Question 01

Ratio analysis on financial statements of John Keels Holdings PLC (Group)

Ratio 2010 2009
Liquidity Ratios    
Current ratio    

Current Assets 34,565,852:16,849,307 28,718,463:13,873

Current Liabilities
     
  2.05:1 2
     
Quick ratio    
     
Current assets - Inventories 34,565,852 - 2,295,066:16,849,307 28,718,463-2,254,303:13,873
Current liabilities
     
  1.91:1 1
Cash ratio    
     
Cash+ Marketable Securities 3,013,164 2,052
Current Liabilities 16,849,307 13,873

0.18
Net working Capital Ratio    
     
Net Working Capital 34,565,852-16,849,307 28,718,463-13,873
Net Assets 56,261,783 50,466
0.314 0
Leverage Ratios    
Debt Ratio    
     
Total Debt (TD) 17,452,769 21,597,478
Total Debt + Net Worth 17,452,769+56,261,783 21,597,478+50,466
  0.25
Working 01    
Total Debt 17,452,769 21,597
Debt Equity Ratio    

Total debt (TD) 17,452,769 21,597

Net worth (NW) 56,261,783 50,466
  31.0
Total assets liability ratio    
     
Total Liabilities (TL) 42,396,526 41,6

Total Assets (TA) 98,658,309 ,063

     
  0.429
Fixed Charge Coverage Ratio

EBIT 7,907,711 7,9

Interest+(Loan repayment /(1-T) 1,370,156+(2,368,809/(1-35) 1,695,134+(1,428,046

1.57 2.05

Interest coverage ratio    

     
EBIT 6,537,555+1,370,156 6,291,240+1,6
Interest 1,370,156 1,6
     
  5.77 times 4.7

Activity Ratios    
Inventory turnover    
   
Cost of goods sold 36,914,007 31,2
Average inventory 2,274,685 3,1
     
  16.22
Working 02    
Average inventory 2,274,685 3,1
Inventory turnover    

Sales 48,390,217 41,3

Inventory 2,295,066 2,2
     
  21.08
Debtors turnover
   
Credit sales 48,390,217 41,3
Average debtors 6,023,006 5,5
     
  8.03

Working 03    
Average Debtors 6,023,006 5,552,
Average collection period    
     
Debtors * 360 6,407,160*360 5,638,851*
Sales 48,390,217 41,381,
  47.6 days 49 d
     
Asset Turnover Ratio    
   
Sales 48,390,217 41,381,
Net Assets 56,261,783 50,466,
     
  0.86 0
Working 04    
Net Assets 56,261,783 50,466,
Net Fixed Asset Ratio

Sales 48,390,217 41,381,

Net Fixed Assets 29,988,664 29,965,
  1.61 1
Profitability Ratios
Gross profit margin    
     
Gross profit 11,065,997 9,810,
Sales 48,390,217 41,381,
22.87% 23.7
Net profit margin    

Profit after tax 5,552,315 4,964,

Sales 48,390,217 41,381,
  11.47% 11.9
Operating Expenses Ratio    
     
Operating expenses 10,778,849 9,020,
Sales 48,390,217 41,381,
  22.27% 21.7
Working 05    
Operating Expenses 10,778,849 9,020,
Return on Investment (ROI)

EBIT (1-Tax) 5,552,315 4,964,

Total Assets 98,658,309 92,140,
5.63%
Return on Equity (ROE)    
     
Profit after taxes 5,552,315 4,9
Net worth 56,261,783 50,4
     
  9.86%
Earning per share (Basic)    
     
Profit attributable to the equity holders 5,201,491 4,7
Number of common shares outstanding 615,890 6
     
  8.45
Earning per share (Diluted)    
     
Profit attributable to the equity holders 5,201,491 4,7
Adjusted Number of common shares outstanding 620,388 6
     
  8.38
     
Dividend per share    
     
Earning paid to shareholders (Dividend) 1,843,642 1,8
Number of ordinary shares outstanding 615,890 6
  2.99 (3.00) 2.9
     

Dividend - payout ratios    

     
Dividend per share 2.99
Earning per share 8.45
  0.35
Earnings Yield

Earning per Share 8.45

Market Value per Share 184
0.05
Price Earning Ratio

Market Value per share 184

Earning per share 8.45
21.77
Gearing

Long term Liabilities 25,547,219 27,7

Equity share holder funds 49,832,271 45,5

0.51

Working 1
Total Debt 2010 2009
Long term Non-interest bearing 18,000 21,000
Long term Interest bearing 10,539,450 10,539,450
Short term borrowings 150,000 90,000
Short term interest bearing 4,168,976 1,817,511
Bank Overdraft 2,576,343 4,929,826
17,452,769 21,597,478

Working 2
Average Inventory 2010 2009
(2,295,066+2,254,303)/2 (2,254,303+3,985,025)/2
2,274,685 3,119,664
Working 3
Average Debtors 2010 2009
(6,407,160+5,638,851 )/2 (5,638,851+5,466,539)/2
6,023,006 5,552,695
Working 4
Net Assets 2010 2009
(TA-TL) 98,658,309-42,396,526 92,140,063-41,673,298
56,261,783 50,466765
Working 5
Operating expenses 2010 2009
Distribution expenses 2,066,691 1,587,806
Administration expenses 7,218,294 6,050,237
Other operating expenses 1,493,864 1,382,180
10,778,849 9,020,223

Ratio analysis on financial statements of Hemas Holdings PLC (Group)

Ratio 2010 20
Liquidity Ratios    
Current ratio    

Current Assets 7,246,365,267:5,316,281,054 6,074,2

Current Liabilities
     
  1.36:1
     
Quick ratio    
     
7,246,365,267- 1,544,559,296 6,074,2
Current assets - Inventories :5,316,281,054
Current liabilities
     
  1.07:1
Cash ratio    
     
Cash+ Marketable Securities 392,885,938
Current Liabilities 5,316,281,054

0.07
Net working Capital Ratio    
     
Net Working Capital 7,246,365,267-5,316,281,054 6,074,2
Net Assets 9,180,220,410
0.21
Leverage Ratios    
Debt Ratio    
     
Total Debt (TD) 4,166,102,837
Total Debt + Net Worth 4,166,102,837+9,180,220,410 5,019,2
  0.31
Working 01    
Total Debt 4,166,102,837
Debt Equity Ratio    

Total debt (TD) 4,166,102,837

Net worth (NW) 9,180,220,410

  0.45
Total assets liability ratio    

Total Liabilities (TL) 6,886,710,630

Total Assets (TA) 16,066,931,043
     
  0.42
Interest coverage ratio    
     
EBIT 1,094,718,688+449,375,718 856
Interest 449,375,718
     
  3.43 times

Activity Ratios    
Inventory turnover    
   
Cost of goods sold 10,118,212,855
Average inventory 1,426,677,202
     
  7.09
Working 02    
Average inventory 1,544,559,296
Inventory turnover    

Sales 15,221,417,759
Inventory 1,544,559,296
     
  9.85
Debtors turnover
   
Credit sales 15,221,417,759
Average debtors 2,997,177,072
     
  5.07

Working 03    
Average Debtors 2,997,177,072

Average collection period    

     
Debtors * 360 3,147,997,235*360
Sales 15,221,417,759

  74.4 days
     
Asset Turnover Ratio    
   
Sales 15,221,417,759 15
 Net Assets 9,180,220,410 7
     
  1.65
Working 04    
Net Assets 9,180,220,410 7
Net Fixed Asset Ratio

Sales 15,221,417,759 15
Net Fixed Assets 7,033,615,456 7
  2.16
Profitability Ratios
Gross profit margin    
     
Gross profit 5,103,204,904 4
Sales 15,221,417,759 15
33.52%
Net profit margin    

Profit after tax 934,643,946

Sales 15,221,417,759 15
  6.14%
Operating Expenses Ratio    
     
Operating expenses 3,785,760,761 3
Sales 15,221,417,759 15
  24.87%
Working 05    
Operating Expenses 3,785,760,761 3
Return on Investment (ROI)

EBIT (1-Tax) 934,643,946

Total Assets 16,066,931,043 14
5.81%
Return on Equity (ROE)    
     
Profit after taxes 934,643,946
Net worth 9,180,220,410 7
     
  10.18%

Earning per share (Basic)    

     
Profit attributable to the equity holders 901,730,007
Number of common shares outstanding 101,958,124
     
  8.84

Dividend per share    

     
Earning paid to shareholders
(Dividend) 183,524,623
Number of ordinary shares outstanding 101,958,124
  1.80
     

Dividend - payout ratios    

     
Dividend per share 1.80
Earning per share 8.84
  0.20

Earnings Yield

Earning per Share 8.84

Market Value per Share 120
0.07

Price Earning Ratio

Market Value per share 120

Earning per share 8.82

13.61

Gearing

Long term Liabilities 1,570,429,576 2

 Equity share holder funds 7,692,116,022 7

0.20

Working 1
Total Debt 2010 2009
Long term Non-interest bearing 8,790,222 13,781,847
Long term Interest bearing 1,231,529,708 1,710,142,082
Short term borrowings 1,207,000 1,207,000
Short term interest bearing 1,954,966,774 2,151,965,116
Bank Overdraft 969,609,133 1,142,119,977
4,166,102,837 5,019,216,022

Working 2
Average Inventory 2010 2009
(1,544,559,296+1,308,795,107)/2 (1,308,795,107+1,263,114,406)/2
1,426,677,202 1,285,954,757

Working 3
Average Debtors 2010 2009
(3,147,997,235+2,846,356,909)/2 (2,846,356,909+2,925,107,623)/2
2,997,177,072 2,885,732,266

Working 4
Net Assets 2010 2009
(TA-TL) 16,066,931,043-6,886,710,630 14,835,813,330-6,970,459,902
9,180,220,410 7,865,353,428
Working 5
Operating expenses 2010 2009
Distribution expenses 1,305,185,673 1,058,105,058
Administration expenses 2,480,575,088 2,242,785,657
3,785,760,761 3,300,890,715