It is explained in API 6A, Section 5.6.2 Equivalent Round (ER). There are equations to calculate ER.
If you review API 6A they even provide a definition under Terms and Conditions
3.1.41
equivalent round ER
standard for comparing various shaped sections to round bars, in determining the response to hardening characteristics when heat-treating low alloy and martensitic corrosion-resistant steel
The reason for the above is that hardenability curves during quenching, like Jominy Curves were performed using round bars as a standard.