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Assume that you want to buy stock of this company. Use the most appropriate efficiency and profitability ratios for the last financial year from the

Assume that you want to buy stock of this company. Use the most appropriate efficiency and profitability ratios for the last financial year from the annual report and use these data to evaluate whether this company is a suitable candidate for investment purpose. [Use at least 3 ratios].

(Wesfarmers)image text in transcribed

INCOME STATEMENT For the year ended 30 June 2018 Consolidated RESTATED 2018 2017 Sim Note $m 66,883 64,913 (44,633) (8.746) Continuing operations Revenue Expenses Raw materials and inventory Employee benefits expense Freight and other related expenses Occupancy-related expenses Depreciation and amortisation Impairment expenses Other expenses Total expenses (45,718) (9,375) (757) (2,976) (1,198) (421) (2,757) (63,202) 2,882) (1.175) (44) (2,832) (61,169) 283 296 Other income Share of net profits of associates and joint venture 97 380 147 433 Earnings before interest and income tax expense (EBIT) Finance costs 4,061 (211) 2 4,177 (248) Profit before income tax Income tax expense 3,850 (1,246) 2,604 3,929 (1,169) 2,760 Profit from continuing operations Discontinued operations Loss after tax for the year for Bunnings UK and Ireland Profit after tax for the year for Wesfarmers Curragh Ply Ltd (Loss) profit after tax for the period from discontinued operations (1,657) 250 (101) 214 113 (1,407) 1,197 Profit attributable to members of the parent 2,873 cents cents 230.2 229.8 244.7 2442 Earnings per share attributable to ordinary equity holders of the parent from continuing operations Basic earnings per share Diluted earnings per share Earnings per share attributable to ordinary equity holders of the parent Basic earnings per share Diluted earnings per share 105.8 106.6 254.7 254.2

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