Information Gathering for Business Analysis

This report will analyse and outline the company’s profitability, liquidity, solvency and investment potentials based on 15 ratios. All information is taken from the Next plc 2011 statement.

Cement industry is one of the most attractive industries now as concrete is the second most consumed product in the world. The cement industry is however characterized by their pricing system (basing point system), its cartel nature and its entry restrictions. The CEMEX case depicts the good business strategies, excellent leadership and how to be successful in the global market. The interesting aspect of the case is how CEMEX maneuvered in to the global market and was recognized as the third largest cement company. Thus, how it overcame the issues of trade sanctions, the crisis in its operating countries, its acquisition strategy etc. is astounding. CEMEX really understood the concept of globalization and International management.

A SWOT analysis is a tool used to identify the strengths, weaknesses, opportunities and threats of an organization. A SWOT model measures what an organization can or cannot do as well as the possible opportunities and threats. This is done by taking data from the organization’s environment, analyzing the information and separating it into the internal (strengths and weaknesses) and external (opportunities and threats). When this is completed the analysis can create a plan for the organization to achieve its goals, and identify what difficulties must be overcome to attain

Secondary information is collected for this case. This case study limited only one techniques of financial analysis that is Ratio Analysis and also taken a single company. Thus the conclusion of the analysis carried out in a professional manner will be able to correctly describe the evaluation of the company and to substantiate the user’s decisions.

This article mainly refer to the company 's annual financial reports, industry reports and official website as references.

In order to evaluate company’s operational strength and weaknesses accurately it is important to have access to more than one year worth of data. The company, of course, will not be evaluated on the basis of couple of ratios, it is very important to analyze all the available information to put pieces of puzzle together to see the overall impression of the company and its attractiveness to creditors, investors and stockholders.

This report provides an analysis and evaluation of the current and forecasted profitability, liquidity and financial stability of Alliance Concrete. Methods of analysis include forecasting the income statement and balance sheet to calculate financial ratios and profitability ratios. The key drivers for the income statement was management’s assumption about the sales environment surrounding Alliance Concrete. All calculations can be found on the attached document. Results of data analyzed show that Alliance Concrete is experiencing sales decline, profitability decline, but is relatively financially stable for the most part. The report finds the prospects of the company in its current

Ratio analysis: Perform trend and ratio analysis on current and fixed assets, current and long term liabilities, owner’s equity, sales revenues, EBIT, net income, and earnings per share. Project these trends

According to the calculation of ratios, the performance of Cryptic plc can be analysed as following. For the profitability ratios, growth in gross profit and net profit both have negative values. Whilst operating profit growth is -8.2% (2013-2014) and -11.5% (2014-2015), net profit growth is -17.9% and -14.4% respectively. It can be seen that Cryptic plc has had a poor performance in recent years. Reason can be come from the increase of costs incurred. Although the growth rate declined between each period, the company still made profit rather than loss. From the net profit growth, the company may start recovering from the downturn position and it is seeking for fundraising to support business operations.

In view of the high cost of establishing a cement factory, Dangote Cement will continue to dominate the market space even though the company is conscious of the impact of government policies may have on its business. With its expansion in Africa and based on the fact that most neighboring nations to Nigeria do not have enough limestone deposits, Dangote will keep sustaining the market with its cement production.

SWOT was credited to Albert S Humphrey in the 1960s. SWOT is an analysis tool that takes into account internal and external issues and determines what may help the firm in accomplishing its objectives and what obstacles it must overcome (SWOT Analysis: Discover New Opportunities, Manage and Eliminate Threats, 2016). SWOT stands for strengths, weaknesses, opportunities, and threats. Strengths are defined as “characteristics of the business that give it an advantage over others.” Weaknesses are defined as “characteristics that place the business or project at a disadvantage relative to others.” Opportunities are defined as “elements that the business could exploit to its advantage.” Threats are defined as “elements in the environment that could cause trouble for the business or project.”

For the analysis we have used the historical financial data of the company, the history of the company and its financing policy, and the financial data of its competitors.

SWOT analysis covers the strengths, weaknesses, opportunities & threats which a company is facing in its internal & external environment. Strengths & weaknesses fall under the internal environment of the company and opportunities & threats fall under the

Growth of cement industry is rightly considered a barometer for economic activity. In 1947, Pakistan had inherited 4 cement plants with a total capacity of 0.5 million tons. Some expansion took place in 1956-66 but could not keep pace with the economic development and the country had to resort to imports of cement in 1976-77 and continued to do so till 1994-95. The industry was privatized in 1990 which led to setting up of new plants. Although an oligopoly market, there exists fierce competition between members of the cartel today.

Pakistan consist of 29 cement industries. It plays a vital role in economy of the country.