Final Exam
Instructions:
Use ONLY the data provided in this exam to answer the questions below.
Required:
1.Compute the five component ratios of a decomposition of ROE for Pepsico's fiscal years 2013-2017 (present your results)
2.What patterns do you see?
3.Compute the year-to-year change in Revenues and Operating profit for each of Pepsico's segments (present your results).
4.What patterns do you see?
5.Compute the operating margin for each of Pepsico's segments (present your results).
6.Compute the year-to-year change in operating margin for each of Pepsico's segments (present your results).
7.What patterns to you see?
8.Which segment(s) are positively (negatively) influencing Pepsico's recent performance?
9.What does your analysis indicate regarding Pepsico's future performance?
To facilitate your analysis, the data below are inserted into this document as an Excel Objects. The images appear "fuzzy" but clicking on the data should cause it to open in an Excel spreadsheet.
If, however, a spreadsheet does not open, you will have to enter the data manually. The data is also included as a "picture." Be careful in doing so, to insure the accuracy of your inputs.
Final Exam Instructions: Use ONLY the data provided in this exam to answer the questions below. Required: 1. Compute the five component ratios of a decomposition of ROE for Pepsico's fiscal years 2013-2017 (present your results) 2. What patterns do you see? 3. Compute the year-to-year change in Revenues and Operating profit for each of Pepsico's segments (present your results). 4. What patterns do you see? 5. Compute the operating margin for each of Pepsico's segments (present your results). 6. Compute the year-to-year change in operating margin for each of Pepsico's segments (present your results). 7. What patterns to you see? 8. Which segment(s) are positively (negatively) influencing Pepsico's recent performance? 9. What does your analysis indicate regarding Pepsico's future performance? To facilitate your analysis, the data below are inserted into this document as an Excel Objects. The images appear \"fuzzy\" but clicking on the data should cause it to open in an Excel spreadsheet. If, however, a spreadsheet does not open, you will have to enter the data manually. The data is also included as a \"picture.\" Be careful in doing so, to insure the accuracy of your inputs. STATEMENT OF FINANCIAL POSITION Fiscal Year: (FYR Ending): 2013 2014 2015 2016 2017 (31DEC2013 ) (31DEC2014 ) (31DEC2015 ) (31DEC2016 ) (31DEC2017 ) ASSETS Cash & Equivalents 9,678.000 8,726.000 12,009.000 16,125.000 19,510.000 Receivables - Total (Net) 6,954.000 6,651.000 6,437.000 6,694.000 7,024.000 Inventories - Total 3,409.000 3,143.000 2,720.000 2,723.000 2,947.000 Current Assets - Other 2,162.000 2,143.000 1,865.000 1,547.000 1,546.000 Current Assets - Total 22,203.000 20,663.000 23,031.000 27,089.000 31,027.000 Plant, Property & Equip (Gross) 36,961.000 36,300.000 35,747.000 36,818.000 39,106.000 Accumulated Depreciation 18,386.000 19,056.000 19,430.000 20,227.000 21,866.000 18,575.000 17,244.000 16,317.000 16,591.000 17,240.000 1,841.000 2,689.000 2,311.000 1,950.000 2,042.000 887.000 93.000 140.000 105.000 59.000 32,652.000 29,053.000 27,258.000 27,863.000 28,582.000 214.000 179.000 159.000 140.000 134.000 Plant, Property & Equip (Net) Investments at Equity Investments and Advances - Other Intangibles Deferred Charges Assets - Other 1,106.000 588.000 451.000 391.000 720.000 TOTAL ASSETS 77,478.000 70,509.000 69,667.000 74,129.000 79,804.000 Accounts Payable 4,874.000 5,127.000 5,546.000 6,158.000 6,727.000 LIABILITIES Notes Payable 3,082.000 980.000 962.000 2,491.000 1,465.000 Accrued Expenses 4,034.000 3,968.000 4,078.000 4,214.000 4,175.000 Debt (Long-Term) Due In One Year 2,224.000 4,096.000 3,109.000 4,401.000 4,020.000 Other Current Liabilities 3,625.000 3,921.000 3,883.000 3,871.000 4,115.000 17,839.000 18,092.000 17,578.000 21,135.000 20,502.000 24,333.000 23,821.000 29,213.000 30,053.000 33,796.000 Deferred Taxes (Balance Sheet) 5,986.000 5,304.000 4,959.000 5,073.000 3,242.000 Liabilities - Other 4,931.000 5,744.000 5,887.000 6,669.000 11,283.000 TOTAL LIABILITIES 53,089.000 52,961.000 57,637.000 62,930.000 68,823.000 Preferred Stock 41.000 41.000 41.000 41.000 41.000 Common Stock 25.000 25.000 24.000 24.000 24.000 Total Current Liabilities Long Term Debt SHAREHOLDERS' EQUITY Capital Surplus 4,095.000 4,115.000 4,076.000 4,091.000 3,996.000 Retained Earnings (Net Other) 41,293.000 38,423.000 37,153.000 38,599.000 39,782.000 Less: Treasury Stock 21,175.000 25,166.000 29,371.000 31,660.000 32,954.000 24,279.000 17,438.000 11,923.000 11,095.000 10,889.000 Shareholders Equity - Parent Noncontrolling Interest - Nonredeemable 110.000 110.000 107.000 104.000 92.000 TOTAL SHAREHOLDERS EQUITY 24,389.000 17,548.000 12,030.000 11,199.000 10,981.000 TOTAL LIABILITIES AND EQUITY 77,478.000 70,509.000 69,667.000 74,129.000 79,804.000 INCOME STATEMENT Fiscal Year: (FYR Ending): Sales (Net) Cost of Goods Sold Gross Profit 2013 2014 2015 2016 2017 (31DEC2013 ) (31DEC2014 ) (31DEC2015 ) (31DEC2016 ) (31DEC2017 ) 66,415.000 66,683.000 63,056.000 62,799.000 63,525.000 28,771.000 28,443.000 26,136.000 25,911.000 26,484.000 37,644.000 38,240.000 36,920.000 36,888.000 37,041.000 Selling, General, & Admin Expenses 25,060.000 25,582.000 24,455.000 24,190.000 23,852.000 Operating Income Before Depreciation 12,584.000 12,658.000 12,465.000 12,698.000 13,189.000 Depreciation, Depletion, & Amortiz 2,582.000 2,533.000 2,323.000 2,368.000 2,369.000 10,002.000 10,125.000 10,142.000 10,330.000 10,820.000 911.000 909.000 970.000 1,109.000 1,151.000 97.000 85.000 59.000 110.000 244.000 Operating Income After Depreciation Interest Expense Non-Operating Income/Expense Special Items -297.000 -544.000 -1,789.000 -778.000 -311.000 8,891.000 8,757.000 7,442.000 8,553.000 9,602.000 2,104.000 2,199.000 1,941.000 2,174.000 4,694.000 47.000 45.000 49.000 50.000 51.000 Income Before EI&DO 6,740.000 6,513.000 5,452.000 6,329.000 4,857.000 Net Income (Loss) 6,740.000 6,513.000 5,452.000 6,329.000 4,857.000 Income Before EI&DO 6,740.000 6,513.000 5,452.000 6,329.000 4,857.000 Pretax Income Income Taxes - Total Minority Interest Preferred Dividends Available for Common Before EI&DO Common Stock Equivalents - Savings Adjusted Available for Common 1.000 1.000 1.000 1.000 .000 6,739.000 6,512.000 5,451.000 6,328.000 4,857.000 -7.000 -9.000 -5.000 -5.000 -4.000 6,732.000 6,503.000 5,446.000 6,323.000 4,853.000 4.370 4.310 3.710 4.390 3.400 1,541.000 1,509.000 1,469.000 1,439.000 1,425.000 EARNINGS PER SHARE EPS - Primary, Excluding EI&DO COMMON SHARES Common Shares for Primary EPS Calculation Pepsico 12WeeksEnded 9/5/15 12/26/15 Net Revenue Frito-Lay North $ America 3,555 Quaker Foods north America 583 North American Beverages 5,360 Latin America 2,283 Europe, Sub-Saharan Africa 2,918 Asia, Middle East, and North Africa 1,632 Total Net Revenue $ 16,331 OperatingProfit Frito-Lay North $ America 1,085 Quaker Foods north America 150 North American Beverages 860 Latin America (994) Europe, Sub-Saharan Africa 398 Asia, Middle East, and North Africa 199 Corporate Unallocated (282) Total OperatingProfit $ 1,416 3/19/16 6/11/16 9/3/16 12/31/16 3/25/17 6/17/2017(a) 9/9/17 12/30/17 3/24/18 6/16/18 4,456 775 5,847 2,307 3,283 1,917 18,585 3,418 617 4,361 1,042 1,359 1,065 11,862 3,564 561 5,145 1,717 2,660 1,748 15,395 3,676 571 5,518 1,762 2,864 1,636 16,027 4,891 815 6,288 2,299 3,333 1,889 19,515 3,499 598 4,460 1,077 1,445 970 12,049 3,678 553 5,242 1,823 2,812 1,602 15,710 3,792 578 5,332 1,873 3,098 1,567 16,240 4,829 774 5,902 2,435 3,695 1,891 19,526 3,617 601 4,415 1,224 1,668 1,037 12,562 3,837 527 5,193 1,843 3,116 1,574 16,090 1,292 179 639 214 221 139 (444) 2,240 1,018 166 485 175 67 (148) (144) 1,619 1,083 146 881 242 337 383 (106) 2,964 1,148 144 904 247 388 264 (274) 2,821 1,410 197 689 223 316 120 (574) 2,381 1,050 163 501 133 96 171 (251) 1,863 1,143 145 890 228 492 307 (286) 2,919 1,208 146 817 291 436 267 (162) 2,993 1,402 186 491 267 315 328 (396) 2,593 1,050 155 388 189 118 187 (280) 1,807 1,200 145 747 269 438 496 (267) 3,028
