Review the balance sheet and accounts data provided. Analyse the financial performance of the company and its ability to create and capture value.

Collect data from Part 2 in the Materials and select the relevant information for your answer . Based on analysis you've carried out you may wish to: look at how revenues and profits have changed through the years, consider the information provided by performance ratios such as ROE, ROCE, ROS and AUR and finally look at the dynamic of the market value of the company.

You should discuss the extent to which the company creates and captures value. Build your argument by offering an interpretation of the different measures of financial performance (this encourages you to avoid just listing numbers;

163 Profit & loss account 164 Consolidated 25/02/2021 27/02/2020 28/02/2019 01/03/2018 02/03/2017 03/03/2016 26/02/2015 27/02/2014 28/02/2013 01/03/2012 165 EUR EUR EUP BUR EUR EUR EUR EUR EUR EUR 166 12 months 12 months 12 months 12 months 12 months 12 months 12 months 12 months 12 months 12 months 167 IFRS IFRS IFRS IFRS Local GAAP IFRS IFRS IFRS IFRS IFRS 168 Exchange rate: GBP/EUR F 1.14883 1.17354 1.16530 1.12826 1.17392 1.27241 1.37269 1.20814 1.15713 1.18597 169 Operating revenue (Turnover) 854.730.824 2.430.998.420 2.387.806.199 3.717.713.264 3.646.183.165 3.717.727.101 3.580.106.568 2.771.829.369 2.350.484.224 2.108.892.733 170 - Sales n.a. n.a. n.a. n.a. n.a n.a. n.a n.a. n.a. n.a 171 172 Costs of goods sold n.a. n.a. n.a. h.a n.a. n.a n.a. n.a. n.a. 342.033.891 173 174 Gross profit n.a. n.a. n.a. m.a n.a. n.a. n.a n.a. n.a. 1.766.858.842 175 176 Other operating expenses 1.817.451.832 1.950.079.689 2.043.811.084 3.050.801.695 2.996.068.472 3.044.367.808 2.891.017.385 2.297.393.858 1.901.169.488 1.355.564.275 177 178 Operating P/L [=EBIT] -962.721.009 480.918.732 343.995.115 666.911.569 650.114.693 673.359.293 689.089.183 474.435.511 449.314.736 411.294.567 179 180 - Financial revenue 7.697.173 30.864.233 10.720.715 24.370.309 14.791.342 8.906.869 -27.591.021 -241.627 -16.894.142 1.660.359 181 - Financial expenses 234.821.210 171.689.630 45.446.509 47.612.364 44.139.242 52.423.286 25.669.258 60.044.423 41.656.787 56.570.793 182 Financial P/L -227.124.037 -140.825.397 -34.725.794 -23.242.054 -29.347.901 43.516.417 -53.260.279 -60.286.050 -58.550.929 -54.910.434 183 P/L before tax -1.189.845.046 340.093.334 309.269.321 643.669.514 620.766.792 629.842.876 635.828.903 414.149.461 390.763.808 356.384.134 184 185 Taxation -120.397.568 74.989.524 58.614.344 131.103.239 119.856.826 129.658.564 133.974.311 27.303.903 72.899.378 29.649.262 186 187 P/L after tax -1.069.447.478 265.103.810 250.654.977 512.566.276 500.909.967 500.184.312 501.854.592 386.845.558 317.864.430 326.734.871 188 189 - Extr. and other revenue n.a. n.a. n.a. h.a n.a. n.a. n.a. n.a. n.a. n.a. 190 - Extr. and other expenses n.a. n.a. n.a. m.a n.a. n.a. n.a. n.a. n.a. n.a. 191 Extr. and other P/L n.a. n.a. 4.101.838.769 n.a. n.a. n.a. n.a. n.a n.a n.a 192 193 P/L for period [=Net income] -1.069.447.478 265.103.810 4.352.493.746 512.566.276 500.909.967 500.184.312 501.854.592 386.845.558 317.864.430 326.734.871 194 195 Memo lines 196 Export revenue n.a. 23.353.545 14.100.071 141.596.011 142.043.839 6.477.539 121.208.316 99.671.326 74.287.937 57.638.166 197 Material costs n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a. n.a 198 Costs of employees 666.896.832 717.622.754 684.960.463 944.349.489 930.328.448 936.875.373 915.719.908 733.218.517 624.967.523 564.403.358 199 Depreciation & Amortization 344.879.292 152.443.493 330.943.810 261.980.826 258.378.916 251.428.186 231.160.594 862.730.834 139.318.811 142.197.862 200 Research & Development expenses n.a. n.a. n.a. h.a. n.a. n.a. n.a. n.a. n.a. n.a. 201 Other operating items n.a. n.a. n.a. h.a. n.a. n.a. n.a. n.a. n.a. n.a 202 Interest paid 234.821.210 171.689.630 45.446.509 47.612.364 44.139.242 52.423.286 25.669.258 60.044.423 41.656.7 56.570.793 203 204 Cash flow -724.568.186 417.547.303 4.683.437.556 774.547.102 759.288.883 751.612.499 733.015.186 1.249.576.392 457.183.241 468.932.733 205 Added value 56.752.289 1.381.849.211 5.472.458.871 1.897.612.193 1.853.613.399 1.870.569.721 1.808.378.664 2.070.143.235 1.196.706.929 1.119.556.147 206 EBITDA 617.841.717 633.362.224 674.938.925 928.892.395 908.493.610 924.787.479 920.249.777 1.337.166.345 588.633.547 553.492.430 207 208209 Global ratios 10 11 Consolidated 25/02/2021 27/02/2020 28/02/2019 01/03/2018 02/03/2017 03/03/2016 26/02/2015 27/02/2014 28/02/2013 01/03/2012 12 EUR EUR EUR EUR EUR EUR EUR EUR EUR EUR 13 12 months 12 months 12 months 12 months 12 months 12 months 12 months 12 months 12 months 12 months 14 IFRS IFRS IFRS IFRS Local GAAP IFRS IFRS IFRS IFRS IFRS 215 Exchange rate: GBP/EUR 1.14883 1.17354 F 1.16530 1.12826 F 1.17392 F 1.27241 F 1.37269 F 1.20814 1.15713 1.18597 16 17 Profitability ratios ROE using P/L before tax (% ) -40,19 8,28 4,27 20,26 17,94 18,64 22,36 20,22 24,00 27,29 19 ROCE using P/L before tax (% ) -12,28 6,29 4,16 15,11 13,26 13,53 14,86 14,10 14,22 14,45 20 ROA using P/L before tax (%) -11,99 3,70 3.36 11,63 10,35 10.64 12,12 10,24 10,64 10,15 21 ROE using Net income (%) -36,13 6,45 60.06 16,14 14,48 14,80 17,65 18,89 19,52 25,02 22 ROCE using Net income (%) -10,73 5,37 51.59 12,25 10,87 10.96 11,85 13,29 11,83 13,41 23 ROA using Net income (%) -10,78 2,89 47,26 9,26 8,35 8,45 9,57 9,57 8,65 9,31 24 Profit margin (%) n.5. 13,99 12,95 17.31 17,03 16,94 17,76 14,94 16,63 16,90 125 Gross Margin (%) n.a. n.a n.a. n.a. n.a. n.a. n.a. n.a. n.a. 83,78 :26 EBITDA Margin (%) -72,29 26,05 28,27 24,99 24,92 24,88 25,71 48,24 25,04 26,25 27 EBIT Margin (%) n.s. 19,78 14,41 17,94 17,83 18,11 19,25 17,12 19,12 19,50 :28 Cash flow / Operating revenue (%) -84,77 17,18 n.5. 20,83 20,82 20,22 20,48 45.08 19,45 22,24 Enterprise value / EBITDA (x) n.a n.a. n.a n.a. n.a. n.a. n.a. n.a. n.a. n.a. 230 31 Operational ratios Net assets turnover (x) 0,11 0,30 0,28 0,81 0,73 0,74 0,80 0,82 0,77 0,74 :33 Interest cover (x) 4,10 2,80 7,57 14,01 14,73 12,85 26,85 7,90 10,79 7,27 34 Stock turnover (x) 61,49 150,11 141,32 67.52 64,44 62,03 68,28 75,22 72,55 75,03 Collection period (days) 11 51 10 22 11 11 29 10 10 Credit period (days) 12 29 14 72 19 18 63 17 0 0 37 Export revenue / Operating revenue (% ) n.a. 0,96 0,59 3,81 3,90 3,40 3,39 3,60 3,16 2,73 38 R&D expenses / Operating revenue (%) n.a. n.a. n.a n.a n.a. n.a. n.a. n.a. n.a. n.a. 40 Structure ratios 41 Current ratio (x) 0,68 0,95 6,0 0,43 0,91 0,72 0,44 0,35 0,32 0,27 42 Liquidity ratio (x) 0,67 0,93 6,05 0,37 0,85 0,65 0,37 0,30 0,26 0,23 43 Shareholders liquidity ratio (x) 0,62 1,02 5,67 2,27 2,22 2,03 1,77 1,56 1,15 0,84 44 Solvency ratio (Asset based) (%) 29,83 44,76 78,69 57,41 57,70 57,08 54,21 50,64 44,33 37,21 45 Solvency ratio (Liability based) (%) 41,23 81,04 n.5. 1.5. n.s. n.5. n.5. n.5 79,63 59,25 46 Gearing (%) 228,23 107,57 17,73 47,86 50,37 52,97 60,33 69,92 87,67 120,71 47 48 Per employee ratios 49 Profit per employee (th.) -37 9 9 12 15 15 16 11 12 12 50 Operating revenue per employee (th.) 26 67 67 71 87 90 92 76 70 69 51 Costs of employees / Operating revenue (%) 78,02 29,52 28,69 25,40 25,52 25,20 25,58 26,45 26,59 26,76 :52 Average cost of employee (th.) 21 20 19 18 22 23 24 20 19 19 53 Shareholders funds per employee (th.) 91 114 204 60 82 82 73 56 48 43 254 Working capital per employee (th.) 0 5 -1 0 -7 0 3 255 Total assets per employee (th.) 305 255 259 105 143 144 135 111 109 115