C. Answer the following questions regarding Herman Miller. 1. DuPont Analysis is a great place to start the analysis, because it shows how three major areas interact to determine ROE (Hint: Click the Ratios tab below to fill in the appropriate ratios to compare MLHR to the industry. ROE PM TAT EM MLHR 20.2% 5.74% 1,64 2.15 Industry_ 25.9% 4.50% 2.30 2.50 Profit Margin None None Profit Margin (None None Asset Efficienc Financial Lever None 2. Whatcomponents) are) improving MLHRS ROE relative to the industry average (highlight your answers 3. Based on this DuPont analysis which of the following areas are strengths for MLHR? (could be more than one) 4. Based on this DuPont analysis which of the following areas are weaknesses for MLHR? (could be more than one) 365.0 Operating Cycle in Days - Cash Cycle In Days 5. Ilow long is the operating cycle for MLIIR for the most recent year ending financial information? (See Ratio Page) 6. How long is the cash cycle for MIHR for the most recent year ending financial information? (See Ratio Page) 7. Is the length of the operating cyclo a strength or weakness for MLHR compared to the industry? Why? - Answer Succinctly 8. If MLHR cash cycle increases significantly it would need to Weakness increase notes payable (line of cred- 9. Look at the trends over the past years for the following ratio categories. Identify whether the trend is improving deteriorating, or neither. (For ratios that fluctuate over time compare 5 years ago with the most recent year.) b. Inventory Turnover c. Total Asset Turnover days Sales Outstanding e. Asset Management 1. Leverage Profitability Improve Deteriorate Deteriorate Deteriorate Improve 10. What account causes the current ratio to he smaller than the industry and the quick ratio to be similar to the industry? No 11. Does the amount of time it takes Herman Miller to pay it's suppliers appear to be a problem? (Hint: compare their ratios to the industry) 12. When comparing the assets on the balance sheet to industry averages, what account should the analyst question? 13. What was ML.HR Net Working Capital for the last two years (mit 0,00%)? Most Current Year Previous Year - 14. How big a factor would you say market conditions played on the performance of MLHR over the past 10 years 15. Suppase MLHR doubled the amount of time to pay trade creditors. Use the proforma sheet to indicate the impact on the financial statements. (Start with the identical parameters indicated on Ratio page for previous year for Inv, AR and AP and then double Days Payable.) What are the new plug figure to make the balance sheet balance? Suate answer omitting the last 000,000s consistent with proforma. (Note one place is always zero for cells 1328 and 1841 on the Proforma Spreadsheer) a a. Cash & Marketable Securities - b. Notes Payable Bank 16. Suppose MLHR Days Payable is at the same level as the prior year. Use the proforma sheet to indicate the impact on the financinl statements assuming Days Sales Outstanding and Days in Inventory both doubk, causing the operating cycle to double in length. What are the new plug figure to make the balance sheet balance? State answer omitting the last000,000's consistent with proforma (Note one plac is always zero for cells 128 and 141 on the Proforma Spreadsheet a. Cash & Marketable Securities b. Notes Payable Bank - 17. Using the same parameters as in question 16, what is the proforma Net Income (Loss) (amitting 000,000's)? Proforma Net Income 18. Suppose all parameter estimates are based on last years results, except Sales is expected to grow at 25%. What would be the impact on Net Income and the Plugs? (Note omit200.000's and one of the plugs is always zera.) Cash & Marketable Securitics = Notes Payable Bank- Proforma Net Income 19. Assuming MLHR is expecting a 25% increase in Sales and they have the plant capacity, what should they do now to prepare for Discussion Question: Summarize your advise to management of MLIR based on inferences gained from this common size analysis. RATIO ANALYSIS Herman Miller RMA 5/31/14 Industry Comparison 5/30/15 6/3/17 6/2/18 6/1/19 1.3 1.0 1.3 0.9 1.3 0.9 1.6 1.2 1.5 1.1 2.1 0.9 LIQUIDITY Current Quick ASSET MANAGEMENT Inventory Turnover (COGS / Inventory) Total Asset Turnover 16.0 10.4 9.1 9.3 8.9 6.2 1.9 1.8 1.7 1.6 1.6 2.3 30 34 35.9 51 40 39 41.1 59 39 41 39.6 37 31 31 37.3 73 13.7 1.2 17.2 13.3 1.2 18.2 16.8 1.2 22.8 5.6 1.5 DSO (AR Period) 40 32 (365/AR Turnover) Inventory Period 23 35 (365/Inventory Tumover) Days in AP (AP Period) 40 45 (365/COGS/AP]) Cash Cycle 23 23 LEVERAGE TIE (EBIT / Interest) -1.5 9.3 Debt/Equity (RMA DebtWorth) 1.7 1.8 Cash Coverage Ratio 1.6 12.2 PROFITABILITY % Profit BT/Tot Assets -4.38% 12.17% Gross Profit 33.53% 36.94% PM (NI/Sales) RMA uses NIBT/Sales -1.17% 4.55% DuPont Analysis: ROE = ROA*EM, ROA=PM*TAT ROE (NI / Total Equity) -5.94% 22.61% ROA (NI/Total Assets) -2.23% 8.17% PM (NI / Sales) -1.17% 4.55% Total Asset Turnover 1.90 1.80 Equity Multiplier (A/E) 2.66 2.77 15.05% 38.60% 6.04% 11.36% 36.66% 5.40% 12.23% 36.22% 5.74% 13.40% 28.30% 4.50% 22.82% 10.46% 6.04% 1.73 2.18 18.96% 8.70% 5.40% 1.61 2.18 20.21% 9.39% 5.74% 1.64 2.15 25.88% 10.35% 4.50% 2.30 2.50 Management's estimate of the weighted average of the minimum equity and debt retums required by the providers of capital. Reevaluated every year and adjusted when necessary to reflect the current rate environment and capital structure. Sales FYE 6/1/19 2,567.2 (1,637.3) 929.97 Cost of Goods Sold(COGS) Gross Profit Operating Expense Research & Dev. & Non Recu Depreciation Expense CS % of Sales 100% -64% 36% -22% -3% -3% 8% Proforma 3,209.0 (2,046.6) 1,162.4 (567.2) (87.1) (72.1) 436.0 (567.2) (87.1) (72.1) 203.5 EBIT Step 1: Input Parameter Estimates Parameters & Ratios Days Sales Outstanding Days in Inventory 41.1 Days in Accounts Payable 39.6 35.9 Less (Expenses) Income Interest (Expense) Interest Income Other (Expenses) Income Net Other Expenses (Income) NIBT Income taxes Equity Earning & Noncontrol Net Income (12.1) 2.1 (1.6) (11.6) 0% 0% 0% 0% 7% -2% Growth Rate on Sales 25% (19.4) 0.8 (1.6) (20.1) 415.8 (174.6) 5.0 246.2 191.9 (39.6) 5.0 157.3 6% Interest & Tax Rate Parameters Marketable Sec. 0.50% Long Term Invest. 7.00% NP - Bank 4.00% Long Term Debt 6.90% Tax Rate 42.00% Dividends Retained Earnings 0% 6% 157.3 7 246.2 Herman Miller Balance Sheet (000's) ASSETS Cash & Mkt Securties (plug) Accounts Receivable Inventory Prepaids Other Current Assets Total Current Assets FYE CS % of 6/1/19 Tot Assets 168.0 11% 252.3 16% 184.2 12% 45.8 3% 11.0 1% 42% Proforma 163.0 315.4 230.3 45.8 11.0 Step 2: Balance Sheet Check Make sure your proforma balance sheet is balanced. Use the plugs to force A = L + E. Use the following Balance Sheet Check Total Assets 1,673.4 Total Liabilities & Equity 1,699.5 Should be 0: A - (L + E) = (26.1) If not adjust plug until it is. 661.3 765.4 Property, Plant, & Equip Notes Receivables Other Assets Total Assets 348.6 423.0 136.4 1,569.3 22% 27% 9% 100% 348.6 423.0 136.4 1,673.4 177.7 265.3 3.1 0% 11% 17% 0% 0% 28% 222.1 265.3 3.1 446.1 LIABILITIES Notes Payable - Bank (Plug) Accounts Payable Accruals Current Maturities - LTD Other Current Liabilities Total Current Liabilities Other Liabilities Long Term Debt (LTD) Total Liabilities Reedemable Noncontrolling Common Stock Additional Paid-In Cap & Other Retained Earnings Total Liabilities & Equity 101.5 281.9 18% 53% 829.5 490.5 101.5 278.8 870.8 20.6 11.7 89.0 707.4 1,699.5 20.6 11.7 89.0 618.5 1,569.3 1% 39% 100% Inputs are highlighted FYE Herman Miller Balance Sheet (000,000's omitted) FYE ASSETS 5/31/14 Cash & Cash Equivalents 101.5 Marketable Securities 11.1 Acct. Rec., less allowances 204.3 Inventory 78.4 Def. Income Tax & Prepaid 36.6 Other Current Assets 19.9 Total Current Assets 451.8 % Chng -37% 49% -7% 65% 15% FYE 5/30/15 63.7 5.7 189.6 129.6 42.0 32.9 463.5 % Chng 51% 51% -2% 18% -58% 6/3/17 96.2 8.6 186.6 152.4 17.7 30.4 491.9 % Chng 112% 0% 18% 7% 44% FYE 6/2/18 203.9 8.6 219.3 162.4 9.9 41.3 645.4 % Chng -22% 2% 15% 13% 363% -73% 2% Common Size FYE % of 6/1/19 Tot Assets 159.2 10.1% 8.8 0.6% 252.3 16.1% 184.2 11.7% 45.8 2.9% 11.0 0.7% 661.3 42.1% RMA Industry Comp 4.5% 2.0% 40.3% 29.2% 2.0% 3% 6% 31% 78.0% 215.20 28% 28% 26% 26% 5% 5% Net Property, Plant, & Equip Fixed Assets (Net) Goodwill & Intangible Assets Other Assets Total Assets 195.2 195.2 313.3 30.6 990.9 249.5 249.5 303.1 176.6 1192.7 314.6 314.6 304.5 195.3 1306.3 331.4 331.4 423.5 79.2 1479.5 5% 5% 0% 72% 6% 348.6 348.6 423.0 136.4 1569.3 22.2% 22.2% 27.0% 8.7% 100.0% 231.6 F 16.7% 0.0% 7.4% 100.0% 477% 20% 11% 10% -59% 13% 15% LIABILITIES Notes Payable - Bank Accounts Payable Accruals & Unearned Rev Current Maturities - LTD Other Current Liabilities Total Current Liabilities 0.0 136.9 169.2 50.0 0.0 20% 17% 0.0 164.7 198.7 0.0 0.0 -10% 19% 0.0 148.4 237.3 0.0 0.0 2% 0.0 171.4 242.4 0.0 0.0 4% 9% 0.0 177.7 265.3 3.1 0.0 0.0% 11.3% 16.9% 0.2% 0.0% 12.5% 18.7% 0.6% 1.3% 8.5% 356.1 2% 363.4 6% 385.7 7% 413.8 8% 446.1 28.4% 41.6% 6.7% 7.2% 55.5% Long Term Debt (LTD) Pension & Other Liabilities Total Liabilities Redeemable Non Controlling In Preferred Stock Common Stock Additional Paid-In Capital Retained Earnings Accum. Other Comprehe Key Exec & Noncontrol Int Total Equity 200.0 45% 62.7 42% 618.8 20% 0.0 0% 0.0 0% 11.9 0% 122.4 10% 277.4 19% (39. 42% 0.0 #DIV/0! 372.1 13% 289.8 88.8 742.0 30.4 0.0 11.9 135.1 330.2 (56.2 (0.7) 420.3 -31% 22% -6% 2% 0% 0% 3% 57% 46% 14% 40% 199.9 108.4 694.0 24.6 0.0 11.9 139.3 519.5 38% -12% 13% 2% 0% -2% -16% 15% -25% -38% 13% 275.0 95.4 784.2 30.5 0.0 11.7 116.6 598.3 61.3) (0.5) 664.8 3% 6% 6% 2% 0% 0% -23% 19% 54% 60% 281.9 101.5 829.5 20.6 0.0 11.7 89.8 712.7 (94.2) (0.8) 719.2 18.0% 6.5% 52.9% 1.3% 0.0% 0.7% 5.7% 45.4% -6.0% -0.1% 45.8% (0.8) 587.7 8% 44.3% Total Liabilities & Equity 990.9 20% 1192.7 10% 1306.3 13% 1479.5 6% 1569.3 100.0% 100.0% Herman Miller Income Statement (000,000's omitted) Inputs are highlighted FYE 6/2/18 2381.2 1508.2 % Chng 8% 9% FYE 6/1/19 2567.2 1637.3 % Chng 14% 8% 25% -3% -52% 8% -6% FYE 5/31/14 1882.0 1251.0 631.0 511.3 26.5 65.9 53.0 656.7 (25.7) RMA Ind Comp 100.0% 71.7% 28.3% % Chng 6% 3% 10% 8% -100% 8% 6% FYE 5/30/15 2142.2 1350.8 791.4 494.1 12.7 71.4 49.8 628.0 163.4 Common Size % of Sales 100.0% 63.8% 36.2% 22.1% -0.4% FYE % 5/28/16 Chng 2264.9 5% 1390.7 8% 874.2 0% 532.6 3% 0.0 #DIV/0! 77.1 -5% 53.0 26% 662.7 5% 211.5 -15% 7% 3% 873.0 548.4 5.7 n/a 73.1 66.9 Sales COGS Gross Margin Selling, Gen & Adm Exp. Restr & Impair Exp Design & Research Exp Depr & Amort Exp.* Total Operating Exp. EBIT Less Expenses (Income) Interest Expense Interest & Other Invest (Inca Other, Net Net Other Expenses (Income Income Taxes -Noncontrol Int 929.9 567.2 10.2 76.9 5% 8% -4% -736% 6% 29% 694.1 178.9 5% 14% 72.1 726.4 203.5 -2.8% 28.3% 7.9% 23.8% 4.5% 12.1 0.5% -0.1% (2.1) 1.6 11.6 0.5% 17.6 -1% (0.4) 50% 0.5 17.7 3% (43.4) -435% (21.2) -323% 0.1 (22.1) -541% 17.5 -12% (0.6) n/a 1.3 18.2 -18% 145.2 47.2 26% 0.5 97.5 40% 15.4 -12% (0.8) n/a 0.3 14.9 -28% 196.6 -14% 59.5 -29% 0.4 136.7 -6% 13.5 -10% (4.4) n/a 1.7 10.8 7% 168.1 14% 42.4 -7% (3.0) 128.7 14% 35% 7.5% 1.5% 191.9 39.6 5.0 147.3 Net Income 5.7% * Depretiation & Amortization Expenses are included in the total Selling, General and Administration Expense. In order to calculate Cash Flow you will need to look for the amount of Depreciation & Amortization Expense by clicking on the Financial Statements section on Edgar.com. Under the Financial Statements section you will click on Consolidated Statement of Cash Flows to obtian the Depreciation & Amortization Expense. You will then need to reduce the amount of total Selling, General & Administration Expenses in Cell J9 above to reflect the amount of Depretiation Expense broken out. (See the formula in Cell H9 for example.) C. Answer the following questions regarding Herman Miller. 1. DuPont Analysis is a great place to start the analysis, because it shows how three major areas interact to determine ROE (Hint: Click the Ratios tab below to fill in the appropriate ratios to compare MLHR to the industry. ROE PM TAT EM MLHR 20.2% 5.74% 1,64 2.15 Industry_ 25.9% 4.50% 2.30 2.50 Profit Margin None None Profit Margin (None None Asset Efficienc Financial Lever None 2. Whatcomponents) are) improving MLHRS ROE relative to the industry average (highlight your answers 3. Based on this DuPont analysis which of the following areas are strengths for MLHR? (could be more than one) 4. Based on this DuPont analysis which of the following areas are weaknesses for MLHR? (could be more than one) 365.0 Operating Cycle in Days - Cash Cycle In Days 5. Ilow long is the operating cycle for MLIIR for the most recent year ending financial information? (See Ratio Page) 6. How long is the cash cycle for MIHR for the most recent year ending financial information? (See Ratio Page) 7. Is the length of the operating cyclo a strength or weakness for MLHR compared to the industry? Why? - Answer Succinctly 8. If MLHR cash cycle increases significantly it would need to Weakness increase notes payable (line of cred- 9. Look at the trends over the past years for the following ratio categories. Identify whether the trend is improving deteriorating, or neither. (For ratios that fluctuate over time compare 5 years ago with the most recent year.) b. Inventory Turnover c. Total Asset Turnover days Sales Outstanding e. Asset Management 1. Leverage Profitability Improve Deteriorate Deteriorate Deteriorate Improve 10. What account causes the current ratio to he smaller than the industry and the quick ratio to be similar to the industry? No 11. Does the amount of time it takes Herman Miller to pay it's suppliers appear to be a problem? (Hint: compare their ratios to the industry) 12. When comparing the assets on the balance sheet to industry averages, what account should the analyst question? 13. What was ML.HR Net Working Capital for the last two years (mit 0,00%)? Most Current Year Previous Year - 14. How big a factor would you say market conditions played on the performance of MLHR over the past 10 years 15. Suppase MLHR doubled the amount of time to pay trade creditors. Use the proforma sheet to indicate the impact on the financial statements. (Start with the identical parameters indicated on Ratio page for previous year for Inv, AR and AP and then double Days Payable.) What are the new plug figure to make the balance sheet balance? Suate answer omitting the last 000,000s consistent with proforma. (Note one place is always zero for cells 1328 and 1841 on the Proforma Spreadsheer) a a. Cash & Marketable Securities - b. Notes Payable Bank 16. Suppose MLHR Days Payable is at the same level as the prior year. Use the proforma sheet to indicate the impact on the financinl statements assuming Days Sales Outstanding and Days in Inventory both doubk, causing the operating cycle to double in length. What are the new plug figure to make the balance sheet balance? State answer omitting the last000,000's consistent with proforma (Note one plac is always zero for cells 128 and 141 on the Proforma Spreadsheet a. Cash & Marketable Securities b. Notes Payable Bank - 17. Using the same parameters as in question 16, what is the proforma Net Income (Loss) (amitting 000,000's)? Proforma Net Income 18. Suppose all parameter estimates are based on last years results, except Sales is expected to grow at 25%. What would be the impact on Net Income and the Plugs? (Note omit200.000's and one of the plugs is always zera.) Cash & Marketable Securitics = Notes Payable Bank- Proforma Net Income 19. Assuming MLHR is expecting a 25% increase in Sales and they have the plant capacity, what should they do now to prepare for Discussion Question: Summarize your advise to management of MLIR based on inferences gained from this common size analysis. RATIO ANALYSIS Herman Miller RMA 5/31/14 Industry Comparison 5/30/15 6/3/17 6/2/18 6/1/19 1.3 1.0 1.3 0.9 1.3 0.9 1.6 1.2 1.5 1.1 2.1 0.9 LIQUIDITY Current Quick ASSET MANAGEMENT Inventory Turnover (COGS / Inventory) Total Asset Turnover 16.0 10.4 9.1 9.3 8.9 6.2 1.9 1.8 1.7 1.6 1.6 2.3 30 34 35.9 51 40 39 41.1 59 39 41 39.6 37 31 31 37.3 73 13.7 1.2 17.2 13.3 1.2 18.2 16.8 1.2 22.8 5.6 1.5 DSO (AR Period) 40 32 (365/AR Turnover) Inventory Period 23 35 (365/Inventory Tumover) Days in AP (AP Period) 40 45 (365/COGS/AP]) Cash Cycle 23 23 LEVERAGE TIE (EBIT / Interest) -1.5 9.3 Debt/Equity (RMA DebtWorth) 1.7 1.8 Cash Coverage Ratio 1.6 12.2 PROFITABILITY % Profit BT/Tot Assets -4.38% 12.17% Gross Profit 33.53% 36.94% PM (NI/Sales) RMA uses NIBT/Sales -1.17% 4.55% DuPont Analysis: ROE = ROA*EM, ROA=PM*TAT ROE (NI / Total Equity) -5.94% 22.61% ROA (NI/Total Assets) -2.23% 8.17% PM (NI / Sales) -1.17% 4.55% Total Asset Turnover 1.90 1.80 Equity Multiplier (A/E) 2.66 2.77 15.05% 38.60% 6.04% 11.36% 36.66% 5.40% 12.23% 36.22% 5.74% 13.40% 28.30% 4.50% 22.82% 10.46% 6.04% 1.73 2.18 18.96% 8.70% 5.40% 1.61 2.18 20.21% 9.39% 5.74% 1.64 2.15 25.88% 10.35% 4.50% 2.30 2.50 Management's estimate of the weighted average of the minimum equity and debt retums required by the providers of capital. Reevaluated every year and adjusted when necessary to reflect the current rate environment and capital structure. Sales FYE 6/1/19 2,567.2 (1,637.3) 929.97 Cost of Goods Sold(COGS) Gross Profit Operating Expense Research & Dev. & Non Recu Depreciation Expense CS % of Sales 100% -64% 36% -22% -3% -3% 8% Proforma 3,209.0 (2,046.6) 1,162.4 (567.2) (87.1) (72.1) 436.0 (567.2) (87.1) (72.1) 203.5 EBIT Step 1: Input Parameter Estimates Parameters & Ratios Days Sales Outstanding Days in Inventory 41.1 Days in Accounts Payable 39.6 35.9 Less (Expenses) Income Interest (Expense) Interest Income Other (Expenses) Income Net Other Expenses (Income) NIBT Income taxes Equity Earning & Noncontrol Net Income (12.1) 2.1 (1.6) (11.6) 0% 0% 0% 0% 7% -2% Growth Rate on Sales 25% (19.4) 0.8 (1.6) (20.1) 415.8 (174.6) 5.0 246.2 191.9 (39.6) 5.0 157.3 6% Interest & Tax Rate Parameters Marketable Sec. 0.50% Long Term Invest. 7.00% NP - Bank 4.00% Long Term Debt 6.90% Tax Rate 42.00% Dividends Retained Earnings 0% 6% 157.3 7 246.2 Herman Miller Balance Sheet (000's) ASSETS Cash & Mkt Securties (plug) Accounts Receivable Inventory Prepaids Other Current Assets Total Current Assets FYE CS % of 6/1/19 Tot Assets 168.0 11% 252.3 16% 184.2 12% 45.8 3% 11.0 1% 42% Proforma 163.0 315.4 230.3 45.8 11.0 Step 2: Balance Sheet Check Make sure your proforma balance sheet is balanced. Use the plugs to force A = L + E. Use the following Balance Sheet Check Total Assets 1,673.4 Total Liabilities & Equity 1,699.5 Should be 0: A - (L + E) = (26.1) If not adjust plug until it is. 661.3 765.4 Property, Plant, & Equip Notes Receivables Other Assets Total Assets 348.6 423.0 136.4 1,569.3 22% 27% 9% 100% 348.6 423.0 136.4 1,673.4 177.7 265.3 3.1 0% 11% 17% 0% 0% 28% 222.1 265.3 3.1 446.1 LIABILITIES Notes Payable - Bank (Plug) Accounts Payable Accruals Current Maturities - LTD Other Current Liabilities Total Current Liabilities Other Liabilities Long Term Debt (LTD) Total Liabilities Reedemable Noncontrolling Common Stock Additional Paid-In Cap & Other Retained Earnings Total Liabilities & Equity 101.5 281.9 18% 53% 829.5 490.5 101.5 278.8 870.8 20.6 11.7 89.0 707.4 1,699.5 20.6 11.7 89.0 618.5 1,569.3 1% 39% 100% Inputs are highlighted FYE Herman Miller Balance Sheet (000,000's omitted) FYE ASSETS 5/31/14 Cash & Cash Equivalents 101.5 Marketable Securities 11.1 Acct. Rec., less allowances 204.3 Inventory 78.4 Def. Income Tax & Prepaid 36.6 Other Current Assets 19.9 Total Current Assets 451.8 % Chng -37% 49% -7% 65% 15% FYE 5/30/15 63.7 5.7 189.6 129.6 42.0 32.9 463.5 % Chng 51% 51% -2% 18% -58% 6/3/17 96.2 8.6 186.6 152.4 17.7 30.4 491.9 % Chng 112% 0% 18% 7% 44% FYE 6/2/18 203.9 8.6 219.3 162.4 9.9 41.3 645.4 % Chng -22% 2% 15% 13% 363% -73% 2% Common Size FYE % of 6/1/19 Tot Assets 159.2 10.1% 8.8 0.6% 252.3 16.1% 184.2 11.7% 45.8 2.9% 11.0 0.7% 661.3 42.1% RMA Industry Comp 4.5% 2.0% 40.3% 29.2% 2.0% 3% 6% 31% 78.0% 215.20 28% 28% 26% 26% 5% 5% Net Property, Plant, & Equip Fixed Assets (Net) Goodwill & Intangible Assets Other Assets Total Assets 195.2 195.2 313.3 30.6 990.9 249.5 249.5 303.1 176.6 1192.7 314.6 314.6 304.5 195.3 1306.3 331.4 331.4 423.5 79.2 1479.5 5% 5% 0% 72% 6% 348.6 348.6 423.0 136.4 1569.3 22.2% 22.2% 27.0% 8.7% 100.0% 231.6 F 16.7% 0.0% 7.4% 100.0% 477% 20% 11% 10% -59% 13% 15% LIABILITIES Notes Payable - Bank Accounts Payable Accruals & Unearned Rev Current Maturities - LTD Other Current Liabilities Total Current Liabilities 0.0 136.9 169.2 50.0 0.0 20% 17% 0.0 164.7 198.7 0.0 0.0 -10% 19% 0.0 148.4 237.3 0.0 0.0 2% 0.0 171.4 242.4 0.0 0.0 4% 9% 0.0 177.7 265.3 3.1 0.0 0.0% 11.3% 16.9% 0.2% 0.0% 12.5% 18.7% 0.6% 1.3% 8.5% 356.1 2% 363.4 6% 385.7 7% 413.8 8% 446.1 28.4% 41.6% 6.7% 7.2% 55.5% Long Term Debt (LTD) Pension & Other Liabilities Total Liabilities Redeemable Non Controlling In Preferred Stock Common Stock Additional Paid-In Capital Retained Earnings Accum. Other Comprehe Key Exec & Noncontrol Int Total Equity 200.0 45% 62.7 42% 618.8 20% 0.0 0% 0.0 0% 11.9 0% 122.4 10% 277.4 19% (39. 42% 0.0 #DIV/0! 372.1 13% 289.8 88.8 742.0 30.4 0.0 11.9 135.1 330.2 (56.2 (0.7) 420.3 -31% 22% -6% 2% 0% 0% 3% 57% 46% 14% 40% 199.9 108.4 694.0 24.6 0.0 11.9 139.3 519.5 38% -12% 13% 2% 0% -2% -16% 15% -25% -38% 13% 275.0 95.4 784.2 30.5 0.0 11.7 116.6 598.3 61.3) (0.5) 664.8 3% 6% 6% 2% 0% 0% -23% 19% 54% 60% 281.9 101.5 829.5 20.6 0.0 11.7 89.8 712.7 (94.2) (0.8) 719.2 18.0% 6.5% 52.9% 1.3% 0.0% 0.7% 5.7% 45.4% -6.0% -0.1% 45.8% (0.8) 587.7 8% 44.3% Total Liabilities & Equity 990.9 20% 1192.7 10% 1306.3 13% 1479.5 6% 1569.3 100.0% 100.0% Herman Miller Income Statement (000,000's omitted) Inputs are highlighted FYE 6/2/18 2381.2 1508.2 % Chng 8% 9% FYE 6/1/19 2567.2 1637.3 % Chng 14% 8% 25% -3% -52% 8% -6% FYE 5/31/14 1882.0 1251.0 631.0 511.3 26.5 65.9 53.0 656.7 (25.7) RMA Ind Comp 100.0% 71.7% 28.3% % Chng 6% 3% 10% 8% -100% 8% 6% FYE 5/30/15 2142.2 1350.8 791.4 494.1 12.7 71.4 49.8 628.0 163.4 Common Size % of Sales 100.0% 63.8% 36.2% 22.1% -0.4% FYE % 5/28/16 Chng 2264.9 5% 1390.7 8% 874.2 0% 532.6 3% 0.0 #DIV/0! 77.1 -5% 53.0 26% 662.7 5% 211.5 -15% 7% 3% 873.0 548.4 5.7 n/a 73.1 66.9 Sales COGS Gross Margin Selling, Gen & Adm Exp. Restr & Impair Exp Design & Research Exp Depr & Amort Exp.* Total Operating Exp. EBIT Less Expenses (Income) Interest Expense Interest & Other Invest (Inca Other, Net Net Other Expenses (Income Income Taxes -Noncontrol Int 929.9 567.2 10.2 76.9 5% 8% -4% -736% 6% 29% 694.1 178.9 5% 14% 72.1 726.4 203.5 -2.8% 28.3% 7.9% 23.8% 4.5% 12.1 0.5% -0.1% (2.1) 1.6 11.6 0.5% 17.6 -1% (0.4) 50% 0.5 17.7 3% (43.4) -435% (21.2) -323% 0.1 (22.1) -541% 17.5 -12% (0.6) n/a 1.3 18.2 -18% 145.2 47.2 26% 0.5 97.5 40% 15.4 -12% (0.8) n/a 0.3 14.9 -28% 196.6 -14% 59.5 -29% 0.4 136.7 -6% 13.5 -10% (4.4) n/a 1.7 10.8 7% 168.1 14% 42.4 -7% (3.0) 128.7 14% 35% 7.5% 1.5% 191.9 39.6 5.0 147.3 Net Income 5.7% * Depretiation & Amortization Expenses are included in the total Selling, General and Administration Expense. In order to calculate Cash Flow you will need to look for the amount of Depreciation & Amortization Expense by clicking on the Financial Statements section on Edgar.com. Under the Financial Statements section you will click on Consolidated Statement of Cash Flows to obtian the Depreciation & Amortization Expense. You will then need to reduce the amount of total Selling, General & Administration Expenses in Cell J9 above to reflect the amount of Depretiation Expense broken out. (See the formula in Cell H9 for example.)