base on Annual Report of Salvatore Ferragamo

a.Based on the material ,prepare a thorough business plan for Salvatore Ferragamo for the next three FV (2018-2020). In so doing, be sure to highlight all the relevant assumptions you introduce and the rationale behind those assumptions. In fact, while preparing the business plan, you are expected to provide convincing analysis and sound argumentations to support your view. To carry-out the business planning, feel free to use all the available sources you deem useful to support your analysis, including online information, internal and external databases (i.e., Bloomberg, Datastream, ThomsonOneBanker,...), and so forth.

b. Calculate the same valuation multiples for Salvatore Ferragamo you calculated as per Point c. of the preceding section (Business Valuation). This time, though, instead of using reported data of the company (for FY 2016), use the data you forecast, both for Salvatore Ferragamo and its peers.

c. Compare the valuation multiples of Salvatore Ferragamo as per FY 2016 and subsequent years (forecast). What can you tell about the evolution of the company from a valuation viewpoint? Is it a profitable investment?

Financial statements Consolidated statement of financial position assets (In thousands of Euro) Notes 31 December of which with 31 December of which with 2016 related parties 2015 related parties 243,692 7,350 37,576 s 236,452 7,470 33,596 20 7,453 16,874 107,538 409,403 1,552 1,600 7,395 17,278 110,277 423,588 1,552 1,600 NON CURRENT ASSETS Property, plant and equipment Investment property Intangible assets with a finite useful life Available-for-sale financial assets Other non current assets Other non current financial assets Deferred tax assets TOTAL NON CURRENT ASSETS CURRENT ASSETS Inventories Trade receivables Tax receivables Other current assets Other current financial assets Cash and cash equivalents TOTAL CURRENT ASSETS TOTAL ASSETS 69 79 32,410 2,420 374,710 179,678 31,854 67,898 264 117,249 771,653 1,195,241 351,132 167,912 19,123 33,839 291 142,121 714,418 1,123,821 32,479 34,031 2,499 4,099 Financial statements Consolidated statement of financial position assets (In thousands of Euro) Notes 31 December of which with 31 December of which with 2016 related parties 2015 related parties 243,692 7,350 37,576 s 236,452 7,470 33,596 20 7,453 16,874 107,538 409,403 1,552 1,600 7,395 17,278 110,277 423,588 1,552 1,600 NON CURRENT ASSETS Property, plant and equipment Investment property Intangible assets with a finite useful life Available-for-sale financial assets Other non current assets Other non current financial assets Deferred tax assets TOTAL NON CURRENT ASSETS CURRENT ASSETS Inventories Trade receivables Tax receivables Other current assets Other current financial assets Cash and cash equivalents TOTAL CURRENT ASSETS TOTAL ASSETS 69 79 32,410 2,420 374,710 179,678 31,854 67,898 264 117,249 771,653 1,195,241 351,132 167,912 19,123 33,839 291 142,121 714,418 1,123,821 32,479 34,031 2,499 4,099