Data
Financial Statement Analysis Package (FSAP): Version 10.0
Financial Reporting, Financial Statement Analysis, and Valuation: A Strategic Perspective, 10th Edition FSAP User Guides:
By Jim Wahlen, Steve Baginski and Mark Bradshaw
The FSAP user should only enter data in the blue-font cells shaded light green.
The FSAP User Guides appear in column I to the right. The Data spreadsheet is designed for up to six years of financial statement data. The user must input the most recent year of financial statement data in column G, regardless of the number of years of data inputted.
The user must conform financial statement data to the FSAP template because the spreadsheets within FSAP use the Data spreadsheet as their base. The user can, however, rename account titles as necessary to match the account titles of the particular firm. FSAP contains a number of general purpose accounts that can be renamed to fit the accounts of the particular firm (for example, Other Current Assets (1) and (2)).
FSAP automatically computes the amounts of various sub-totals and totals within the Data spreadsheet. These items are shaded in gray and serve in checking the mathematical accuracy of inputted amounts. FSAP checks to ensure that total assets equal total liabilities and shareholders’ equity, that total revenues and gains minus total expenses and losses equal reported net income, and that cash flows from operating, investing, and financing activities equal the change in cash on the balance sheet. These financial data checks appear at the bottom of the Data spreadsheet. Any material non-zero amounts (that are not due to rounding) on these rows require the user to re-check amounts inputted to identify and correct the error.
Analyst Name: enter analysts' names Insert your name in column B.
Company Name: enter company name Enter the name of the company in Column B. This name will appear on the output of all spreadsheets within FSAP.
Year (Most recent in far right column.) 2016 2017 2018 2019 2020 2021 Throughout FSAP, enter amounts for account titles listed in brackets <> as negative numbers. Except for per share amounts, be consistent with the units of the amounts entered (for example, thosands or millions).
BALANCE SHEET DATA 2016 2017 2018 2019 2020 2021 Enter Balance Sheet Data:
Assets:
Cash and cash equivalents 2,129 2,462 8,756 2,687 4,351 6,456
Short-term investments 134 229 182 71 281 162
Accounts and notes receivable - net 769 870 693 879 883 940
Inventories 1,379 1,364 1,401 1,529 1,551 1,604
Prepaid expenses and other current assets 350 358 1,463 488 740 595
Other current assets (1) Other current assets (1), (2) and (3) can be renamed and used for different types of current assets for different firms.
Other current assets (2)
Other current assets (3)
Current Assets 4,761 5,283 12,494 5,654 7,806 9,756 FSAP automatically computes the amount of total current assets.
Long-term investments 1,141.7 542.3 267.7 220.0 206.1 281.7
Equity and cost investments 354.5 481.6 334.7 396.0 478.7 268.5
Property, plant, and equipment - at cost 10,573 11,584 13,197 14,274 14,155 14,829
-6,040 -6,665 -7,268 -7,842 -7,914 -8,459
Operating lease right-of-use assets 8,134 8,236
Deferred income taxes, net 885 795 135 1,766 1,790 1,875 Other noncurrent assets (1), (2) and (3) can be renamed and used for different types of noncurrent assets for different firms.
Other long-term assets 418 363 412 480 569 579
Other intangible assets 516 441 1,042 782 552 350
Goodwill 1,720 1,539 3,542 3,491 3,597 3,677
Total Assets 14,330 14,366 24,156 19,220 29,375 31,393 FSAP automatically computes the amount of total assets.
Liabilities and Equities:
Accounts payable 731 783 1,179 1,190 998 1,212
Accrued liabilities 1,999 1,935 2,298 1,754 1,161 1,973
Notes payable and short-term debt 439
Current maturities of long-term debt 400 350 1,250 999
Current operating lease liabilities 1,249 1,251
Income taxes payable 1,292 98 348
Deferred revenue and store value card liab 1,171 1,289 1,643 1,269 1,457 1,596 Other current liabilities (1) and (2) can be renamed and used for different types of current liabilities for different firms.
Other current liabilities (2) 246 215 214 665 696 772
Current Liabilities 4,547 4,221 5,684 6,169 7,347 8,151 FSAP automatically computes the amount of total current liabilities.
Long-term debt 3,202 3,933 9,090 11,167 14,660 13,617
Long-term operating lease liabilities 0 0 0 0 7,662 7,738
Deferred tax liabilities 6,776 6,744 6,599 6,463
Other noncurrent liabilities (1) Other noncurrent liabilities (1) and (2) can be renamed and used for different types of non-current liabilities for different firms.
Other long-term liabilities 690 755 1,431 1,371 907 738
Total Liabilities 8,439 8,909 22,981 25,451 37,174 36,707 FSAP automatically computes the amount of total liabilitries.
Preferred stock
Common stock + Additional paid in capital 43 43 42 42 375 847
Retained earnings
5,950 5,563 1,457 -5,771 -7,816 -6,316
Accum. other comprehensive income -108 -156 -330 -503 -365 147
and other equity adjustments Include on this line any treasury stock accounts and any items that do not fall within some other shareholders' equity line. Such items seldom appear in balance sheets of U.S. firms. Amounts that increase (decrease) total shareholders' equity should be entered as positive (negative) amounts.
Total Common Shareholders' Equity 5,884 5,450 1,170 -6,232 -7,805 -5,321 FSAP automatically computes the amount of total shareholders' equity.
Noncontrolling interests 7 7 6 1 6 7
Total Equity 5,891 5,457 1,176 -6,231 -7,799 -5,315
Total Liabilities and Equities 14,330 14,366 24,156 19,220 29,375 31,393 FSAP automatically computes the amount of total liabilities plus shareholders' equity.
INCOME STATEMENT DATA 2016 2017 2018 2019 2020 2021 Enter Income Statement Data:
Revenues 21,316 22,387 24,720 26,509 23,518 29,061 When entering income statement data, enter amounts that increase income (revenues, gains, income) as positive amounts, and enter amounts that decrease income (expenses, losses) as negative amounts.
-8,511 -9,038 -10,175 -8,527 -7,695 -8,739
Gross Profit 12,805 13,349 14,545 17,982 15,823 20,322 FSAP automatically computes the amount of gross profit.
-1,361 -1,393 -1,759 -1,824 -1,680 -1,933
-981 -1,011 -1,247 -1,377 -1,431 -1,442
Add back: Imputed interest expense on operating lease obligations Compute and add back the imputed interest expense on operating lease obligations (if any), as shown in Chapter 10.
Wages/Occupancy and other expenses Other operating expenses (1), (2), and (3) can be renamed and used for different types of recurring operating expenses for different firms.
Store operating expenses -6,064 -6,493 -7,193 -10,494 -10,764 -11,931
Other operating expenses -545 -554 -539 -371 -430 -360
0 -154 -224 -136 -279 -170 Non-recurring operating expenses can be renamed and used for different types of non-recurring expenses for different firms.
Income from equity affiliates
Wahlen, James M.: Wahlen, James M.:
Include here if reported as part of operating income. 318 391 301 298 323 385
Non-recurring operating gains The FSAP user must decide whether particular operating gains or losses are non-recurring - infrequent and unusual given the firm's business and operating environment. If so, enter the amounts on the appropriate rows. Enter expense and loss amounts as negative numbers.
Operating Income 4,172 4,135 3,883 4,078 1,562 4,872 FSAP automatically computes the amount of operating profit.
-81 -93 -170 -331 -437 -470
Subtract: Imputed interest expense on operating lease obligations Compute and subtract the imputed interest expense on operating lease obligations (if any), as shown in Chapter 10.
Interest and Other income 108 275 191 97 40 90
Income from equity affiliates
Wahlen, James M.: Wahlen, James M.:
Include here if not reported as part of operating income.
Wahlen, James M.: Wahlen, James M.:
Include here if reported as part of operating income. 1,376 Enter any amounts of income (or ) from equity or noncontrolled affiliates.
Other income or gains 0 0 499 623 0 865 Enter income or gain amounts (or expense or loss amounts as negative numbers) that are unusual and non-recurring and outside of normal business operations.
Income before Tax 4,199 4,318 5,780 4,466 1,164 5,357 FSAP automatically computes the amount of income before tax.
-1,380 -1,433 -1,262 -872 -240 -1,157 Enter the amount of income tax expense that appears on the income statement in the section for income from continuing operations. If income tax expense reduces income, enter the amount as a negative number.
Income from discontinued operations Enter any amount reported in the separate section of the income statement labeled Discontinued Operations. The amount is reported net of tax effects. Enter as a positive or negative number as appropriate.
Extraordinary gains Enter any amount reported in the separate section of the income statement labeled Extraordinary Items. The amount is reported net of taxes. Enter as a positive or negative number as appropriate.
Income from changes in accounting principles Enter any amount reported in the separate section of the income statement labeled Changes in Accounting Principles. The amount is reported net of income taxes. Enter as a positive or negative number as appropriate.
Net Income 2,819 2,885 4,518 3,595 925 4,200 FSAP automatically computes the amount of net income using the above data for revenues, expenses, gains and losses.
Net income attributable to noncontrolling interests -1 -0 0 5 4 -1 Enter the amount of net income attributable to noncontrolling interests. Enter amount as a negative number. If the firm reports a net loss attributable to noncontrolling interests, enter the amount as a positive number.
Net Income attributable to common shareholders 2,818 2,885 4,518 3,599 928 4,199
Net Income (enter reported amount as a check) Enter the amount of reported net income on this line. It will be used by FSAP to provide a mathematical check on the amounts of all revenues and expenses on preceding lines.
Other comprehensive income items -108 -156 -330 -503 -365 147 This amount usually appears in the Statement of Comprehensive Income. Enter as a positive or negative number as appropriate.
Comprehensive Income 2,709 2,729 4,188 3,096 564 4,347 FSAP automatically computes the amount of comprehensive income.
STATEMENT OF CASH FLOWS DATA 2016 2017 2018 2019 2020 2021 Enter Statement of Cash Flows Data:
Net Income 2,819 2,885 4,518 3,595 925 4,200 In the Statement of Cash Flows Data, enter amounts reported on the firm's statement of cash flows. Enter amounts that increase (decrease) cash as positive (negative) numbers. The row headings help indicate whether amounts should be positive or negative.
Add back depreciation and amortization expenses 1,030 1,067 1,306 1,449 1,958 1,750 FSAP automatically enters the Net Income amount computed above.
Add back stock-based compensation expense 95 99 250 308 249 319
Deferred income taxes 266 95 715 -1,495 -26 -146
-27 -124 -16 -34 -53 -11
Goodwill impairments 87 38 11
Non-cash lease cost 1,198 1,249
Other losses -6 -94 -1,876 -623 0 -865
Accounts receivable -56 -97 131 -198 -3 -43
Inventories -68 14 -41 -173 -11 -50
Prepaid expenses & other current assets 922 -318 251
Income taxes payable 1,237 -1,215 286
Accounts payable 47 46 392 32 -211 190
Accrued litigation charge
Income taxes payable, net
Accrued liabilities & insurance reserves
Deferred revenue 31 -6
Operating lease liability -1,231 -1,488
Prepaid expenses, other current assets & other assets
Stored value card liability 180 131 7,109 -31
Other operating assets & liabilities 249 -5 -677 -141 281 359
Other addbacks to net income
Other operating cash flows 45 69 89 188 25 -6
Net CF from Operating Activities 4,575 4,174 11,938 5,047 1,598 5,989 FSAP automatically computes the amount of cash flow from operations.
Proceeds from sales of property, plant, and equipment
-1,440 -1,519 -1,976 -1,807 -1,484 -1,470
Decrease in marketable securities
Investments sold 750 1,139 1,067 983 187 1,318
-1,586 -674 -1,503 -190 -444 -432
Maturities & calls of investments 28 150 45 60 74 346
Other investing transactions 25 54 6 -56 -44 -81
Net CF from Investing Activities -2,223 -851 -2,362 -1,011 -1,712 -320 FSAP automatically computes the amount of cash flow from investing activities.
Increase in short-term borrowing 1,407 215
-968 -646
Increase in long-term borrowing 1,255 750 5,584 1,996 4,728
-400 -350 -1,250
Issue of capital stock 161 151 154 410 299 246
Proceeds from stock option exercises 123 78
-1,996 -2,043 -7,134 -10,222 -1,699
-1,178 -1,450 -1,743 -1,761 -1,924 -2,119
Minimum tax withholdings on share-based awards -106 -83 -63 -112 -92 -97
Other financing activities -8 -4 -41 -18 -38
Net CF from Financing Activities -1,750 -3,002 -3,243 -10,057 1,713 -3,651 FSAP automatically computes the amount of cash flow from financing activities.
Effects of exchange rate changes on cash -4 11 -40 -49 65 86
Changes in restricted cash
Net Change in Cash 599 333 6,294 -6,070 1,664 2,105 FSAP automatically computes the net change in cash.
Cash and cash equivalents, beginning of year 1,530 2,129 2,462 8,756 2,687 4,351 Enter the beginning balance in cash and cash equivalents for the first year of data.
Cash and cash equivalents, end of year 2,129 2,462 8,756 2,687 4,351 6,456
SUPPLEMENTAL DATA 2016 2017 2018 2019 2020 2021 Enter Supplemental Data:
Statutory tax rate 21.0% 21.0% 21.0% 21.0% 21.0% 21.0% Enter the statutory income tax rate applicable to ordinary income and deductions (such as the deduction for interest expense). The Federal corporate income tax rate is currently 35 percent in the United States. Alternatively, one can enter a statutory tax rate that captures the combined effects of Federal, state, and foreign income taxes. These rates are commonly disclosed in the tax note.
Average tax rate implied from income statement data 32.9% 33.2% 21.8% 19.5% 20.6% 21.6% This rate is computed by FSAP as the ratio of the income tax expense to income before tax.
After-tax effects of nonrecurring and unusual items on net income 0 -121 217 385 -220 548 This row automatically sums the pre-tax amounts of unusual and nonrecurring items and the after-tax amounts of discontinued operatons, extraordinary items and changes in accounting principles from the income statement above. The analyst must then adjust the items that are stated in pre-tax amounts to an after-tax basis either by adjusting for the specific amounts of applicable tax (or tax savings) as disclosed by the firm, or if not disclosed, by adjusting these items for the statutory tax rate.
Depreciation expense 1,030 1,067 1,306 1,449 1,958 1,750 Enter the amount of depreciation expense on property, plant and equipment. These amounts (if any) are usually disclosed either in the property, plant and equipment note or in a supplemental inforrmation note. If depreciation expense is not disclosed separately from amortization expense, enter depreciation plus amortization expense.
Preferred stock dividends (total, if any) 0 0 0 0 0 0 Enter the total amount of preferred stock dividends paid, if any.
Common shares outstanding 18,100 18,100 18,100 18,000 18,000 18,000 Enter the number of common shares outstanding at the end of each year. Be sure to reduce the number of shares issued by the number of any shares held as treasury stock to arrive at the number of common shares outstanding. The number of common shares outstanding should be expressed in the same numerical units (for example, thousands or millions) as the financial statement amounts entered in the preceding cells.
Earnings per share (basic) 1.91 1.99 3.27 2.95 0.79 3.57 Enter the amount that appears on the firm's income statement.
Common dividends per share 0.07 0.08 0.10 0.10 0.11 0.12 This cell computes common dividends per share by dividing the dividend payments from the cash flow statement by the number of outstanding shares. This assumes the firm pays immaterial preferred dividends. If that assumption does not hold, enter the amount of common dividends per share directly.
Share price at fiscal year end 100.00 100.98 109.35 173.26 168.68 229.83 This should be the closing market price per share on the last day of the firm's accounting period (usually December 31 of each year). If stock markets are closed on the last day of the accounting period, use the closing price on the most recent trading day following the end of the period.
FINANCIAL DATA CHECKS
Assets - Liabilities - Equities 0 0 0 0 0 0 FSAP checks for an equality between total assets and total liabilities plus shareholders' equity. A non-zero amount in this row indicates a likely data input error in one or more balance sheet accounts.
Net Income (computed) - Net Income (reported) 2,818 2,885 4,518 3,599 928 4,199 FSAP checks that the inputted amounts of revenues and expenses equal the reported amount of net income. A non-zero amount on this row likely indicates an input error in one or more income statement accounts.
Cash Changes -1 0 0 0 0 FSAP checks that the change in cash on the statement of cash flows equals the change in cash on the balance sheet. A non-zero amount indicates either a data input error on one or more rows of the cash flow statement or the use of a different definition of cash on the two financial statements. The user should identify the reason for and correct any non-zero amount.
Analysis
Financial Statement Analysis Package (FSAP): Version 10.0
Financial Reporting, Financial Statement Analysis, and Valuation: A Strategic Perspective, 10th Edition FSAP User Guides:
By James Wahlen, Steve Baginski and Mark Bradshaw
The FSAP User Guides appear in column J to the right. The Analysis worksheet in FSAP automatically computes a wide array of financial statement analysis ratios using the amounts entered on the Data worksheet.
The FSAP User Guides next to each row provide brief descriptions of ratio computations. See the text for more in-depth discussion of how to compute and interpret each ratio.
Analyst Name: enter analysts' names
Company Name: enter company name
DATA CHECKS
Assets - Liabilities - Equities 0 0 0 0 0 FSAP checks the Data worksheet for an equality between total assets and total liabilities plus shareholders' equity. A non-zero amount in this row indicates a likely data input error in one or more balance sheet accounts.
Net Income (computed) - Net Income (reported) 2818 2885 4518 3599 928 FSAP checks whether the net income amounts determined by revenue and expense amounts entered in the Data worksheet equal the reported amount of net income. A non-zero amount on this row likely indicates an input error in one or more income statement accounts.
Cash Changes -1 0 0 0 FSAP checks that the change in cash on the statement of cash flows equals the change in cash on the balance sheet in the Data worksheet. A non-zero amount indicates either a data input error on one or more rows of the cash flow statement or the use of a different definition of cash on the two financial statements. The user should identify the reason for and correct any non-zero amount.
In the computations below, a #DIV/0! message indicates that a ratio denominator is zero.
PROFITABILITY FACTORS: 2017 2018 2019 2020 2021 Profitability Factors:
RETURN ON ASSETS (based on reported amounts): Return on assets measures the rate of return the firm earns per average dollar invested in assets.
Profit Margin for ROA 13.2% 18.8% 14.6% 5.4% 15.7% Profit margin for ROA measures how much profitability the firm derives from its revenues. For this ratio, profitability is measured before the effects of financing costs (after tax) and minority interest in earnings.
x Asset Turnover 1.6 1.3 1.2 1.0 1.0 Asset turnover measures how efficiently the firm uses its assets to generate sales. It measures the number of sales dollars generated per average dollar invested in assets.
= Return on Assets 20.5% 24.1% 17.8% 5.2% 15.0% Rate of return on assets is the product of the firm's profitability and its efficiency.
RETURN ON ASSETS (excluding the effects of nonrecurring items): See the preceding FSAP User Guides on ROA.
Profit Margin for ROA 13.7% 17.9% 13.1% 6.3% 13.8% These computations of ROA exclude the after-tax effects of nonrecurring items in income to measure the firm's persistent ROA.
x Asset Turnover 1.6 1.3 1.2 1.0 1.0
= Return on Assets 21.4% 23.0% 16.0% 6.1% 13.2%
RETURN ON COMMON EQUITY (based on reported amounts): Return on common equity measures the rate of return the firm earns per average dollar in common shareholders' equity.
Profit Margin for ROCE 12.9% 18.3% 13.6% 3.9% 14.5% Profit margin for ROCE measures the net profit margin per dollar of sales. Profit margin for ROCE is measured after deducting any preferred dividends from net income, in order to compute the amount of net income available to common equity shareholders.
x Asset Turnover 1.6 1.3 1.2 1.0 1.0 Asset turnover measures how efficiently the firm uses its assets to generate sales. It measures the number of sales dollars generated per average dollar invested in assets.
x Capital Structure Leverage 2.5 5.8 -8.6 -3.5 -4.6 Capital structure leverage measures the average amount invested in assets divided by the average amount financed by common equity shareholders.
= Return on Common Equity 50.9% 136.5% -142.2% -13.2% -64.0% Rate of return on common equity is the product of the firm's profitability, efficiency, and leverage.
RETURN ON COMMON EQUITY (excluding the effects of nonrecurring items): See the preceding FSAP User Guides on ROCE.
Profit Margin for ROCE 13.4% 17.4% 12.1% 4.9% 12.6% These computations of ROCE exclude the after-tax effects of nonrecurring items in income to measure the firm's persistent ROCE.
x Asset Turnover 1.6 1.3 1.2 1.0 1.0
x Capital Structure Leverage 2.5 5.8 -8.6 -3.5 -4.6
= Return on Common Equity 53.0% 130.0% -127.0% -16.4% -55.6%
OPERATING PERFORMANCE:
Gross Profit / Revenues 59.6% 58.8% 67.8% 67.3% 69.9% Gross profit margin as a percent of revenues.
Operating Profit / Revenues 18.5% 15.7% 15.4% 6.6% 16.8% Operating income as a percent of revenues.
Net Income / Revenues 12.9% 18.3% 13.6% 3.9% 14.5% Net income as a percent of revenues.
Comprehensive Income / Revenues 12.2% 16.9% 11.7% 2.4% 15.0% Comprehensive income as a percent of revenues.
PERSISTENT OPERATING PERFORMANCE (excluding the effects of nonrecurring items):
Persistent Operating Profit / Revenues 18.5% 15.7% 15.4% 6.6% 16.8% Operating income as a percent of revenues after excluding the effects of non-recurring operating income items (such as non-recurring operating expenses and losses).
Persistent Net Income / Revenues 13.4% 17.4% 12.1% 4.9% 12.6% Net income as a percent of revenues, after excluding the effects of non-recurring items in income.
GROWTH RATES:
Revenue Growth 5.0% 10.4% 7.2% -11.3% 23.6% Year-on-year growth rate in revenues.
Net Income Growth 2.4% 56.6% -20.3% -74.2% 352.4% Year-on-year growth rate in net income.
Persistent Net Income Growth 6.7% 43.1% -25.3% -64.3% 217.9% Year-on-year growth rate in net income, after excluding the effects of non-recurring items in income.
OPERATING CONTROL:
Gross Profit Control Index 99.3% 98.7% 115.3% 99.2% 103.9% The rate of change in gross profit relative to the rate of change in revenues.
Operating Profit Contol Index 94.4% 85.1% 97.9% 43.2% 252.5% The rate of change in operating income relative to the rate of change in revenues.
Net Profit Contol Index 97.4% 141.8% 74.2% 29.0% 367.6% The rate of change in net income relative to the rate of change in revenues.
Profit Margin Decomposition:
Gross Profit Margin 59.6% 58.8% 67.8% 67.3% 69.9% Gross profit margin as a percent of revenues.
Operating Profit Index 31.0% 26.7% 22.7% 9.9% 24.0% Operating profit as a percent of gross profit. The complement of this percentage is the percent of gross profit absorbed by overhead and operating expenses.
Leverage Index 104.4% 148.8% 109.5% 74.6% 110.0% Income before tax as a percent of operating profit. The complement of this percentage is the percent of operating profit absorbed by (net) financing costs. If this index is great than 100%, it implies financing income (interest income, income from equity affiliates) exceeds financing costs (interest expense).
Tax Index 66.8% 78.2% 80.5% 79.4% 78.4% Net income as a percent of income before tax. The complement of this percentage is the average effective tax rate. This index is also affected by items such as extraordinary gains and losses, discontinued operations, and changes in accounting principles.
Net Profit Margin 12.9% 18.3% 13.6% 3.9% 14.5% Net income as a percent of revenues. The net profit margin will also equal the product of the gross profit margin times the operating profit index, the leverage index and the tax index.
Comprehensive Income Performance:
Comprehensive Income Index 94.6% 92.7% 86.1% 61.0% 103.5% Comprehensive income as a percent of net income.
Comprehensive Income Margin 12.2% 16.9% 11.7% 2.4% 15.0% Comprehensive income as a percent of revenues.
RISK FACTORS: 2017 2018 2019 2020 2021 Risk Factors:
LIQUIDITY:
Current Ratio 1.25 2.20 0.92 1.06 1.20 Current assets divided by current liabilities.
Quick Ratio 0.84 1.69 0.59 0.75 0.93 More liquid current assets (cash and cash equivalents, marketable securities, accounts receivable) divided by current liabilities.
Operating Cash Flow to Current Liabilities 95.2% 241.0% 85.2% 23.6% 77.3% Operating cash flows divided by the average amount of current liabilities.
ASSET TURNOVER:
Cash Turnover 9.8 4.4 4.6 6.7 5.4 Revenues divided by the average cash balance.
Days Sales Held in Cash 37.4 82.8 78.8 54.6 67.9 The number of days sales held in cash is measured as 365 divided by the cash turnover rate. It measures the average number of days of sales held in cash and cash equivalents.
Accounts Receivable Turnover 27.3 31.6 33.7 26.7 31.9 Total revenues divided by the average balance in accounts receivable.
Days Receivables Held 13 12 11 14 11 The number of days in receivables is measured as 365 divided by the accounts receivable turnover rate. This measures the average number of days to collect receivables.
Inventory Turnover 6.6 7.4 5.8 5.0 5.5 Cost of goods sold divided by the average amaount of inventory.
Days Inventory Held 55 50 63 73 66 The number of days in inventory is measured as 365 divided by the inventory turnover rate. This measures the average number of days to make and sell inventory.
Accounts Payable Turnover 11.9 10.4 7.3 7.1 8.0 Inventory purchases (computed as cost of goods sold plus the change in inventory) divided by the average amount in accounts payable.
Days Payables Held 31 35 50 52 46 The number of days in payables is measured as 365 divided by the accounts payable turnover rate. This measures the average number of days to pay payables.
Net Working Capital Days 38 26 24 35 31 Net working capital days measures the number of days to make and sell inventory plus the number of days to collect receivables, minus the number of days to pay payables.
Revenues / Average Net Fixed Assets 4.7 4.6 4.3 3.7 4.6 Total revenues divided by the average balance in net property, plant, and equipment. This measures efficiency is using fixed assets to generate revenues.
CAPEX Index 1.4 1.5 1.2 0.8 0.8 Capital expenditures to acquire PPE divided by depreciation expense.
Expected Useful Life of PPE for Depreciation 10.4 9.5 9.5 7.3 8.3 Net PPE (gross PPE minus accumulated depreciation) by depreciation expense. Average expected remaining useful life (in years) of PPE, assuming straight-line depreciation.
Expected Remaining Useful Life of PPE 4.6 4.5 4.4 3.2 3.6 Average gross PPE (at cost) divided by depreciation expense. Average expected useful life (in years) of PPE, assuming straight-line depreciation.
SOLVENCY:
Total Liabilities / Total Assets 62.0% 95.1% 132.4% 126.6% 116.9% This ratio measures the percentage of total ssets financed by total liabilities.
Total Liabilities / Total Equity 163.3% 1954.5% -408.5% -476.6% -690.7% This debt/equity ratio measures total liabiliteis as a percent of common shareholders' equity.
LT Debt / LT Capital 41.9% 88.5% 226.2% 213.7% 164.0% This ratio measures the percent of debt financing relative to total long term capital (long term debt plus commmon shareholders' equity).
LT Debt / Total Equity 72.1% 773.1% -179.2% -188.0% -256.2% This ratio measures the percent of long term debt financing relative to commmon shareholders' equity.
Operating Cash Flow to Total Liabilities 48.1% 74.9% 20.8% 5.1% 16.2% Operating cash flows divided by the average amount of total liabilities.
Interest Coverage Ratio (reported amounts) 47.7 34.9 14.5 3.7 12.4 Net income before interest expense, income taxes, and minority interest in income, divided by interest expense.
Interest Coverage ratio (recurring amounts) 47.7 32.0 12.6 3.7 10.6 Net income before interest expense, income taxes, minority interest in income, and non-recurring items divided by interest expense.
RISK FACTORS:
Bankruptcy Predictors:
Altman Z Score 126.22 53.89 75.20 49.58 68.88 The Altman Z-score is a multivariate predictor of bankruptcy.
Bankruptcy Probability 0.00% 0.00% 0.00% 0.00% 0.00% The probability of bankruptcy over the next two years as indicated by the Altman Z-score.
Earnings Manipulation Predictors:
Beneish Earnings Manipulation Score -2.83 -4.16 -2.51 -2.67 -2.65 The Beneish Earnings Manipulation Score is a multivariate indicator of the likelihood reported earnings numbers have been fraudulently manipulated.
Earnings Manipulation Probability 0.23% 0.00% 0.60% 0.38% 0.40% The probability of earnings manipulation given the Beneish Earnings Manipulation Score.
DIVIDEND and STOCK MARKET-BASED RATIOS:
Stock Returns 1.1% 8.4% 58.5% -2.6% 36.3% Stock returns measure fiscal year-end share price plus dividends divided by beginning of year share price.
Price-Earnings Ratio (reported amounts) 50.7 33.4 58.7 213.5 64.4 Fiscal year-end share price divided by earnings per share.
Price-Earnings Ratio (recurring amounts) 50.6 33.6 59.2 210.3 64.9 Fiscal year-end share price divided by earnings per share after excluding the per-share effects of non-recurring items in income.
Market Value to Book Value Ratio 335.4 1692.4 -500.4 -389.0 -777.4 Market value of common equity divided by book value of common equity.
Common Dividends per Share $ 0.08 $ 0.10 $ 0.10 $ 0.11 $ 0.12
Common Dividend Payout (% of Net Income) 50.3% 38.6% 48.9% 207.2% 50.5%
Common Dividend Yield (% of Share Price) 0.1% 0.1% 0.1% 0.1% 0.1%
INCOME STATEMENT ITEMS AS A PERCENT OF REVENUES: Common-Sized Income Statements:
2017 2018 2019 2020 2021
Revenues 100.0% 100.0% 100.0% 100.0% 100.0% All of the common-size income statement ratios measure a particular income amount as a percent of total revenues.
-40.4% -41.2% -32.2% -32.7% -30.1%
Gross Profit 59.6% 58.8% 67.8% 67.3% 69.9%
-6.2% -7.1% -6.9% -7.1% -6.7%
-4.5% -5.0% -5.2% -6.1% -5.0%
Wages/Occupancy and other expenses
Store operating expenses -29.0% -29.1% -39.6% -45.8% -41.1%
Other operating expenses -2.5% -2.2% -1.4% -1.8% -1.2%
-0.7% -0.9% -0.5% -1.2% -0.6%
Income from equity affiliates 1.7% 1.2% 1.1% 1.4% 1.3%
Non-recurring operating gains
Operating Income 18.5% 15.7% 15.4% 6.6% 16.8%
-0.4% -0.7% -1.2% -1.9% -1.6%
Interest and Other income 1.2% 0.8% 0.4% 0.2% 0.3%
Income from equity affiliates 5.6%
Other income or gains 2.0% 2.3% 3.0%
Income before Tax 19.3% 23.4% 16.8% 5.0% 18.4%
-6.4% -5.1% -3.3% -1.0% -4.0%
Income from discontinued operations
Extraordinary gains
Income from changes in accounting principles
Net Income 12.9% 18.3% 13.6% 3.9% 14.5%
Net income attributable to noncontrolling interests -0.0% 0.0% 0.0% 0.0% -0.0%
Net Income attributable to common shareholders 12.9% 18.3% 13.6% 3.9% 14.5%
Other comprehensive income items -0.7% -1.3% -1.9% -1.6% 0.5%
Comprehensive Income 12.2% 16.9% 11.7% 2.4% 15.0%
INCOME STATEMENT ITEMS: GROWTH RATES Income Statement Growth Rates:
2017 2018 2019 2020 2021
YEAR TO YEAR GROWTH RATES: CAGR:
Revenues 5.0% 10.4% 7.2% -11.3% 23.6% 6.4% The year-on-year growth rates indicate the annual rate of growth in a particular income item.
6.2% 12.6% -16.2% -9.8% 13.6% 0.5% The CAGR (compound annual growth rates) indicate the average compounded rate of growth in a particular income statement item over the five-year data...