Compute the following equations using the information provided. Please show work.
- AVG COLLECTION PERIOD- Accounts receivable/ (credit sales/ 365)
- INVENTORY TURNOVER- Cost of sales/ Average inventory
- FIXED ASSET TURNOVER- Sales/ Fixed assets
- TOTAL ASSET TURNOVER- Sales/ Total Assets
- DEBT RATIO- Total debt- Total assets
- DEBT TO EQUITY RATIO- Total Debt/ Total Equity
- TIMES INTEREST EARNED- Earnings before interest & taxes (EBIT)/ Interest charges
- FIXED CHARGE COVERAGE- EBIT+ Lease payments/ Interest + Lease Payments+ Preferred stock Dividends before tax+ before tax sinking fund
- GROSS PROFIT MARGIN- Sales- Cost of Sales/ Sales
- NET PROFIT MARGIN- Earnings after taxes (EAT)/ Sales
- RETURN ON INVESTMENT- Earnings after taxes (EAT)/ Total Assets
- RETURN ON SE- Earnings after taxes (EAT)/ Stockholders Equity
Table of Contents GNC HOLDINGS, INC. AND SUBSIDIARIES Consolidated Statements of Cash Flows 2019 Year Ended December 31, 2018 in thousands 2017 (35,112) $ 69,780 s (150,262 47,105 56,809 35.422 (5,296 20,757 4,563 23,199 6,808 38,236 13,160 8,359 457,794 (10,996) 16,740 21,293 16,787 (88,942 (16,322) 3,856 20,596 2,467 (23,265 513 (191,378 (314) (1.358 16,737 14,687 3,351 1,252 18,018 (11,148 44,497 1,006 31,880) 1,675) 96,520 Cash flows from operating activities: Net (loss) income Adjustments to reconcile net (Loss) income to ret cash provided by operating activities Depreciation and amortization expense Income from equity method investments Amortization of debt costs Stock-based compensation Long-lived asset impairments Gain on convertible debt and debt refinancing costa Loss on debt refinancing Loss on net asset exchange for the formation of the joint ventures Loss (gain) on forward contracts for the issuance of convertible preferred stock Third-party fees associated with refinancing Distributions received from equity method investments Deferred income tax expense (benefit) Other Changes in assets and liabilities Increase in receivables Decrease in inventory Increase) decrease in prepaid and other current assets Increase (decrease) in accounts payable Decrease) increase in deferred revenue and accrued liabilities Decrease in net lease liabilities Other changes in assets and liabilities Net cash provided by operating activities Cash flows from investing activities: Capital expenditures Refranchising proceeds, net of store acquisition costs Capital contribution to the joint ventures Proceeds from the assets exchange for the formation of the joint ventures Proceeds from the sale of Lucky Vitamin Net cash provided by (used in) investing activities Cash flows from financing activities: Borrowings under Revolving Credit Facility Payments on Revolving Credit Facility Proceeds from the issuance of convertible preferred stock Payments on Tranche B-1 Term Loan Payments on Tranche B-2 Term Loan Convertible notes repurchase Original issuance discount and revolving credit facility fees Fees associated with the issuance of convertible preferred stock Minimum tax withholding requirements Net cash used in financing activities Effect of exchange rate changes on cash and cash equivalents Net increase in cash and cash equivalents Beginning balance, cash and cash equivalents Ending balance, cash and cash equivalents 72,903 (5,529 (23.960) (10,181 (4.945 95,868 4,751 220,508 (18.981 2.514 (32,123) 1,994 (15,151 2,395 (13.079 99,221 6,367 (23,762) 73,386 (16,467 317,500 (444,300 410,000 (410,000 100.000 (4.550) (132,100 (40,853) 22,000 22.000 199,950 (147,312 (123,774) 24,708 (10,365 (12.814 (233) (119,256 (35.235) 3,387 (296) (75,768 (410 3,223 64,001 67,224 (253) (168,106) 897 29,337 34,464 64.00 49,822 67,224 117,046 The accompanying notes are an integral part of the Consolidated Financial Statements, 65 Table of Contents GNC HOLDINGS, INC. AND SUBSIDIARIES Consolidated Statements of Comprehensive (Loss) Income 2019 Year ended December 31, 2018 (in thousands) 2017 (35,112 $ 69,780 (150.262) Net (loss) income Other comprehensive (loss) income: Net change in interest rate swaps: Periodic revaluation of interest rate swap, net of tax benefit of $2.0 million and $1.5 million, respectively Reclassification adjustment for interest recognized in the Consolidated Statement of Operations, net of tax expense of $0.8 million and $0.5 million, respectively Net change in unrecognized loss on interest rate swaps, net of tax Foreign currency translation gain (loss) Other comprehensive (loss) income Comprehensive (loss) income (3,239) 1.045 4,251) 1,677 (2,574) 403 2,171) (37,283) (2.214 (2.510 4.724) 2,866 2,866 (147,396 65.056 The notes are an integral part of the Consolidated Financial Statements Table of Contents GNC HOLDINGS, INC. AND SUBSIDIARIES Consolidated Statements of Cash Flows 2019 Year Ended December 31, 2018 in thousands 2017 (35,112) $ 69,780 s (150,262 47,105 56,809 35.422 (5,296 20,757 4,563 23,199 6,808 38,236 13,160 8,359 457,794 (10,996) 16,740 21,293 16,787 (88,942 (16,322) 3,856 20,596 2,467 (23,265 513 (191,378 (314) (1.358 16,737 14,687 3,351 1,252 18,018 (11,148 44,497 1,006 31,880) 1,675) 96,520 Cash flows from operating activities: Net (loss) income Adjustments to reconcile net (Loss) income to ret cash provided by operating activities Depreciation and amortization expense Income from equity method investments Amortization of debt costs Stock-based compensation Long-lived asset impairments Gain on convertible debt and debt refinancing costa Loss on debt refinancing Loss on net asset exchange for the formation of the joint ventures Loss (gain) on forward contracts for the issuance of convertible preferred stock Third-party fees associated with refinancing Distributions received from equity method investments Deferred income tax expense (benefit) Other Changes in assets and liabilities Increase in receivables Decrease in inventory Increase) decrease in prepaid and other current assets Increase (decrease) in accounts payable Decrease) increase in deferred revenue and accrued liabilities Decrease in net lease liabilities Other changes in assets and liabilities Net cash provided by operating activities Cash flows from investing activities: Capital expenditures Refranchising proceeds, net of store acquisition costs Capital contribution to the joint ventures Proceeds from the assets exchange for the formation of the joint ventures Proceeds from the sale of Lucky Vitamin Net cash provided by (used in) investing activities Cash flows from financing activities: Borrowings under Revolving Credit Facility Payments on Revolving Credit Facility Proceeds from the issuance of convertible preferred stock Payments on Tranche B-1 Term Loan Payments on Tranche B-2 Term Loan Convertible notes repurchase Original issuance discount and revolving credit facility fees Fees associated with the issuance of convertible preferred stock Minimum tax withholding requirements Net cash used in financing activities Effect of exchange rate changes on cash and cash equivalents Net increase in cash and cash equivalents Beginning balance, cash and cash equivalents Ending balance, cash and cash equivalents 72,903 (5,529 (23.960) (10,181 (4.945 95,868 4,751 220,508 (18.981 2.514 (32,123) 1,994 (15,151 2,395 (13.079 99,221 6,367 (23,762) 73,386 (16,467 317,500 (444,300 410,000 (410,000 100.000 (4.550) (132,100 (40,853) 22,000 22.000 199,950 (147,312 (123,774) 24,708 (10,365 (12.814 (233) (119,256 (35.235) 3,387 (296) (75,768 (410 3,223 64,001 67,224 (253) (168,106) 897 29,337 34,464 64.00 49,822 67,224 117,046 The accompanying notes are an integral part of the Consolidated Financial Statements, 65 Table of Contents GNC HOLDINGS, INC. AND SUBSIDIARIES Consolidated Statements of Comprehensive (Loss) Income 2019 Year ended December 31, 2018 (in thousands) 2017 (35,112 $ 69,780 (150.262) Net (loss) income Other comprehensive (loss) income: Net change in interest rate swaps: Periodic revaluation of interest rate swap, net of tax benefit of $2.0 million and $1.5 million, respectively Reclassification adjustment for interest recognized in the Consolidated Statement of Operations, net of tax expense of $0.8 million and $0.5 million, respectively Net change in unrecognized loss on interest rate swaps, net of tax Foreign currency translation gain (loss) Other comprehensive (loss) income Comprehensive (loss) income (3,239) 1.045 4,251) 1,677 (2,574) 403 2,171) (37,283) (2.214 (2.510 4.724) 2,866 2,866 (147,396 65.056 The notes are an integral part of the Consolidated Financial Statements
