Industry Financial Report

release date: December 2016

ALL US
[4452] Specialty Food Stores
Sector: Retail Trade
Sales Class: $5m - $9.99m
For non-commercial academic use only by authorized users

Contents Firms Analyzed

Income-Expense statement - dollar-based
Income-Expense statement - percentage-based 2011 445
Balance Sheet - dollar-based 2012 421
Balance Sheet - percentage-based
2013 417
Sources-Uses of Funds
Financial Ratios - Cash Flow-Solvency 2014 472
Financial Ratios - Profitability 2015 532
Financial Ratios - Efficiency-Debt-Risk
Financial Ratios - Turnover 2016q2 552
About the Data

Time Series: Financial reports analyze calendar years as displayed. Our winter release reports display an additional,
overlapped year running from the end of the second quarter of the prior year to the end of the second quarter of the release
year.
NAICS-6 industries Applied: 445210, 445220, 445230, 445292, 445299

Discretionary Owner Earnings (%)

5 4.65
4.32
4.07
4

0 2014 2015 2016q2

1
Income and Expense- Profit and Loss $
2011 2012 2013 2014 2015 2016q2
Business Revenue 7,542,312 7,481,975 7,561,118 6,952,300 7,566,830 7,608,822
Cost of Sales 5,173,468 5,560,846 5,663,704 5,258,933 5,717,618 5,747,631
Cost of Sales - Labor Portion 16,995 20,270 17,101 16,102 21,338 18,881
Gross Margin 2,368,844 1,921,129 1,897,414 1,693,367 1,849,212 1,861,191
Officers Comp. 110,931 108,225 109,369 91,462 95,761 91,640
Salary-Wages 553,378 612,319 599,729 581,931 607,636 581,334
Rent 184,321 153,112 187,218 132,215 138,568 132,692
Taxes Paid 98,858 101,755 117,953 91,075 95,504 91,306
Advertising 68,101 60,318 78,252 49,497 51,863 49,511
Benefits-Pensions 38,600 51,522 67,083 55,418 58,020 55,618
Repairs 60,631 61,066 74,564 38,516 40,372 38,708
Bad Debt 5,250 4,922 4,537 1,390 1,458 1,522
Sales, General, Admin & Misc. 407,291 518,349 460,616 455,510 499,916 503,032
EBITDA 841,483 249,541 198,093 196,353 260,114 315,828
Amortization Depreciation Depletion 59,287 50,862 73,453 44,285 46,416 44,429
Operating Expenses 1,586,648 1,722,450 1,772,774 1,541,299 1,635,514 1,589,792
Operating Income 782,196 198,679 124,640 152,068 213,698 271,399
Interest Income 696 1,496 756 695 832 761
Interest Expense 21,519 19,730 23,985 13,568 16,245 17,118
Other Income 82,150 94,987 77,822 73,694 77,278 73,806
Pre-Tax Net Profit 843,523 275,432 179,233 212,889 275,563 328,848
Income Tax 85,840 90,669 53,150 66,277 90,719 111,501
After Tax Net Profit 757,683 184,763 126,083 146,612 184,844 217,347
Discretionary Owner Earnings 927,901 343,850 308,905 282,359 327,021 353,416

2
Income and Expense- Profit and Loss %
2011 2012 2013 2014 2015 2016q2
Business Revenue 100.0% 100.0% 100.0% 100.0% 100.0% 100.0%
Cost of Sales 68.59% 74.32% 74.91% 75.64% 75.56% 75.54%
Cost of Sales - Labor Portion 0.23% 0.27% 0.23% 0.23% 0.28% 0.25%
Gross Margin 31.41% 25.68% 25.09% 24.36% 24.44% 24.46%
Officers Comp. 1.47% 1.45% 1.45% 1.32% 1.27% 1.20%
Salary-Wages 7.34% 8.18% 7.93% 8.37% 8.03% 7.64%
Rent 2.44% 2.05% 2.48% 1.90% 1.83% 1.74%
Taxes Paid 1.31% 1.36% 1.56% 1.31% 1.26% 1.20%
Advertising 0.90% 0.81% 1.03% 0.71% 0.69% 0.65%
Benefits-Pensions 0.51% 0.69% 0.89% 0.80% 0.77% 0.73%
Repairs 0.80% 0.82% 0.99% 0.55% 0.53% 0.51%
Bad Debt 0.07% 0.07% 0.06% 0.02% 0.02% 0.02%
Sales, General, Admin & Misc. 5.40% 6.93% 6.09% 6.55% 6.61% 6.61%
EBITDA 11.17% 3.32% 2.61% 2.83% 3.43% 4.16%
Amortization Depreciation Depletion 0.79% 0.68% 0.97% 0.64% 0.61% 0.58%
Operating Expenses 21.03% 23.04% 23.45% 22.17% 21.62% 20.88%
Operating Income 10.38% 2.64% 1.64% 2.19% 2.82% 3.58%
Interest Income 0.01% 0.02% 0.01% 0.01% 0.01% 0.01%
Interest Expense 0.29% 0.26% 0.32% 0.20% 0.21% 0.22%
Other Income 1.09% 1.27% 1.03% 1.06% 1.02% 0.97%
Pre-Tax Net Profit 11.19% 3.67% 2.36% 3.06% 3.64% 4.34%
Income Tax 1.14% 1.21% 0.70% 0.95% 1.20% 1.47%
After Tax Net Profit 10.05% 2.46% 1.66% 2.11% 2.44% 2.87%
Discretionary Owner Earnings 4.61% 4.59% 4.08% 4.07% 4.32% 4.65%

3
Dollar-based sales and other dollar-based data in this report reflect averages for sales of the industry segment, not total
industry-wide averages. As a result, sales levels may vary from year to year, depending on the mix of firms that fall within the
selected segment.
In local Industry Financial reports, the "Other Income" line item percentage is applied directly from US averages for this
industry. Local percentages may differ. Other P&L percentages and all dollar calculations are based on actual local data.
Business Revenue includes receipts from core business operations. Interest Income and Other income (such as rents and
royalties) are generally detailed separately below Operating Income. While Business Revenue is separated from Interest
Income for most classifications, Business Revenue includes interest income from the private sector where it is central to
financial industry operations, including Finance and Insurance (NAICS 52xxxx except NAICS 5242xx Insurance Brokers and
Other Insurance Activities); Real Estate-Rental-Leasing (53xxxx); and Management of Companies and Enterprises
(55xxxxx).
Cost of Sales includes materials and labor involved in the direct delivery of a product or service. Other costs are included in
the cost of sales to the extent that they are involved in bringing goods to their location and condition ready to be sold. Non-
production overheads such as development costs may be attributable to the cost of goods sold. The costs of services
provided will consist primarily of personnel directly engaged in providing the service, including supervisory personnel and
attributable overhead.
Gross Margin represents direct operating expenses plus net profit. In addition to the labor portion of Cost of Sales, wage
costs are reflected in the Officers Compensation and Wages-Salary line items. In many cases, SG&A (Sales, General and
Administrative) costs also include some overhead, administrative and supervisory wages.
Rent covers the rental cost of any business property, including land, buildings and equipment.
The Taxes Paid line item includes payroll other paid-in tax items, but not business income taxes due for the period. Although
it can be calculated in many ways and is a controversial measure, the EBITDA line item (Earnings before Interest
Expense, income tax due, Depreciation and Amortization) adds back interest payments, depreciation, amortization and
depletion allowances, and excludes income taxes due to reduce the effect of accounting decisions on the bottom line of the
Profit and Loss Statement. Since some firms utilize EBITDA to "add back" non-cash and flexible expenses which may be
altered through credits and accounting procedures (such as income tax), paid-in income taxes from the Taxes Paid line item
are not added back in the EBITDA calculation.
Advertising includes advertising, promotion and publicity for the reporting business, but not on behalf of others.
Benefits-Pension includes, but is not limited to, employee health care and retirement costs. In addition to varying
proportions of overhead, administrative and supervisory wages, some generally more minor expenses are aggregated
under SG&A (Sales, General and Administrative).
Operating Expenses sums the individual expense line items above, yielding the Operating Income or net of core business
operations, when subtracted from the Gross Margin.
Pre-Tax Net Profit represents net profit before income tax due. Income Tax calculates the federal corporate tax rate before
credits, leaving After-Tax Profit at the bottom line.
Discretionary Owner Earnings sums Officer Compensation, Depreciation and related non-cash expenses and Net Profit
after business taxes to represent a practical measure of total return to owners. The D.O.E. metric is mainly used for small
businesses.

4
Balance Sheet - dollar-based
Assets 2011 2012 2013 2014 2015 2016q2
Cash 357,518 248,943 244,018 196,263 231,271 232,383
Receivables 106,171 110,675 101,216 83,322 112,794 113,191
Inventory 528,560 351,517 335,891 277,464 357,976 359,530
Other Current Assets 68,417 55,285 59,401 43,033 41,626 41,783
Total Current Assets 1,060,666 766,420 740,526 600,082 743,667 746,887
Gross Fixed Assets 2,231,725 1,478,102 1,427,998 1,171,537 1,392,654 1,414,145
Accum. Depreciation-Amortization-Depltn. 1,395,290 925,279 894,104 736,450 874,241 885,954
Net Fixed Assets 836,435 552,823 533,894 435,088 518,412 528,191
Other Non-Current Assets 188,771 153,807 138,977 115,237 142,575 144,990
Total Assets 2,085,872 1,473,050 1,413,397 1,150,407 1,404,654 1,420,068
Liabilities
Accounts Payable 350,112 215,137 217,410 171,901 216,450 224,549
Loans/Notes Payable 129,531 76,022 75,564 57,049 58,775 62,118
Other Current Liabilities 108,091 78,125 94,096 74,287 100,955 103,601
Total Current Liabilities 587,734 369,284 387,070 303,237 376,180 390,268
Total Long Term Liabilities 517,270 355,503 312,277 265,967 334,551 342,868
Total Liabilities 1,105,004 724,787 699,347 569,204 710,731 733,136
Net Worth 980,868 748,263 714,050 581,203 693,923 686,932
Total Liabilities & Net Worth 2,085,872 1,473,050 1,413,397 1,150,407 1,404,654 1,420,068

Cash: Money on hand in checking, savings or redeemable certificate accounts.

Receivables: A short-term asset (to be collected within one year) in the form of accounts or notes receivable, and usually
representing a credit for a completed sale or loan.
Inventory: The stockpile of unsold products.
Current Assets: The sum of a firm's cash, accounts and notes receivable, inventory, prepaid expenses and marketable
securities which can be converted to cash within a single operating cycle.
Fixed Assets: Long-term assets such as building and machinery, net of accumulated amortization-depreciation-depletion.
print-onlyTotal Assets: The sum of current assets and fixed assets such as plant and equipment.
Note: Some legacy year asset line items are blended with the closest four digit industry segment. In local Industry Financial
report, some legacy year asset line item percentages are applied directly from US averages for this industry. Local
percentages may differ. Other balance sheet percentages and all balance sheet dollar calculations are based on actual
local data.
Accounts Payable: Invoices due to suppliers within the current business cycle.
Loans/Notes Payable: Loan amounts due to suppliers within the current business cycle.
Current Liabilities: Measurable debt owed within one year, including accounts, loans and notes payable, accrued liabilities
and taxes due.
Long Term Liabilities: Debt which is due in more than one year, including the portion of loans and mortgages that become
due after the current business cycle.
Total Liabilities: Current Liabilities plus Long Term Liabilities such as notes and mortgages due over more than one year.
Net Worth: Current assets plus fixed assets minus current and long-term liabilities.

5
Balance Sheet - percentage-based
Assets 2011 2012 2013 2014 2015 2016q2
Cash 17.14% 16.90% 17.26% 17.06% 16.46% 16.36%
Receivables 5.09% 7.51% 7.16% 7.24% 8.03% 7.97%
Inventory 25.34% 23.86% 23.76% 24.12% 25.48% 25.32%
Other Current Assets 3.28% 3.75% 4.20% 3.74% 2.96% 2.94%
Total Current Assets 50.85% 52.02% 52.38% 52.16% 52.93% 52.59%
Gross Fixed Assets 106.17% 99.36% 100.01% 100.13% 97.72% 98.48%
Accum. Depreciation-Amortization-Depltn. 66.07% 61.83% 62.24% 62.31% 60.81% 61.28%
Net Fixed Assets 40.10% 37.53% 37.77% 37.82% 36.91% 37.19%
Other Non-Current Assets 9.05% 10.45% 9.85% 10.02% 10.16% 10.22%
Total Assets 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
Liabilities
Accounts Payable 16.78% 14.60% 15.38% 14.94% 15.41% 15.81%
Loans/Notes Payable 6.21% 5.16% 5.35% 4.96% 4.18% 4.37%
Other Current Liabilities 5.18% 5.30% 6.66% 6.46% 7.19% 7.30%
Total Current Liabilities 28.17% 25.06% 27.39% 26.36% 26.78% 27.48%
Total Long Term Liabilities 24.80% 24.13% 22.09% 23.12% 23.82% 24.14%
Total Liabilities 52.97% 49.19% 49.48% 49.48% 50.60% 51.62%
Net Worth 47.03% 50.81% 50.52% 50.52% 49.40% 48.38%
Total Liabilities & Net Worth 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%

Note: Some legacy year asset line items are blended with the closest four digit industry segment. In local Industry Financial
report, some legacy year asset line item percentages are applied directly from US averages for this industry. Local
percentages may differ. Other balance sheet percentages and all balance sheet dollar calculations are based on actual
local data.

6
Sources & Uses of Funds
Change in: 11-12 12-13 13-14 14-15
Cash and cash equivalents -108,575 -4,925 -47,756 35,008
Worksheet:
Accounts receivable -4,504 9,459 17,894 -29,471
Inventory 177,043 15,626 58,426 -80,511
Other Curr Assets 13,132 -4,117 16,368 1,407
Net Fixed Assets 283,611 18,930 98,806 -83,325
Other Non-Curr Assets 34,964 14,830 23,740 -27,338
Accounts payable -134,975 2,273 -45,510 44,550
Loans/Notes Payable -53,509 -458 -18,514 1,726
Other Current Liabilities -29,967 15,972 -19,810 26,668
Long-term debt -161,767 -43,225 -46,311 68,585
Net Worth -232,605 -34,213 -132,847 112,720
Total Sources & Uses -108,575 -4,925 -47,756 35,008
Cash: Beginning period 357,518 248,943 244,018 196,263
Cash: End period 248,943 244,018 196,263 231,271
Change in Cash & Cash equivalents -108,575 -4,925 -47,756 35,008

Sources and Uses: The Sources and Uses of Funds table tests the accuracy of the balance sheet and distinguishes the
sources of funds from their use. It is the basic worksheet preliminary to a formal cash flow statement examining the liquidity
of a business. A multi-year industry benchmark common size balance sheet, which includes overlapped but not identical
sets of firms in each year, is not well-suited for the presentation of a formal cash flow analysis.

7
Financial Ratios: Cash Flow-Solvency
2011 2012 2013 2014 2015 2016q2
Accounts Payable: Business Revenue (%) 4.64 2.88 2.88 2.47 2.86 2.95
Current Liabilities: Inventory 1.11 1.05 1.15 1.09 1.05 1.09
Current Liabilities: Net Worth 0.60 0.49 0.54 0.52 0.54 0.57
Current Ratio 1.80 2.08 1.91 1.98 1.98 1.91
Days Payable 24.70 14.12 14.01 11.93 13.82 14.26
Quick Ratio 0.79 0.97 0.89 0.92 0.91 0.89
Total Liabilities: Net Worth 1.13 0.97 0.98 0.98 1.02 1.07
Accounts Payable: Business Revenue: Accounts Payable divided by Annual Business Revenue, measuring the speed
with which a company pays vendors relative to Business Revenue. Numbers higher than typical industry ratios suggest that
the company may be using suppliers to float operations.
Current Liabilities: Inventory: Current Liabilities divided by Inventory: A high ratio, relative to industry norms, suggests
over-reliance on unsold goods to finance operations.
Current Liabilities: Net Worth: Current Liabilities divided by Net Worth, reflecting a level of security for creditors. The larger
the ratio relative to industry norms, the less security there is for creditors.
Current Ratio: This is the same as Current Assets divided by Current Liabilities, measuring current assets available to cover
current liabilities, a test of near-term solvency. The ratio indicates to what extent cash on hand and disposable assets are
enough to pay off near term liabilities. The Quick Ratio is applied as a more stringent test.
Days Payables: 365/(Cost of Sales: Accounts Payable ratio): Reflects the average number of days for each payable before
payment is made.
Quick Ratio: Cash plus Accounts Receivable, divided by Current Liabilities, indicating liquid assets available to cover
current debt. Also known as the Acid Ratio. This is a harsher version of the Current Ratio, which balances short-term
liabilities against cash and liquid instruments.
Total Liabilities: Net Worth: Total liabilities divided by Net Worth. This ratio helps to clarify the impact of long-term debt,
which can be seen by comparing this ratio with Current Liabilities: Net Worth. Creditors are concerned to the extent that total
liability levels exceed Net Worth.

Current Liabilities Net Worth Current Liabilities Inventory

2.0 2.0

1.09 1.05 1.09

1.0 1.0
0.52 0.54 0.57

0 2014 2015 2016q2 0 2014 2015 2016q2

8
 Accounts Payable: Sales (%) Current Ratio

4.0 3.0

2.86 2.95
3.0 1.98 1.98 1.91
2.47
2.0

2.0

1.0
1.0

0 2014 2015 2016q2 0 2014 2015 2016q2

Days Payable Quick Ratio

20.0 2.0

13.82 14.26
15.0
11.93

0.92 0.91 0.89

10.0 1.0

5.0

0 2014 2015 2016q2 0 2014 2015 2016q2

Total Liabilities: Net Worth

2.0

1.02 1.07
0.98
1.0

0 2014 2015 2016q2

9
Financial Ratios: Profitability
2011 2012 2013 2014 2015 2016q2
EBITDA: Business Revenue (%) 11.16 3.34 2.62 2.82 3.44 4.15
Pre-Tax Return On Assets (%) 40.44 18.70 12.68 18.51 19.62 23.16
Pre-Tax Return on Net Worth (%) 86.00 36.81 25.10 36.63 39.71 47.87
Pre-Tax Return on Business Revenue (%) 11.19 3.67 2.36 3.06 3.64 4.34
After Tax Return on Assets (%) 8.50 12.54 8.92 12.74 13.16 15.31
After Tax Return on Net Worth (%) 18.07 24.69 17.66 25.22 26.64 31.64
After Tax Return on Business Revenue (%) 10.05 2.46 1.66 2.11 2.44 2.87
Discretionary Owner Earnings (%) 4.61 4.59 4.08 4.07 4.32 4.65

EBITDA: EBITDA: Business Revenue: Earnings Before Interest, (income) Taxes due, Depreciation and Amortization divided
by Business Revenue. EBITDA: Business Revenue is a relatively controversial (and often criticized) metric designed to
eliminate the effect of finance and accounting decisions when comparing companies and industry benchmarks. Tax credits
and deferral procedures and non-cash expenditures (Amortization and Depreciation) are not deducted from the profit
equation, as are interest expenditures.
Return on Assets: Pre-Tax or After Tax Net Profit divided by Total Assets, a critical indicator of profitability. Companies
which use their assets efficiently will tend to show a ratio higher than the industry norm. The ratio may appear higher for
small businesses due to owner compensation draws accounted as net profit.
Return on Net Worth: Pre-Tax or After Tax Net Profit divided by Net Worth. This is the 'final measure' of profitability to
evaluate overall return. This ratio measures return relative to investment, how well a company leverages the investment in it.
May appear higher for small businesses due to owner compensation draws accounted as net profit.
Return on Business Revenue: Pre-Tax or After Tax Net Profit Net Profit divided by Annual Business Revenue, indicating
the level of profit from each dollar of Business Revenue. This ratio can be used as a predictor of the company's ability to
withstand changes in prices or market conditions. May appear higher for small businesses due to owner compensation
draws accounted as net profit.
Discretionary Owner Earnings: Sums Officer Compensation, Depreciation and related non-cash expenses and Net Profit
after business taxes to represent a practical measure of total return to owners. The D.O.E. metric is mainly used for small
businesses.

10
Profitability Ratios:

EBITDA: Sales (%) Return on Assets Pre-Tax (%)

5.0% 30.0%
4.15%
23.16%
25.0%
4.0% 3.44%
19.62%
18.51%
2.82% 20.0%
3.0%
15.0%
2.0%
10.0%

1.0% 5.0%

0 2014 2015 2016q2 0 2014 2015 2016q2

Return On Net Worth Pre-Tax (%) Return On Sales Pre-Tax (%)

47.87%
50.0% 5.0% 4.34%
45.0% 39.71%
36.63% 3.64%
40.0% 4.0%
35.0% 3.06%
30.0% 3.0%
25.0%
20.0% 2.0%
15.0%
10.0% 1.0%
5.0%
0 0
2014 2015 2016q2 2014 2015 2016q2

11
Financial Ratios: Efficiency-Debt-Risk
2011 2012 2013 2014 2015 2016q2
Assets: Business Revenue 0.28 0.20 0.19 0.17 0.19 0.19
Cost of Sales: Accounts Payable 14.60 25.45 25.63 29.78 25.81 25.15
Cost of Sales: Inventory 9.67 15.57 16.59 18.45 15.61 15.70
Days Inventory 37.29 23.07 21.65 19.26 22.85 22.83
Days Receivables 5.14 5.40 4.89 4.37 5.44 5.43
Days Working Capital 23.17 19.68 17.34 16.02 18.14 17.42
EBITDA: Interest Expense 39.10 12.65 8.26 14.47 16.01 18.45
Fixed Assets: Net Worth 0.85 0.74 0.75 0.75 0.75 0.77
Gross Margin: Business Revenue 31.41 25.68 25.09 24.36 24.44 24.46
Net Working Capital: Business Revenue 0.06 0.05 0.05 0.04 0.05 0.05
Loans/Notes Payable:Net Worth 0.13 0.10 0.11 0.10 0.08 0.09
Long-Term Liabilities:Net Worth 0.53 0.48 0.44 0.46 0.48 0.50

Assets: Business Revenue: Total Assets divided by Net Business Revenue, indicating whether a company is handling too
high a volume of Business Revenue in relation to investment. Very low percentages relative to industry norms might indicate
overly conservative sales efforts or poor sales management.
Cost of Sales: Accounts Payable: Measures the number of times payables turn over in the course of the year. High
measures may indicate cash flow concerns.
Cost of Sales: Inventory: Reflects the number of times inventory is turned over during the course of the year. High levels
can mean good liquidity or Business Revenue, or shortages requiring better management. Low levels may indicate poor
cash flow or overstocking.
Days Inventory: 365/(Cost of Sales: Inventory): The average number of days of items in inventory.
Days Receivables: 365/ (Receivables Turnover): Reflects the number of days that receivables are outstanding. Target
average or lower.
Days Working Capital: 365/ (Working Capital Turnover): Expresses the coverage in number of days of available working
capital.
EBITDA: interest expense: Earnings before Interest, (income) Taxes due, Depreciation and Amortization divided by Interest
expense. Assesses financial stability by examining whether a company is at least profitable enough to pay interest expense.
A ratio >1.00 indicates it is. See cautions in the listing for EBITDA.
Fixed Assets: Net Worth: Fixed Assets divided by Net Worth. High ratios relative to the industry can indicate low working
capital or high levels of debt.
Gross Margin: Business Revenue: Pretax profits divided by Annual Business Revenue. This is the profit ratio before
product and Business Revenue costs, as well as taxes. This ratio can indicate the "play" in other expenses which could be
adjusted to increase the Net Profit margin.
Net Working Capital: Business Revenue: Net Working Capital divided by Business Revenue. Indicates if a company is
maintaining a reasonable level of liquidity relative to its Business Revenue volume. A high ratio indicate an overly
conservative reliance on liquid assets, while low ratios suggests the opposite.
Loans/Notes Payable: Net Worth: The Loans/Notes Payable portion of current liabilities divided by Net Worth, a measure of
debt coverage.
LongTerm Liabilities: Net Worth: LongTerm Liabilities divided by Net Worth, a measure of debt coverage.

12
Efficiency-Debt-Risk Ratios:

Assets: Business Revenue Cost of Sales: Accounts Payable

1.00 40.0
35.0 29.78
0.75 30.0 25.81 25.15
25.0
0.50 20.0
15.0
0.17 0.19 0.19 10.0
0.25
5.0

0 0
2014 2015 2016q2 2014 2015 2016q2

Cost of Sales: Inventory Days Inventory

18.45
20.0 30.0
15.61 15.7 22.85 22.83
25.0
15.0 19.26
20.0

10.0 15.0

10.0
5.0
5.0

0 2014 2015 2016q2 0 2014 2015 2016q2

Days Receivables (x) Days Working Capital (x)

6.0 5.44 5.43 20.0 18.14

17.42
16.02
5.0 4.37
15.0
4.0

3.0 10.0

2.0
5.0
1.0

0 2014 2015 2016q2 0 2014 2015 2016q2

13
 EBITDA: Interest Fixed Assets: Net Worth

18.45
20.0 2.0
16.01
14.47
15.0

10.0 1.0 0.75 0.75 0.77

5.0

0 2014 2015 2016q2 0 2014 2015 2016q2

Gross Margin: Business Revenue Net Working Capital: Sales

30.00 1.00
24.36 24.44 24.46
25.00
0.75
20.00

15.00 0.50

10.00
0.25
5.00 0.04 0.05 0.05

0 2014 2015 2016q2 0 2014 2015 2016q2

14
Financial Ratios: Turnover
2011 2012 2013 2014 2015 2016q2
Cash Turnover (X) 20.84 29.59 30.49 34.48 31.98 32.17
Current Asset Turnover 7.11 9.76 10.21 11.59 10.18 10.19
Fixed Asset Turnover 8.91 13.32 13.93 15.55 14.26 14.15
Inventory Turnover (X) 14.09 20.96 22.15 24.39 20.66 20.79
Receivables Turnover (X) 70.17 66.58 73.51 81.25 65.54 66.04
Total Asset Turnover (X) 3.57 5.00 5.26 5.88 5.26 5.26
Working Capital Turnover (X) 15.95 18.84 21.39 23.42 20.59 21.34

Cash Turnover: Business Revenue divided by Cash. Indicates efficiency in the use of cash to develop Business Revenue.
A more stringent ratio than Working Capital Turnover (below). Target at or slightly below industry level.
Current Asset Turnover: Business Revenue divided by Current Assets. A general indicator of the efficiency of asset use.
Target at or slightly below industry level.
Fixed Asset Turnover: Business Revenue divided by Fixed Assets. An indicator of the efficiency of investment in fixed asset
such as plant and equipment. Target at or slightly below industry level.
Inventory Turnover: Business Revenue divided by Inventory. This ratio gives a picture of how quickly inventory turns over.
Ratios below the industry norm suggest high levels of inventory. High ratios could indicate product levels insufficient to
satisfy demand in a timely manner. Target: at or slightly above industry level.
Receivables Turnover: Business Revenue divided by Receivables. An indicator of how efficiently invoiced sales are
collected. Target at or slightly above industry level.
Total Asset Turnover: Business Revenue divided by Total Assets. Target: at or slightly below industry level.
Working Capital Turnover: Business Revenue divided by Net Working Capital (current assets minus current liabilities).
Ratios higher than industry norms may indicate a strain on available liquid assets, while low ratios may suggest too much
liquidity. Target: at or above industry level.

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Turnover Ratios:

Cash Turnover Current Asset Turnover

40.0 34.48 20.0

31.98 32.17
35.0
30.0 15.0
11.59
25.0 10.18 10.19
20.0 10.0
15.0
10.0 5.0
5.0
0 0
2014 2015 2016q2 2014 2015 2016q2

Fixed Asset Turnover Inventory Turnover (X)

20.0 30.0
24.39
15.55
14.26 14.15 25.0 20.79
20.66
15.0
20.0

10.0 15.0

10.0
5.0
5.0

0 2014 2015 2016q2 0 2014 2015 2016q2

Receivables Turnover (X) Total Asset Turnover (X)

90.0 81.25 7.0

5.88
80.0 6.0 5.26 5.26
65.54 66.04
70.0
5.0
60.0
50.0 4.0
40.0 3.0
30.0
2.0
20.0
10.0 1.0
0 2014 2015 2016q2 0 2014 2015 2016q2

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About the Data

Raw data analyzed for BizMiner reports is sourced from an array of the nation's government and private statistical sources.
None of these raw data sources creates the final measures reflected in BizMiner industry profiles. In total, BizMiner accesses
over a billion sourced data points from 15 million business operations for each of its twice annual updates covering a 3-5
year time series. Historical data and BizMiner algorithms are used to inform and test projections for non-reporting firms. Data
elements are sourced specifically from:
IRS SOI Corporation Tax Book
IRS Statistics of Income
US Economic Census
US Census Quarterly Financial Reports
US Census County Business Patterns
Bureau of Labor Statistics Monthly Employment Reports
Bureau of Labor Statistics Monthly Unemployment Reports
Bureau of Labor Statistics Annual Wage Survey
Bureau of Labor Statistics Industry Productivity Reports
Bureau of Labor Statistics Price Indices
National Agricultural Statistical Service
US Census Quarterly Financial Reports
US Census Retail Trade Report
InfoGroup, Inc.
Credit Reporting Agencies
Business Directories
American Community Survey

While 100% firm coverage is desirable for analysis purposes, the greatest value of BizMiner reports rests in discerning
patterns of activity, which are reflected in the large samples used to develop our reports. The overall current coverage of the
databases surpasses 13 million active business operations at any point in time.
As is the case with any databases this large, some errors are inevitable. Some firms are missed and specific information on
others is lacking from the database. Not all information received is uniform or complete, resulting in the need to develop
projection algorithms for specific industry segments and metrics in some report series. No representation is made as to the
accuracy of the databases utilized or the results of subsequent analyses. Neither the Brandow Company nor its resellers has
undertaken independent primary research to confirm the accuracy of the data utilized in the Profile analyses. Neither the
Brandow Company nor its resellers are responsible for conclusions drawn or decisions made based upon this data or
analysis. In no event will the Brandow Company or its resellers be liable for any damages, direct, indirect, incidental or
consequential resulting from the use of the information contained in BizMiner reports.

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