Analita specializes in the development of electronic components within quite a competitive environment causing concerns for marketing and pricing. Its non-current assets primarily include IT software, property, and investments, and there have been additions to these during the year.

As audit manager, you are conducting a preliminary analytical review and associated risk analysis for this client for the year ended June 30 2019. You have been presented with the following draft financial information about Analita with incomplete ratios and percentages calculation.

INCOME STATEMENT Year ended June 30

2019 2018

$'000 $'000

Revenue 18,406 16,529

Cost of sales 5,609 5,057

Gross Profit 12,797 11,472

Distribution costs 3,598 2,896

Administrative expenses 1,164 1,998

Selling expenses 4,442 474

Profit from operations 3,593 6,104

Net interest receivable 1,245 495

Profit before tax 4,838 6,599

Income tax expense 2,209 1,852

Net profit 2,629 4,747

Retained profits 1,327 3,777

Dividends paid $1,302,000 $970,000

Accounting ratios and percentages

Earnings per share 054 125

Performance ratios include the following:

Gross margin ((Gross profit/revenue) ? ?

Expenses as a percentage of revenue:

Distribution costs ? ?

Administrative expenses ? ?

Selling expenses ? ?

Operating profit as a percentage of revenue ? ?

In no less than 250 words comment briefly on the performance of the company for the two years.