From the fi nancial statements of Freshco plc, a Lancashire-based grocery and general supplies chain supplying hotels and caterers, for the year ended 30 June 2010, prepare a report on performance using appropriate profi tability ratios for comparison with the previous year.

Additional information:
(i) Authorised and issued share capital 30 June 2010, £222m £0.50 ordinary shares (£200m, 2009).
(ii) Total assets less current liabilities 30 June 2008, £219m. Trade receivables 30 June 2008, £60m.
(iii) Market value of ordinary shares in Freshco plc 30 June 2010, £3.93 (£2.85, 2009).
(iv) Non-current assets depreciation provision 30 June 2010, £57m (£44m, 2009).
(v) Depreciation charge for the year to 30 June 2010, £13m (£10m, 2009).

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Non-current assets Current assets Inventories Trade receivables Cash and cash equivalents Total current assets Total assets Current liabilities Trade payables Dividends payable Income tax payable Total current liabilities Non-current liabilities Debenture loan Total liabilities Net assets Equity Share capital Freshco plc Balance sheet as at 30 June 2010 2010 2009 m m 146 149 R &8 8 124 100 80 11 208 191 354 340 74 13 20 107 20 67 141 174 213 166 111 100 General reserve 9 Retained earnings 88 57 Total equity 213 166