by comparing the ratios of both companies for the years 2011 and 2012 individually and among each other in order to arrive at recommendations regarding the best entity for making investments. Myer Holdings Limited is one of the largest department stores groups of Australia being in the fashion industry since last 100 years. However, Harvey Norman Holdings is involved in the sale and distribution of goods under Harvey Norman brands via different independent franchises. The paper also outlines the limitations in the ratio analysis of the financial statements of these Companies. Table of Contents Executive Summary 2 Table of Contents 3 1.0 Introduction 4 1.1 Ratios Analysis 5 1.1.1 Liquidity Ratios Analysis. 5 1.1.2 Leverage Ratios Analysis. 6 1.3 Recommendation and Conclusion 11 References 12 1.0 Introduction This report outlines the ratio analysis of the financial statements of Myer Holdings Limited and Harvey Norman Holdings Limited for the periods 2011 and 2012. The paper also highlights the limitations of evaluations using ratios analysis. As outlined in the Harvey Norman corporate website the Harvey Norman Holdings Limited is involved in giving the franchise agreements to independent business entities for the supply of household and office equipments under the banner of Harvey Norman. It deals in a wide variety of goods and the business is spread over many geographical regions. (Harvey Norman Company 2008) As per the Myer holdings official website the company claims to be ‘Australia’s largest department store group, and a leader in Australian retailing’ involved in the management and running of departmental stores and retail business especially of fashion goods all over Australia. (Myer Holdings Company 2012) 1.1 Ratios Analysis Accounting ratios are calculated in a way that relationships between two or more figures of the financial statements are evaluated. In this part the ratios provided for Myer Holdings Limited and Harvey Norman Holdings Limited for 2011 and 2012 are compared. 1.1.1 Liquidity Ratios Analysis. Liquidity is defined as the ability of a company to realize value in money. The liquidity ratios are used to evaluate the financial stability of a company in short term. (Kishore 2009, p.62). The following liquidity ratios are provided in the question: Myer Holdings Limited Harvey Norman Holdings Limited Key Ratios 2011 2012 2011 2012 Current Ratio 0.81 0.88 1.64 1.63 Quick Ratio 0.12 0.11 1.3 1.35 As per Kishore current ratios are defined as a measure of the short term solvency of a company. (Kishore 2009, p.62). It indicates the amount of current assets that are available to discharge every $1 of current liability. The current ratio of 1 or more shows that a company is in a solvent position indicating having enough assets to discharge its liabilities. As per the given ratios it is quite evident that the solvency position of Harvey Norman with a current ratio of 1.63 in 2012 is much better than that of Myer Holdings with a current ratio of 0.88 in 2012. It can also be concluded that the solvency position of Myer Holdings Limited have improved by 0.07 from 2011’s 0.81 to 2012’s 0.88. As far as Harvey Norman Holdings is considered there is an extremely minor deterioration in the year 2012 by 0.01. Quick ratio is used to evaluate the ability of a company to discharge its current liabilities from the realization of quick assets (current assets – inventories). This ratio gives out the amount in $ of the quick assets available with the company to discharge current liabilities worth $1. (Kishore 2009, p.63). As evident from the given data, Harvey Norman Holdings Limited seems to be highly stable in this regard with a quick
This report sets out a detailed ratio analysis of the financial statements of Myer Holdings Ltd. and Harvey Norman Holdings Ltd. by comparing the ratios of both companies for the years 2011 and 2012 …
It employs over 2000 people and has offices around the globe including state of the art design centers based in the U.S., France, India, Sweden and Taiwan. It follows a unique business model (Figure 1) whereby it licenses IP to a wide network of partners, comprising of firms which are pioneers in the supplying of semiconductors and systems (ARM Holdings, 2012a).
The company has developed innovative way of conducting its business through licensing manufacturing companies to use their technology. This move has made the company to command a large market share owing to the standards of its products. The design of the company operation is to limit the cost it incurs in manufacturing.
Porter’s Stages of evolution 12 Porter’s five forces 12 Porter’s Generic Strategies 14 Conclusion 14 References 15 Introduction Andersen Holdings Private Healthcare is a company that focuses on the healthcare service business. The company has a wide international presence and has adopted several strategies that would put the company at a position of competitive advantage compared to the other companies operating in the same sector.
Given the limited nature of the information provided, we will use what we do know of the company's operations and the provided financial statements to guide the process. Our review will be less than typical; there is an inherent limitation in the scope of the marketing portion of this analysis, given the lack of data on competitors, specific brand strength, plant operations and distribution channels, as well as other standard evaluative measures.
The company established an office in Gort, County Galway, in the early 1940s, where it is involved in building housing, schools etc. The company was incorporated as Thomas McInerney & Sons, in 1949. And subsequently in 1971 the company went public, with the largest ever-public issue of that time in Ireland and got an encouraging response from the public as well.
This project had an innovation at its heart which had a successful test run ,a commercial test production followed by a full scale product launch. The innovation is comprised in a machine that is able to produce perfectly boiled eggs. The company has a simple structure and small size.
Reducing its prices by 25% did not help HKL get a competitive advantage. The company was loosing its existing tenants and could not get new ones. One good example is Mandatory Provident fund Authority (MPFA) which occupied 30% of Landmark, one of HKL’s
ing that inhibited the movement of the plaintiff, clearly this is an impingement on one’s personal property and effects—the effect in question being the chloroform drum. However, there are unfortunately legal grounds for this peccadillo of personal privacy to be
er will describe the history of Toll Holdings in detail by giving a particular focus to the firm’s notable achievements as well as potential obstacles.
Generally, Toll Holdings provides integrated logistics solutions to customers in order to meet their overall distribution
As the discussion stresses the primary aim of the company is to provide best financial service to its clients all over the U.K. and presently has more than 28 billion worth of investor’s money. The company presently employs 1877 employees. The business also encompasses managing funds of charities and conducts estate planning.
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