for both APPLE and SAMSUNGthis is to find the
gross profits
EBIT
EBITDA
FCF
current ratio
quick ratio
total debt ratio
debt-equity ratio
toral asset turnover
inventiry turnover
days sales in inventory
profit nargin on sales
return on assets
return on equity
Income Statement for Samsung
APPLE AND SAMSUNG -- - The requirement here is to address the following items: What are the primary lines of business of these two companies as shown in their notes to the financial statement? Which company has the dominant position in their industry? What are the gross profits, operating profits, and net income for these two companies? Compute both companies' cash coverage ratio, current ratio, and free cash flow. What ratios do each of these companies use in the Management's Discussion and Analysis section of the annual report to explain their financial condition related to debt financing? What are the gross profits, net income, EBIT, EBITDA and free cash flow (FCF) for these two companies? For both companies, compute: Current ratio: Quick ratio: Total debt ratio: Debt-equity ratio: Total asset tumover Inventory tumover: Day's sales in inventory: Profit margin on sales: Return on assets; and Retum on equity Explain what each ratio is indicating relevant to your firm's financial position. After calculating the ratios, compare/contrast the ratios with the other company Using any two of the several valuation models we have studied in this course, demonstrate whether the stock is overvalued, undervalued, or correctly valued by the market. Appleine CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) in milions Six Month Ended March 27, March 20 2021 2020 Cash, cash equivalents and restricted cash beginning balance $ 39,789 $ 50,224 Operating activities Net income Adjustments to reconcle net income to cash generated by operating activities 52,385 33.485 Depreciation and amortization 5.463 5,602 Share-based compensation expense Deferred Income tax benefit 4,001 3407 Other (207 1651) (474) Changes in operating assets and liabilities (259) Accounts receivable.net (2.3471 7284 Inventories (1 226) 699 Vendor non-trade receivables 6.792 7.923 Other current and non-current assets 143331 18.866) Accounts payable Deferred revenue (1997) (13,5201 1642 1.223 Other current and non-current liabilities 3045 7500 Cash generated by operating activities 62,744 43,827 Investing activities Purchases of marketable securities (74.424) (66,489) Proceeds from maturities of marketable securities 39,605 39.738 Proceeds from sales of marketable securities 21,645 27,762 Payments for acquisition of property, plant and equipment (5,769) (3.960) Payments made in connection with business acquisitions, net 19 (1134) Other 1572) Cash used in investing activities (18,9521 (4,6551 Financing activities Proceeds from issuance of common stock 561 430 Payments for taxes related to net share settlement of equity awards (3,160) 11.566) Payments for dividends and dividend equivalents 17,060) 16.914) Repurchases of common stock (43.323) (39.2801 Proceeds from issuance of term debt net 13.923 2,210 Repayments of term debt (4.500 (5,2501 Proceeds from commercial paper, net 22 1.518 Proceeds from repurchase agreement 2.556 Other 13.82 Cash used in financing activities (43,575) (46,347 Increase/Decrease in cash, cash equivalents and restricted cash 217 17,175) Cash, cash equivalents and restricted cash, ending balance $ 40,006 $ 43.049 Supplemental cash flow disclosure Cash paid for income taxes, net 10,276 $ 7.505 Cash paid for interest 1327 $ 1689 Apple Inc. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) Un millions, except number of shares which are reflected in thousands and par value) March 27, 2021 September 26, 2020 ASSETS: $ Current assets: Cash and cash equivalents Marketable securities Accounts receivable, net Inventories Vendor non-trade receivables Other current assets Total current assets 38,466 31368 18,503 5,219 14533 13376 121,465 38,016 52.927 16,120 4,061 21.325 11264 143,713 Non-current assets: Marketable securities Property, plant and equipment, net Other non-current assets Total non-current assets Total assets 134 539 37815 43339 215,693 3371585 100.887 36.766 42522 180125 323 888 LIABILITIES AND SHAREHOLDERS' EQUITY: $ Current liabilities: Accounts payable Other current liabilities Deferred revenue Commercial paper Term debt Total current abilities 40,127 45.000 7,595 5.000 B003 106,385 42.296 42,684 6,643 4,996 8.773 105,392 Non-current liabilities: Term debt Other non-current liabilities Total non-current abilities Total abilities 108,642 52953 161595 267,980 98,667 54490 153,157 258 549 Commitments and contingencies 54,203 50,779 Shareholders' equity Common stock and additional pald-in capital, $0.00001 par value: 50.400,000 shares authorized, 16,686,305 and 16,976,763 shares issued and outstanding, respectively Retained earnings Accumulated other comprehensive income/(104) Total shareholders' equity Total abilities and shareholders' equity 15,261 1286) 69,178 337,158 14,956 (406) 65,339 323 888 $ 5 Apple Inc. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) in millions, except number of shares which are reflected in thousands and pershare amounts Three Menthede 3 Months Ended March 27, March 28, March 27, March 20 2021 2020 2021 2020 Net sales: Products $ 72,683 $ 44,965 $ 168.351 $ 124069 Services 16 901 13345 32002 26.063 Total net sales 89,584 58,313 201023 150,132 Cost of sales Products 46,447 31,321 108,577 83.396 Services 5058 4622 10039 9149 Total cost of sales 51505 35943 118.01 92545 Gross marain 38 079 22370 82 407 57,587 5.262 5,314 10576 4,565 4.952 9,512 10,425 10.945 21370 9,016 10149 19,165 Operating expenses Research and development Selling general and administrative Total operating expenses Operating Income Other income/expense),net Income before provision for income taxes Provision for income taxes Net income 27,503 508 28.011 4381 23.630 5 12,853 282 13,135 1885 11.249 $ 61037 553 62590 9205 52385$ 38,422 531 39.053 5.5.60 33.485 $ $ 141 $ 1.40 $ 0.64 $ 0.64 5 3.11$ 3.00 $ Earnings per share Basic Diluted Shares used in computing earnings per share Basic Diluted 191 189 16,753,476 16,929,157 17,440,402 17,618,765 16,844 298 17021423 17,550,281 17,718,591 $ Net sales by reportable segment: Americas Europe Greater China Japan Rest of Asia Pacific Total net sales 34,306 $ 22,264 17,728 7.742 7544 89 5845 25.473 $ 80,616 $ 66,840 14.294 49.570 37.567 9,455 39,041 23.033 5,206 16.027 11429 3885 15,209 11,263 58 313 $201.023 $150.132 $ Net sales by category Phone Mac iPad Wearables, Home and Accessories Services Total net sales 47.938 9,102 7,807 7836 16 901 89,584 28,962 $ 113.535 S 84.919 5.351 17,777 12.511 4,368 16,242 10,345 6.284 20 807 15294 13,348 32,062 58.313 $ 201023 5150122 $ Samsung Electronics Co., Ltd. and its subsidiaries INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION in millions of Korean won in thousands of US dollars (Note 2.3)) Notes March 31, 2021 KRW December 31. 2020 KRW March 31. 2021 USD December 31. 2020 USD Assets 3,25 3.25 3,25 41,039,591 87.159.273 3.526,888 29,382,378 92,441,703 2.757,111 36,866.507 78,296,540 3,168,259 26,394,830 3,061 30 2.476,756 Current assets Cash and cash equivalents Short-term financial instruments Short-term financial stat amortized cost Short-term financial assets at fair value through profit or loss Trade receivables Non-trade receivables Prepaid expenses Inventories Other current assets Assets held for sale 3, 4,25 3,25 3.25 39,495 33,962,077 3.828,263 2,660,029 30,619,976 4.594,468 1,705,293 209.155.353 71451 30,965.058 3,604,539 2,266,100 32,043,145 3.754,462 929.432 198.215.579 53.445 30.508,666 3.43R.989 2.389.546 27.506,404 4.127.282 1.531,891 187,887,529 64.18 27,816,397 3.238,014 2,035,673 28,784,899 3.372.691 834923 178.060,199 5 3.25 28 3, 4,25 13,399,200 12.575,216 12,036,711 11.296 313 3.4.25 Non-current assets Financial assets at fair value through other comprehensive income Financial assets at fair value through profit or loss Investment in associates and joint ventures Property, plant and equipment Intangible assets Net defined benefit assets Deferred income tax assets Other non-current assets 7 8 11 1.121.071 8,096,721 132.747.712 18.386,683 1,041,056 4,087,139 4,791,339 183.670,921 392.826,274 1.202.909 8.076,779 128.952,892 18,468 502 1,355,502 4,275.000 5.113.279 180,020,139 378.235,718 1.007.076 7.273.411 119.249.349 16.517.045 935,197 3.671.541 4304.135 164,994,465 352.881,994 1.080.646 7.255.492 115.840,403 16.590,54 1.217.669 3.840,299 4393339 161,714911 339,775,070 3.25 Total assets Samsung Electronics Co., Ltd. and its subsidiaries INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (in millions of Korean won, in thousands of US dollars (Note 2.3)) March 31. 2021 December 31, 2020 Notes March 31, 2021 December 31, 2020 USD KRW KRW USD 3,25 3.9.25 3.25 Liabilities and Equity Current liabilities Trade payables Short-term borrowings Other payables Advances received Withholdings Accrued expenses Current income tax liabilities Current portion of long-term liabilities Provisions Other current liabilities Liabilities held-for-sale 3,25 3. 14.25 11.133.583 16,148,220 26,582,724 1.785,500 1,005,454 22,442,686 4,457.647 737.865 4,509,377 1,105,971 200,435 90,109,462 9,739,222 16,553,429 11.899,022 1,145,423 974,521 24,330,339 4,430,272 716,099 4,349,563 1,127,719 338,742 75,604,351 10,001.472 14.506,199 23,879,677 1,603.943 903.215 20,160,616 4,004,374 662,836 4,050,844 993,511 180,054 80,946,741 8.748.896 14,870,205 10,689,078 1,028,951 873,427 21.856.325 3.979.783 643,283 3.907.281 1,013,048 304,297 67.916,574 3,9,10,25 12 3, 14.25 28 864.858 Non-current liabilities Debentures Long-term borrowings Long-term other payables Nct defined benefit liabilities Deferred income tax liabilities Long-term provisions Other non-current liabilities 3.10.25 3.9, 25 3.25 11 962.755 2.123.829 1.509.926 489,469 20,206,147 1,113,153 2,042,942 28,448,221 118,557,683 948,137 1.999,716 1,682,910 464,458 18,810,845 1,051,428 1.725,857 26,683,351 102,287,702 1.907.869 1.356,390 439,698 18,151.498 999.963 1.835,206 25,555,482 106,502.223 851.726 1.796,376 1.511.784 417.230 16,898,077 944314 1,550,364 23.970,071 91.886,645 12 3, 14,25 Total liabilities Samsung Electronics Co. Ltd. and its subsidiaries INTERIM CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (in millions of Korean won in thousands of US dollars (Note 2-3)) March 31. 2021 KRW December 31, 2020 March 31, 2021 December 31, 2020 Notes KRW USD USD 15 107319 15 Equity attributable to owners of the Company Preference shares Ordinary shares Share premium Retained earnings Other components of equity Accumulated other comprehensive income anributable to assets held-for-sale 119.467 778,047 4.403.893 266,066,142 (5.616 350) 119.467 778.047 4,403,893 271.06.211 (8.687,155) 107,319 693.932 3.956686 239,011,382 5.045.254) 698.932 3.956,086 243.504.819 7.803 807) 16 17 28 Non-controlling interests Total equity 16,055 265,767,254 8.501,337 274.268.591 (12032) 267,670,331 8.277,685 275.948,016 14,422 238,742.887 7.636.834 246379.771 (10.898 240,452,451 7,435974 247.888.425 Total liabilities and equity 392,826,274 378 235,718 352.881.994 339,775,070 Period Ending 2021 31/03 2020 31/12 2020 30/09 2020 30/0e Total Revenue 65388503 61551508 61551508 52966142 65388503 66964160 66964160 52966142 41499985 37804928 39970476 31906198 23888518 23746580 26993684 21059944 56005635 52504507 54610922 44819850 8547449 9044385 8785222 7141170 5440544 5222093 5311761 517657 433101 5217642 554840 543463 Revenue Other Revenue, Total Cost of Revenue, Total Gross Profit Total Operating Expenses Selling/General/Admin. Expenses, Total Research & Development Depreciation / Amortization Interest Expense (Income) - Net Operating Unusual Expense (Income) Other Operating Expenses, Total Operating Income Interest Income (Expense), Net Non-Operating Gain (Loss) on Sale of Assets Other, Net Net Income Before Taxes Provision for Income Taxes Net Income After Taxes Minority Interest Equity In Affiliates U.S GAAP Adjustment Net Income Before Extraordinary Items Total Extraordinary Items 9382868 9047001 12353238 8146292 401009 316433 466841 449826 65629 72348 -18514 -13477 -98861 -461320 42541 -812944 9750645 8974462 12844106 7769697 2608960 2367332 3483413 2214614 7141685 6607130 9360693 5555083 -48899 -161661 -93879 -66119 7092786 6445469 9266814 5488964 Net Income After Taxes 7141685 6607130 9360693 5555083 -48899 :-161661 -93879 -66119 7092786 6445469 9266814 5488964 7092786 6445469 9266814 5488964 Minority Interest Equity In Affiliates U.S GAAP Adjustment Net Income Before Extraordinary Items Total Extraordinary Items Net Income Total Adjustments to Net Income Income Available to Common Excluding Extraordinary Items Dilution Adjustment Diluted Net Income Diluted Weighted Average Shares Diluted EPS Excluding Extraordinary Items DPS - Common Stock Primary Issue Diluted Normalized EPS 7092786 6445469 9266814 5488964 9266814 6445469 6792.67 6792.67 7092786 6792.67 1044.18 361 1037.11 948.89 1364.24 5488964 6792.67 808.07 354 809.49 1932 354 941.04 1366.22 . In Millions of KRW (except for per share items)
