Climbing from $146.9 million in 2007 to $528.8 million in 2013, the net cash provided by operating activities has almost tripled and reached a CAGR of 23.79%.
First of which, is the current ratio. It has been rapidly declining since 2000. To me this indicates that there is a liquidity issue. Each year their trade debt increase exceeds the increase of net income for the company. As a result, the working capital has taken a nosedive from $58,650 in 2002 to only $5,466 in 2003.
Figure 7 shows how the cash-in from operating activities and cash out to investment activities are balanced through multiple accounting periods. Toyota have steadily increased profits between FY 2011 and FY 2015, but regarding FCF, it is a negative result except for 2015. It turned out that the investment was using more capital annually than the profit obtained from the business of the main business. Investing CF (-15,802,252 million yen) is larger for cumulative CF from 2011 to 2015 compared to operating CF (15,696,396 million yen), which is a deficit of -105,856 million yen in total. Even for each year, cash flow will be red in most of the year, excluding FY 2015 (Table 6). During this period, the organization is in the operating surplus and operating profit base is in surplus. Regardless of why the deficit is said, it seems to be said that the earnings have changed to assets other than cash. In addition, missing cash is covered by borrowing money, and the company almost finances the profit each year almost every
In the case of Assessing a Company’s Future Financial Health, the case concentration is on SciTronics, a medical device company, performance measures based on the organization’s three primary financial data sources in Exhibit 1 & 2. Utilizing the 9 steps of corporate financial system, I will be able to analyze the financial health of the company to assess whether it will remain balance over the ensuing 3-5 years. The measures are grouped by focusing on “Financial Ratios” such as: 1.) profitability measures, 2) activity measures, and 3) leverage and liquidity measures. Using the financial data sources, I would be able to make recommendations regarding SciTronics 126 million loan request.
The most current financial report shows, payables of $7,237 (millions). The account payables added up to $6,651 (millions). The category makes up most of the payables. Next is the accrued expenses at $984 (millions). The last is current debt, this being the second largest payables account at $1,305 (millions).
Increase in current liabilities Substantial increase in current liabilities weakened the company’s liquidity position. Its current liabilities were US$2,063.94 million at the end of FY2010, a 48.09% increase compared to the previous year. However, its current assets recorded a marginal increase of 25.07% - from US$1,770.02 million at the end of FY2009 to US$2,213.72 million at the end of FY2010. Following this, the company’s current ratio declined from 1.27 at the end of the FY2009 to 1.07 at the end of FY2010. A lower current ratio indicates that the company is in a weak financial position, and it may find it difficult to meet its day-to-day obligations.
The cash flow statement consists of three parts: cash flows provided by operating activities of $13,831, cash flows provided by investing activities, and cash flows provided by financing activities effect of exchange rate changes on cash and cash equivalents of ($204)
Net income totaled $97.8 million in 1984, an increase of 5% from 1983.when looking at the Consolidated Balance Sheet (Exhibit2), we found that the total assets grew 15% to $2.7 billion at the end of fiscal 1984 due to addition of real estate inventories as part of the acquisition of another company. The ratio of debt to total capitalization jumped to 43% at 1984 from 20% at previous year.
The financial statements included tend to combine cash and marketable securities into a category labeled “cash and cash equivalents”. If the cash ratio is recalculated using this value instead of simply cash than the ratio improves to 1.10, which shows much stronger liquidity capabilities.
The company is listed on the Johannesburg stock exchange with a market capitalisation of R 41 billion as of 30 September 2016 (Bloomberg, 2016). The magnitude of the market capitalisation makes it a
For the year 2007 the total asset was $423,504 and total equity is $302,115 which is equal to 28.6%. This is not bad for any company but considering the Banks point of view it would be a lot better if it was higher that 30%.
Cash on hand is $398 million. This is only a $110 million increase from December 31, 1999. This means relatively little, as the cash flows for the corporation is what really matters.
In 2009 Toyota Motors (TM) posted a net loss of $4.6 billion ("Market watch," 2014). From 2009 to 2011 Toyota encountered a number of factors contributing to their economic downturn. It began with recalling millions of vehicles, for quality related problems, followed by natural disasters hitting northeastern Japan. These disasters wiped out Toyota’s production capabilities (Tabuchi & Vlasic, 2014). While these events were occurring, the cloud of the 2008 global financial crisis was still being felt. This crisis weakened demand in the automotive industry. This weakened demand increased the competitive landscape for all automotive manufactures. This drove down automotive prices and effectively contribution margins (i.e. sold less
The oil refining industry is the backbone of a modern economy (Senevirante, 2006). Refined petroleum product remain fundamental to our economic life – in everybody’s daily life and economic activities of a nation (Wauquier and Favennec, 2001) ranging from domestic cooking to transportation, employment, etc. In terms of the refining capacity India ranks eighth in the world (U.S. EIA 2009). The private sector owns about 38% of total capacity while the public sector owns the rest. End of 2013, India has 4.35 million bbl/day of refining capacity, making it the second largest refiner in Asia after china. There are projections that there would be an increase in the refining capacity to 6.3 million bbl/day by the year 2017. Indian oil Corporation Limited is the major company which controls most of the refineries in India. In total there are 22 refineries in India. The total refining capacity of India has increased from 175.9 Million metric tons (MMT) in 2007 to 215.06 Million metric tons (MMT) in the year 2014. Reliance industries a private owned petroleum company has the largest refining complex in the world and it is located in Gujarat in India. It has a capacity of 1.24 million barrels per day. Based on the current proposed growth and projections India plans to add 1.6 million bbl/day of refining capacity by the end of 2015. India is steadily emerging as an international destination for oil refining as the investment is less compared to other Asian counterparts. According to