4 billion. Year-end net debt of just under €3 billion was €0.5 billion lower  than year-end 2011, and accordingly the percentage of net debt to total  equity reduced to 28% (2011: 33%). With year-end market capitalisation  broadly in line with year-end 2011, the debt/market capitalisation percentage  was also lower at 27% (2011: 32%). Table 3 summarises the main cash flows for 2012 and 2011. Cash flows from operations Total operating cash inflows amounted to €1,469 million in 2012, a reduction  of €27 million compared with 2011, largely as a result of the 5% reduction in  profit before tax.  Operating cash outflows decreased to €1,424 million (2011: €1,470 million)  mainly due to a lower net working capital outflow. Working capital levels  are driven by trends in overall sales and also by seasonal weather patterns.  CRH believes that its working capital is sufficient for the Group’s present  requirements. The Group EBITDA margin declined by 0.4 percentage points as the  significant increase in input costs was not fully recovered in selling prices;  operating profit margin similarly declined to 4.5%. Management believes that  the EBITDA/net interest cover ratio is useful to investors because it matches  the earnings and cash generated by the business to the underlying funding  costs. With a higher level of net interest in 2012, the multiple of EBITDA to  debt-related interest reduced to 6.4 times (2011: 7.2 times), well in excess  of our covenant level of 4.5 times and in keeping with our commitment to  maintaining an investment grade rating. Payments during 2012 to address deficits in the Group’s defined benefit  pension schemes were €50 million higher than 2011. Stable capital  18 CRH Liquidity and Capital Resources Table 2 Financial Performance Indicators 2012 2011 EBITDA margin 8.8% 9.2% Operating profit margin 4.5% 4.8% EBITDA/net interest cover 6.4x 7.2x Effective tax rate 17.8% 16.0% Shareholder return 4% 3% Net debt as % of total equity 28% 33% Net debt as % of market capitalisation 27% 32% Financial Performance Indicators € million Revenue EBITDA Operating  profit Profit on  disposals Finance   costs Associates’  profit  after tax Pre-tax  profit 2011 as reported 18,081 1,656 871 55 (257) 42 711 Exchange effects 748 68 32 2 (12) 3 25 2011 at 2012 exchange rates 18,829 1,724 903 57 (269) 45 736 Incremental impact in 2012 of: - 2012 and 2011 acquisitions 603 60 33 - (3) - 30 - 2012 and 2011 divestments (389) (46) (23) 160 2 - 139 - Restructuring costs  - 1 1 - - - 1 - Impairment charges - -  (7) - - (135) (142) Ongoing operations (384) (99) (62) 13 (19) (22) (90) 2012 18,659 1,640 845 230 (289) (112) 674 % change +3% -1% -3% -5% Table 1 Key Components of 2012 Performance