mparison: 1. Observe the trend of revenues for both companies. Which company has higher revenue? 2. Observe the gross margin for both companies. Which company is more profitable? 3. Observe the operating expenses for both companies. Which company has more operating expenses?
mparison: 1. Observe the trend of revenues for both companies. Which company has higher revenue? 2. Observe the gross margin for both companies. Which company is more profitable? 3. Observe the operating expenses for both companies. Which company has more operating expenses?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Comparison:
1. Observe the trend of revenues for both companies. Which company has higher revenue?
2. Observe the gross margin for both companies. Which company is more profitable?
3. Observe the operating expenses for both companies. Which company has more operating expenses?
4. Observe the net income for both companies. Which company is more profitable?
5. Which company is more profitable using this type of analysis?
Transcribed Image Text:1 ABS-CBN CORP.
GMA NETWORK INC.
2 CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
CONSOLIDATED STATEMENT S OF COMPREHENSIVE INCOME
3 currenoy in philippine pesos, in millions
4 Vertical Analysis
currency in philippine pesos, in millions
5
2010
2009
2008
2007
2010
2009
2008
2007
11,599.7
4,554.7
8 Revenues
9 Cost of Sales
10 GROSS PROFIT (Gross Income/Net Revenues)
11
17,239.6
9,495.4
7,744.2
22,030.2
12,150.0
4,951.0
7,199.0
27,754.5
19,630.6
Revenues
10,549.7
10,186.8
12,859.7
9,170.5
14,571.5
11,675.1
Cost of Goods Sold
4,250.7
4,109.2
6.077.6
13,183.0
7,955.5
GROSS PROFIT (Gross Income/Net Revenues)
7,045.0
6.299.0
4,784.9
2,376.7
12 Selling General & Admin Expenses, Total
13 Depreciation & Amortization, Total
14 Other Operating Expenses
15 OTHER OPERATING EXPEN SES, TOTAL
16
17 INCOME FROM OPERATIONS (Operating Income)
7,403.4
5,629.7
4,611.3
Selling General & Admin Expenses, Total
3,001.7
2,727.7
2,296.1
695.6
662.6
736.1
549.0
Depreciation & Amortization, Total
316.7
367.7
378.4
333.2
351.1
227.6
228.5
200.0
Other Operating Expenses
173.4
178.1
147.2
132.8
8,450.1
6,519.9
5,749.5
5,360.3
OTHER OPERATING EXPENSES, TOTAL
3,491.8
3,273.5
2,902.3
2,762.1
4,732.9
2,650.6
2,206.0
2,383.9
INCOME FROM OPERATIONS (Operating Income)
3,707.2
3,771.5
3,396.7
3,315.5
18
19 Interest Expense
20 Interest and Investment Income
ןכ
1,015.8
883.8 -
696.2 -
507.2
Interest Expense
3.8 -
8.9 -
9.1
23.1
106.7
93.3
90.1
111.9
Interest and Investment Income
77.3
57.8
68.8
74.4
21 Income (Loss) on Equity Investments
לכ
0.1
2.3
5.1
12.0
Income (Loss) on Equity Investments
6.9 -
11.5 -
7.0 -
3.2
22 Currency Exchange Gains (Loss)
ךכ
Currency Exchange Gains (Loss)
Other Non-Operating Income (Expenses)
218.2
88.9
26.1
197.6
25.5 -
9.2
0.3
19.0
23 Other Non-Operating Income (Expenses)
24 Gain (Loss) on Sale of Investments
356.7
496.7
533.8 -
130.3
18.3
28.6
41.6
91.1
53.9
0.0
Gain (Loss) on Sale of Assets
13.9
10.2
30.6 -
0.8
כככ
25 Other Unusual Items
309.1
189.4
Other Unusual Items, Total
NET INCOME BEFORE TAX
0.4
0.4
0.8
3,522.7
17.0
26 INCOME BEFORE TAX
4,344.9
2,443.4
2,421.8
2,257.3
3,794.3
3,838.9
3,451.9
27
28 Income Tax Expense
29 NET INCOME
973.4
1,107.7
3,237.2
684.1
1,032.1
986.5
Income Tax Expense
1,020.6
1,153.8
1,144.5
1,759.3
1,389.7
1,270.8
NET INCOME
2,820.9
2,818.3
2,368.9
2,307.4
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