Ratios Tell A Story 1 2 3 4 5 6 7 8 9 10 11 12 13 Fiscal year-end June Dec Feb Dec Dec Oct Jan Dec April Dec Dec Dec May Percentage of Total Cash and Equivalents 62.3 22.6 11.8 12.1 3.5 14.4 2.2 7.5 35.7 14.7 8.9 4.9 1.7 Receivables 6.8 69.7 3.5 3.4 3.9 25.7 2.1 1.1 27.6 1.8 11.1 3.9 18.1 Inventory 19.4 1.8 1.9 21.3 40.1 2.0 1.2 8.3 22.9 28.2 Other current assets 3.0 2.3 2.3 1.0 4.5 1.0 2.7 3.4 1.3 3.4 3.7 2.4 Total Cureent assets 72.1 92.3 37.0 19.6 10.3 65.9 45.4 13.3 66.7 19.0 31.7 35.4 50.4 Net plant and equipment 10.2 1.6 61.4 65.3 76.6 19.9 51.4 12.4 22.0 80.9 25.6 49.7 21.0 Financial service assets 69.4 Goodwill and equity investments 16.3 0.6 2.6 0.7 4.2 36.1 7.3 15.0 Other assets 1.4 5.5 1.6 12.5 13.1 14.2 3.2 4.2 7.1 0.1 6.6 7.6 13.6 Total Assets 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 Notes payable 2.7 0.5 3.9 14.2 3.9 0.9 Accounts payable 5.0 66.9 16.5 5.5 3.0 10.0 19.3 4.3 10.2 3.8 12.7 6.5 36.0 Accrued expenses 2.3 0.4 5.8 4.0 1.2 13.0 6.1 5.8 6.3 13.7 9.9 8.8 Income taxes 3.2 1.1 0.4 4.8 0.8 0.5 6.8 3.3 Other current liabilities 14.5 1.1 0.4 5.8 3.6 1.6 1.3 3.0 2.1 6.7 1.9 Total Current Liabilities 25.0 70.0 23.9 11.0 10.4 35.3 27.8 11.9 37.5 20.5 22.0 24.0 46.7 Long-term debt 9.5 12.2 12.9 28.4 9.9 25.3 2.5 14.8 5.2 27.6 5.5 Financial service liability 63.5 Deferred-tax liaiblity 0.9 4.2 17.6 1.2 0.4 1.4 10.3 10.9 7.7 3.4 Other liabilities 11.6 4.9 0.6 1.0 3.8 10.4 2.1 7.1 8.8 2.2 Total liabilities 25.0 91.1 41.9 28.7 57.4 49.0 54.3 88.7 41.0 52.7 46.9 61.5 55.6 Minority interest 2.6 6.8 4.6 Translation adj. and other (0.9) (1.0) (0.4) (1.7) Preferred stock 6.8 0.1 10.3 2.2 0.2 0.2 7.5 Common stock 31.4 8.6 4.1 18.8 9.8 3.7 2.0 2.4 26.2 8.9 20.2 12.8 12.4 Retained earnings 36.8 0.2 54.5 43.2 30.6 47.3 42.1 9.1 35.7 38.4 67.0 19.9 32.0 Treasury stock (0.5) (0.1) (9.9) (38.7) Total owners' equity 75.0 8.9 58.1 71.3 42.6 51.0 45.7 11.3 59.0 47.3 53.1 38.5 44.4 Total liabilities and equity 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 Return on Sales 30.4% 9.9% 2.22% 6.41% 10.0% 7.27% 2.91% 5.64% 2.48% 8.33% 19.60% -1.26% 1.74% Asset Turnover 0.93 0.12 2.63 1.09 0.49 1.44 2.72 0.45 1.05 0.96 0.94 1.38 5.96 Return on Assets 28.3% 1.15% 5.84% 7.00% 4.95% 10.47% 7.92% 2.55% 2.60% 7.99% 18.40% -1.74% 10.37% Leverage 1.38 11.25 1.74 1.66 2.34 2.01 2.42 9.43 1.80 2.18 2.04 2.55 2.50 Return on Equity 39.10% 12.90% 10.20% 11.65% 11.59% 21.00% 19.20% 24.10% 4.68% 17.40% 37.50% -4.44% 25.90% Long-term debt/capital 51.6% 17.4% 15.3% 40.1% 16.3% 36.9% 18.1% 23.8% 8.58% 41.8% 11.0% Current Ratio 2.87 1.55 1.79 0.99 1.87 1.64 1.11 1.78 0.93 1.47 1.49 1.08 Inventory turnover 10.60 28.00 10.80 3.77 5.25 18.00 5.49 4.81 18.70 Days receivables outstanding 26 2195 5 11 29 65 3 9 81 7 43 17 10 Revenue growth 31.0% 9.3% 0.5% 7.4% 2.3% 11.6% 12.0% 4.2% 16.5% 12.1% 19.2% -3.9% 4.9% Gross margin 90.4% 29.5% 37.9% 33.9% 20.2% 11.4% 66.5% 50.1% 14.1% 10.5% Dividend payout 0.0% 58.8% 52.3% 24.2% 69.3% 17.0% 15.7% 29.2% 225.0% 2.0% 44.2% 8.7% match industries Industry List 1. Airline Company 2. Automobile manufacturer 3. Pharmaceutical company 4. Commercial bank 5. Computer and office equipment manufacturer 6. Discount general-merchandise store chain 7. Electric utility 8. Fast-food chain 9. Wholesale food distributor 10. Supermarket chain 11. Textile manufacturer 12. Tax services company 13. Software development company Ratios Used 1. ROS = Net Income/Net sales 2. Asset Turnover = Net Assets/Average. total assets 3. ROA (Return on assets) = Net sales/Average total assets or ROS X Asset Turnover 4. Financial Leverage = Avg. total assets/Avg. total owners equity 5. ROE (Return on equity) Net Income/Avg. total owners equity or ROA X Financial leverage 6. Long-term debt to capital = Long-term debt/Long-term debt + Owners equity 7. Current ratio = Total current assets/Total current liabilities 8. Inventory turnover = COGS/Avg. inventory 9. Receivables collection = Avg. accounts receivable/Net sales/360 days 10. Revenue growth = This years net sales-last years net sales/Last years net sales 11. Gross margin = Net sales-COGS/Net sales 12. Dividend payout = Cash dividends/Net income