Please just check it and write your answer - Disney Entertainmet`s run a financial statement analysis to determine whether you will invest in the company as a shareholder. - Run the analysis as of 2020, and 2019. - Use at least 4 ratios (must include current ratio, debt-to-equity ratio, and price/earnings ratio). - Use the Ratio Analysis Model

Fiscal year is October September. All values USD Millions. 2020 2019 2018 2017 2016 5-year trend Sales/Revenue 65,125 69,422 59,469 54,943 55,368 Sales Growth -6.19% 16.74% 8.24% -0.77 Cost of Goods Sold (COGS) incl. D&A 49,179 46,163 35,695 32,958 32.355 COGS excluding D&A 43,834 41.996 32,684 30,176 29,828 Depreciation & Amortization Expense 5,345 4,167 3,011 2,782 2,527 Depreciation 3,140 2,844 2,758 2,586 2,320 Amortization of Intangibles 2.205 1.323 253 196 207 COGS Growth 6.53% 29.33% 8.30% 1.86% Gross Income 15.946 23,259 23,774 21,985 23,013 Gross Income Growth -31.44% -2.17% 8.14% -4.47% Gross Profit Margin 24.49% SG&A Expense 12,369 11,549 8,860 8,176 8,754 Other SG&A 12,369 11,549 8,860 8,176 8,754 SGA Growth 7.10% 30.35% 8.37% -6.60% EBIT 3,577 14,914 13,809 14,259 Unusual Expense 4,808 (3,081) 82 230 323 Non Operating Income/Expense 328 213 597 314 381 Non-Operating Interest Income 156 268 108 115 71 Equity in Affiliates (Pretax) 651 (103) (102) 320 926 Interest Expense 1,647 1,246 706 540 446 Interest Expense Growth 32.18% 76.49% 30.74% 21.08% Gross Interest Expense 1,804 1,468 831 627 585 Interest Capitalized 157 222 125 87 139 Pretax Income (1,743) 13,923 14,729 13,788 14,868 Pretax Income Growth -112.52% -5.47% 6.82% -7.26% Pretax Margin -2.68% Income Tax 699 3,026 1,663 4,422 5,078 Income Tax - Current Domestic 243 126 2,602 3.589 3,300 Income Tax - Current Foreign 731 824 642 489 533 Income Tax-Deferred Domestic 250 2,088 (1.597) 375 1,272 Income Tax-Deferred Foreign (525) (12) 16 (31) (27) Consolidated Net Income (2,442) 10,897 13,066 9,366 9,790 Minority Interest Expense 390 472 468 386 399 Net Income (2,832) 10,425 12.598 8,980 9,391 Net Income Growth -127.17% -17.25% 40.29% -4.38% Net Margin -4.35% Extraordinaries & Discontinued Operations (32) 629 Discontinued Operations (32) 629 Net Income After Extraordinaries (2,800) 9,796 12,598 8,980 9,391 Net Income Available to Common (2,864) 11,054 12.598 8,980 9,391 EPS (Basic) (1.58) 6.64 8.36 5.69 5.73 EPS (Basic) Growth -123.87% -20.63% 46.92% -0.70% Basic Shares Outstanding 1,808 1,656 1,499 1,568 1,629 EPS (Diluted) (1.58) 6.64 8.36 5.69 5.73 EPS (Diluted) Growth -123.87% -20.63% 46.90% -0.68% Diluted Shares Outstanding 1,808 1,666 1,507 1,578 1,639 EBITDA 8,922 15,877 17,925 16,591 16,786 EBITDA Growth -43.81% - 11.43% 8.04% -1.16% EBITDA Margin 13.70% EBIT 3,577 14,914 13,809 14,259 Income Statement Walt Disney Co. Earnings & Estimates Walt Disney Co. Otr.EPS Est. +0.52 04 2021 Otr.Year Ago Ann.EPS Est +2.46 FY 2021 Ann Year Ago -0.20 04 2020 QUARTERLY ANNUAL -1.58 FY2020 Net Income Jun 2021 5-quarter trend Next Report 02/08/2022 Last Report 11/10/2021 28 Net Income Growth O Fiscal Yr Ends September 30 No. of Analysts 23 28 Sales or Revenue 17.03 B Sales or Revenue Growth +45.21% -6B Per Share Data Walt Disney Co. Al values updated annually at fiscal year end Jun Sep Dec Mar 2020 2020 2020 2021 2021 EBITDA +265 B -1.58 Sales 36.02 -7.34 Operating Profit 1.98 Earnings Per Share Tangible Book Value Working Capital Capital Expenditure 3.56 Long Term Liabilities 42.77 Balance Sheet Walt Disney Co. 2.22 Capital Expenditure TTM 1.75 QUARTERLY ANNUAL Total Assets Jun 2021 5-quarter trend 2403 Ratios & Margins Walt Disney Co. All values updated annually at fiscal year end Cash & Short-Term Investment 16.07 B 1803 00012 120B Total Debt 55.84B Valuation Profitability 608 277.66 P/E Ratio (TTIVO 101.61B Gross Margin Total Liabilities +24.49 P/E Ratio Inaudingastordreryttere 275.56 Operating Margin +5.49 Jun Sep De Mar Jun 2020 2020 2020 2021 2021 Total Shareholder's Equity 86.74B Price to Sales Ratio 3.40 Pretax Margin -2.68 Book Value Per Share 47.74 Price to Book Ratio 2.65 Net Margin -4.35 Price to Cash Flow Ratio 29.09 Return on Assets -1.43 39.51 Return on Equity -3.28 "Enterprise Value to EBITDA Enterprise Value to Sales Total Debt to Enterprise Value Cash Flow Walt Disney Co. 5.56 Return on Total Capital 2.31 0.22 Return on Invested Capital -2.13 QUARTERLY ANNUAL Total Debt to EBITDA 6.61 Capital Structure Net Operating Cash Flow Jun 2021 5-quarter trend EPS recurring 0.28 168 Total Debt to Total Equity 74.56 Capital Expenditures -938.00 M EPS back -1.58 123 Total Debt to Total Capital 42.71 EPS -1.58 II Free Cash Flow +528.00 M 30.92 400M Cash Flow Per Share +0.80 Efficiency 1.98 Revenue/Employee 320,813 Total Debt to Total Assets Interest Coverage Long-Term Debt to Equity Long-Term Debt to Total Capital Long-Term Debt to Assets 66.79 Jun Sep Dec Mar 2020 2020 2020 2021 2021 Free Cash Flow Per Share +0.29 Income Per Employee -13.951 38.26 4.62 0.28 Receivables Turnover Total Asset Turnover 0.33 ADVERTISEMENT Liquidity Current Ratio 1.24 Quick Ratio 1.18 Undated Intraday 2020 2019 2018 2017 2016 5-year trend Fiscal year is October September. All values USD Millions Cash & Short Term Investments 17,917 5,444 4,150 4,017 4,610 Cash Only 17,917 5,444 4,150 4,017 4,610 Cash & Short Term Investments Growth 229.11% 31.18% 3.31% -12.86% Cash & ST Investments/Total Assets 8.89% 2.81% 4.21% 4.19% 5.01% Total Accounts Receivable 12,708 15,481 9,334 8,633 9,065 Accounts Receivables, Net 10,873 12,587 8,268 8,013 8,458 Accounts Receivables, Gross 11,299 12.930 8,460 8,200 8,611 Bad Debt/Doubtful Accounts (426) (343) (192) (187) (153) Other Receivables 1,835 2,894 1,066 620 607 Accounts Receivable Growth -17.91% 65.86% 8.12% -4.77% Accounts Receivable Turnover 5.12 4.48 6.37 6.36 6.11 Inventories 1,583 1,649 1392 1,373 1,390 Progress Payments & Other 1,583 1,649 1,392 1,373 1,390 Other Current Assets 872 953 635 588 693 Prepaid Expenses 476 445 449 Miscellaneous Current Assets 872 953 159 143 244 Total Current Assets 33,080 23,527 15,511 14,611 15,758 36,126 31,603 29,540 28,406 27,349 Net Property, Plant & Equipment Property, Plant & Equipment- Gross 71,643 64,018 60,304 57,443 54,198 Land & Improvements 1,035 1,165 7,035 6,848 5,842 Construction in Progress 4,449 4,264 3,942 2,145 2,684 Leases 361 Other Property, Plant & Equipment 62,111 58,589 49,327 48,450 45,672 Accumulated Depreciation 35,517 32,415 30,764 29,037 26,849 Other Property, Plant & Equipment 35,517 32,415 30,764 29,037 26,849 Total Investments and Advances 4,203 3,377 2,939 3,207 4,365 LT Investment - Affiliate Companies 2,632 2,922 2,768 3,087 4,082 Other Long-Term Investments 1,571 455 171 120 283 Long-Term Note Receivable 1,928 1,688 1,651 Intangible Assets 96,862 103,508 38,081 38,421 34.759 Net Goodwill 77,689 80,293 31,269 31,426 27,810 Net Other Intangibles 19,173 23,215 6,812 6,995 6,949 Other Assets 31,278 31,969 10,599 9,456 8,151 Deferred Charges 27,193 27,407 10,121 8,992 7,776 Tangible Other Assets 4,085 4,562 478 464 375 Total Assets 201,549 193,984 98,598 95,789 92,033 Assets - Total - Growth 3.90% 96.74% 2.93% 4.08% Asset Turnover 0.33 Return On Average Assets -1.43% 2020 2019 2018 2017 2016 5-year trend Fiscal year is October September. All values USD Millions. Net Income before Extraordinaries (2,442) 10,897 12,130 9,366 9,790 Net Income Growth -122.41% -10.16% 29.51% -4.33% Depreciation, Depletion & Amortization 5,345 4,167 3,011 2,782 2,527 Depreciation and Depletion 3140 2,844 2,758 2,586 2 320 Amortization of Intangible Assets 2,205 1,323 253 196 207 Deferred Taxes & Investment Tax Credit (392) 117 (1,573) 334 1,214 Deferred Taxes (392) 117 (1,573) 334 1,214 Other Funds 5,750 (3,553) 1,564 (29) 584 Funds from Operations 8,261 11,628 15,132 12,453 14,115 Changes in Working Capital (645) (5,644) (837) (110) (902) Receivables 1943 55 (720) 107 (393) Inventories 14 (223) (17) (5) 186 Accounts Payable (2,293) 191 235 (368) 40 Income Taxes Payable (152) (6,599) 592 208 (598) Other Assets/Liabilities (157) 932 (927) (52) (137) Net Operating Cash Flow 7,616 5,984 14,295 12,343 13213 Net Operating Cash Flow Growth 27.27% -58.14% 15.81% -6.58% Net Operating Cash Flow/ Sales 11.69% 8.62% 24.04% 22.47% 23.86% Disney PE Ratio Historical Data Date Stock Price TTM Net EPS PE Ratio 2021-10-28 169.68 278.16 2021-06-30 175.77 $0.61 288.15 2021-03-31 184.52 $-2.50 0.00 2020-12-31 181.18 $-2.74 0.00 2020-09-30 124.08 $-1.59 0.00 2020-06-30 111.51 $-0.62 0.00 2020-03-31 96.60 $2.96 32.64 2019-12-31 144.63 $6.26 23.10 2019-09-30 129.54 $6.96 18.61 2019-06-30 137.95 $7.93 17.40 2019-03-31 109.69 $8.91 12.31 A. The Ratio Analysis Model 1. Formulate the Question How profitable is Panera Bread? 2. Gather the Information from the Financial Statements The profit margin is a measure of a company's profitability. To calculate the ratio, it is essential to know a company's: Net income: From the income statement Net sales or revenues: From the income statement 3. Calculate the Ratio Profit Margin = Net Income Net Sales or Revenues Panera Bread Partial Income Statement (in thousands of dollars) For the Year Ended December 30, 2014 Net income Revenues 179.293 $2,529,195 $ 179,293 Profit Margin- $2,529,195 - 7.1% 4. Compare the Ratio with Other Ratios Ratios are of no use in a vacuum. It is necessary to compare them with prior years and with competitors. PROFIT MARGIN Panera Bread Chipotle December 30, December 31, December 31, December 31, 2014 2013 2014 2013 7.1% 8.2% 10.8% 10.2% 5. Interpret the Ratios A high profit margin indicates that the company is controlling its expenses. This is because revenues minus expenses equals net income, if the ratio of net income to revenue is high, the company is not only generating revenue but also minimizing expenses. Both companies' profit margins indicate that the companies are able to control their expenses while increasing their revenues. Panera Bread's profit margin decreased by 1.1% over the two-year period, while Chipotle's increased by 0.6%