Question 3 (5 marks)
Prepare a vertical analysis of Harvey Norman Holdings Ltd for the year 2018 and 2019 completing the table below (use Sales of Products as the anchor)
Round all calculations to 2 decimal places
| Income Statement | 2019 | 2018 |
| Sales of Products | | |
| Cost of Sales | | |
| All other revenue and share of profits joint ventures | | |
| Expenses (including tax) and finance costs | | |
| Profit after tax | | |
INCOME STATEMENT for the year ended 30 JUNE 2019 CONSOLIDATED June 2019 S000 June 2018 $000 Note 3 Sales of products to customers Cost of sales Gross profit 2.234 118 (1.510,733) 723,385 1.993,760 (1,326,339) 667,421 3 3 4 Revenue received from franchisees Revenues and other income items Distribution expenses Marketing expenses Occupancy expenses Administrative expenses Other expenses Finance costs Share of net profit of joint ventures entities Profit before income tax Income tax expense Profit after tax 4 4 943.648 242 419 (41.102) (391044) (258,106) (567,970) (57.676) (28,782) 9,787 574559 (165,567) 409.002 965,472 200.253 (41602) (374,322) (241220) (585,683) (39.595) (26,344 5.792 530,172 (150.122) 380.050 37 5 Attributable to: Owners of the parent Non-controlling interests 402,317 6.685 409.002 375,378 4,672 380,050 6 6 34.70 cents 34.67 cents Earnings Per Share Basic earnings per share (cents per share) 33 21 cents Diluted earnings per share (cents per share) 33.18 cents Dividends per share (cents per share) 25 33.0 cents 30.0 cents This represents total dividends per share in respect of the year ended 30 June 2019 and the year ended 30 June 2018. The above Income Statement should be read in conjunction with the accompanying notes. 61 HARVEY NORMAN HOLDINGS LIMITED Accedono STATEMENT of FINANCIAL POSITION as at 30 JUNE 2019 CONSOLIDATED June June 2018 $000 2019 $000 Note 28) 7 8 9 10 11 215,048 741862 28,888 395.965 37,541 370 1.419,674 36.000 1.456,340 170,544 724,690 31463 345,287 45,144 490 1.317,618 Current Assets Cash and cash equivalents Trade and other receivables Other financial assets Inventories Other assets Intangible assets Subtotal Assets held for sale Total current assets Non-Current Assets Trade and other receivables Investments accounted for using equity method Other financial assets Property, plant and equipment Investment properties Intangible assets Total non-current assets 39 1317,618 12 13 49,391 3,854 19,370 896,207 2,508,951 64,631 3,342,404 78.443 4,497 18,283 660,337 2.429,397 69,067 3.260,024 15 16 Total Assets 4.798,744 4,577.642 17 18 Current Liabilities Trade and other payables Interest-bearing loans and borrowings Income tax payable Other liabilities Provisions Total current liabilities 19 20 283.682 494,579 12,000 75,819 33,028 899,108 289,986 422.191 15,608 66,825 35.354 829,964 Non-Current Liabilities Interest-bearing loans and borrowings Provisions Deferred income tax abilities Other liabilities Total non-current liabilities Total Liabilities 21 20 5(d) 23 346,942 13,025 330,546 11,330 701.843 503.203 11645 280.735 14,163 809,746 1600,951 1639.710 NET ASSETS 3.197.793 2.937.932 Equity Contributed equity Reserves Retained profits Parent entity interests Non-controling interests TOTAL EQUITY 25 26 552.250 217,724 2,397 436 3.167.410 30,383 3,197,793 388.381 185,384 2337241 2.911,006 26,926 2.937952 U The above Statement of Financial Position should be read in conjunction with the accompanying notes 00
