Harvey Norman Essay

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Harvey Norman Holdings Limited Group case study [pic] Tutor: Dr. Mahesh Joshi Group members: JIN CHEN 3350416 MINGFENG CHI 3316768 JINGHAN REN 3365087 TABLE OF CONTENTS Executive summary 3 Introduction 4 Source of Finance and financial segments 4 Industry and competitor analysis 5 Key highlights of financial and operational performance 5 Highlights and change of financial performance 5 Highlight of operational performance 5 Change in accounting policies 6 Assets – PPE and Intangibles 6 leased assets and liabilities 9 Auditor and auditor report 11 Reference 13…show more content…
The diversity of business activities leads a multiple option of financial growth. The main competitors of Harvey Norman Holding LTD is the group of J B HI-FI, who has declared a sales revenue from 2.73Bn to 2.96Bn as an increase of 8.3% (P.2, JB HI-FI annual report 2011), compares to the increase of 9% of Harvey Norman.According to the figure,it seems Harvey Norman is doing better than J B HI-FI, but the business segment for J B HI-FI is much less diversified than Harvey Norman, therefore, J B HI-FI is actually doing better in just viewing the computer and software segment. Key highlights of financial and operational performance • Highlights and change of financial performance There is no significant increase or deduction in terms of financial performance. There is a slightly downturn showing in the franchising sales revenue from 5.19bn to 5.08bn contributed by almost the same amount of outlets. Basic earnings per share have increased from 21.78c to 23.75c whilst a decrease of 2c in dividend per share compared with 2010. After closing date of report, the company announced 7 Clive Peters and Rick Hart may close and the rest of 18 stores will be changed into Harvey Norman format. The shutdown of 7 stores is to estimate to incur a charge around $10 million in the financial report of 2012. • Highlight
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