...Financial Accounting and Reporting Royal Dutch Shell For the purpose of this paper Royal Dutch Shell a British petroleum company was selected, the company is registered in the UK and operating business in the energy sectors worldwide, it is one of the public limited company (PLC) and actively operating in the London Stock Exchange. Task .1 You are required to identify eight (8) user groups and obtain the latest published income Statement and Balance Sheet for a company listed on the London Stock Market. Discuss critically the user group and the purposes for which they use the financial statements. Use of financial statement by different stakeholders (Fridson & Alvarez, 2011). 1. Management: Financial statement is very essential for the company management because it provide all the financial information they need for the management of their business, like business planning, business expansion tracking of different income and expenditure. It also helps them to be transparent during the management of the company, in the Shell the management always focus on proper financial statements. 2. Lenders: Lenders always invest when they think it is safe for them to invest, for this decision they depends on the financial statement of the company. If they find company has liabilities higher than their assets then lenders may not invest, it is not only the liabilities they consider for investment they may use other elements from the financial statements, how much profit...
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...I. Introduction BP is a global oil and gas company headquartered in London, United Kingdom. It is the third-largest energy company and fourth-largest company in the world measured by revenues and one of the six oil and gas "supermajors". It is vertically integrated and is active in every area of the oil and gas industry, including exploration and production, refining, distribution and marketing, petrochemicals, power generation and trading. It also has major renewable energy activities, including in biofuels, hydrogen, solar and wind power. BP has operations in over 80 countries, produces around 3.8 million barrels of oil equivalent per day and has 22,400 service stations worldwide. Its largest division is BP America, which is the biggest producer of oil and gas in the United States and is headquartered in Houston, Texas. As at 31 December 2010, BP had total proven commercial reserves of 18.07 billion barrels of oil equivalent. The name "BP" derives from the initials of one of the company's former legal names, British Petroleum. II. Issues 2010 was a year that called BP’s sustainability into question. The remarkable accident in the Gulf of Mexico on 20 April 2010 cost 11 lives, leading to a major oil spill and a widespread loss of trust in BP, caused irreparable damage on the surrounding environment. What did they do before and after the event, how to build a safer and stronger BP as they claimed? The Gulf of Mexico oil spill, which flowed unabated for three...
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...September 2014 US Automakers See Attractively Deep Value in GM As We Roll Out 2016 Estimates for US Automakers; Like Ford; Cautious on TSLA We introduce our 2016 estimates and roll-forward valuation for GM and Ford, finding +50% upside in the case of General Motors and +32% in the case of Ford. Our established 2015 price targets increase on newly considered 2016 earnings rather than 2015 in our valuation analysis and on capital structure roll-forward as the firms generate sizable cash flow. 2016 earnings are expected to rise relative to 2015, on industry tailwinds (continued trend toward more normal volumes in Europe, cycling past a period of atypically strong macro headwinds in South America, robust growth in China, and continued cyclical increase in North America even if at a lesser rate) as well as various different self-help initiatives (e.g., as restructurings in Europe, Australia, and elsewhere take further hold, and on cost control efforts in North America). We reiterate our Overweight ratings on both GM and Ford, seeing more value in automaker stocks than in supplier stocks generally, on earnings that are growing almost as quickly as the average supplier over our newly extended forecast window (and at least as structurally improved relative to history) but valuation which is only in line with historical average (Ford) or even significantly below (GM). We are more cautious on Tesla, however, with our Neutral rating balancing incremental news flow likely to track positive with...
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...University British Petroleum (BP) is one of the top oil producing companies in the world. They are responsible for all aspects of the business, from exploring to find new underground oil supplies, to marketing and selling the finished product and everything between. Because of BP’s wide array of operations, there are many different drivers of their business. BP’s main operation is sales of refined oil, where it earns about 70.1% of its revenues, while another 24.7% of its revenues come from the sale of crude oil. The other small percentage of their revenues come mainly from buying/selling other companies, joint ventures, and interest earned on investments. The goal of this study is to run linear and multiple linear analyses on the data collected to predict first quarter 2015 results for net revenues, operating costs, and profits of BP. To establish the main drivers of revenue, operating expenses, and net profit, I used simple percentages and correlations. Most of the items in the research were extracted from BP’s quarterly financial statements from 2011-2015 (2015), with the exception of quarterly average Brent Crude oil prices during the same time period, which were pulled from Yahoo Finance (2015). By using simple percentages, I was able to see which line items from the income statement were responsible for the majority (in USD) of each category during the timeframe of the study. Brent Crude Oil prices were, of course, not on the financial statements of BP, but I assumed that they...
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...Final Analysis Robert Patterson BUS655: Financial Investment Management Instructor: Scott Shaw Submitted September 14, 2015 Final Analysis When this portfolio was developed there was no experience and very little knowledge behind the investments. The investments were chosen based on quick internet research, information from investment TV shows, gut feeling, and the closest relatable past experiences. Hence the need to analyze the portfolio. The requirements for the portfolio were that it must include 100 shares of a publicly traded company, one corporate bond, one mutual fund, 100 call or put options that are at least 6 months out, and any leftover cash be put into a 6 month Certificate of Deposit (CD). The portfolio was $10,000 and 100% had to be invested. All relevant data on values, weightings, and so forth can be found in Table 1. All calculations are based on final values collected September 9, 2015. Even though the market did not perform well over this period and the portfolio was not constructed well, it seems to have performed well. The shares of a public company were invested in BP stock. An oil company was chosen due to previous work experience in the oil industry. The oil and gas market had been on a downward decline for quite some time but had seemed to have levelled out. The fact that the market had declined slowly means it is more along the lines of a recession instead of a market crash. This led to the thought that the price might have reached...
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...the ultimate sinking of the Deepwater Horizon. Although this disaster was accidental there were many warning signs that BP neglected which could have prevented it. To begin with, the construction of the underwater drilling pipelines were shoddy and a vital valve was installed backwards. Consequently the pipelines became brittle, full of cracks, and flooded. In addition, equipment readings, internal documents from BP engineers, and other red flags warned that the rig wasn’t operating correctly and that there was potential for a dangerous explosion. However, all these signs were ignored and not addressed as threats by managers. In an effort to avoid incurring costs and to maximize profit, BP cut corners and underestimated the importance of safety. After initial investigations it became clear that BP not only missed significant signs but staff did not have proper training, maintenance of the rig was inferior, and overall BP lacked formalized emergency responses and a safety culture. As a result BP has undergone strict investigations by the U.S Justice Department and a variety of environmental organizations. The company has faced and is still facing both civil and criminal charges and was initially set to pay over $20 billion in damage claims. Due to the oil spill and explosion BP’s stock fell 52% in 50 days in the New York Stock Exchange. Before the disaster BP was valued at $182 billion...
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...British Petroleum What we know today as British Petroleum is the result of several companies being bought and sold over many years. One of the companies, Standard Oil Company was created in 1870 by John D. Rockefeller in Cleveland Ohio. By 1892, while still not selling gas products, Standard Oil companies was providing lubricating products to keeps parts on horse drawn wagons moving friction-free. One of the other companies, the Angelo-Persian Oil Company was formed in 1905. By 1908 they were producing gas products and in 1912 they discovered a way to double the output of gasoline produced from a barrel of oil. At the same time they were able to find a way to increase the octane level of the gasoline produced. Industry Analysis Today, British Petroleum is one of the largest energy companies in the world. They provide their customers with fuel for transportation, energy for heat and light, retail services and petrochemical products for everyday household use. British Petroleum is involved in exploring for oil and other natural resources that can be converted into power. British Petroleum is committed to finding fuel sources that reduce green house gases and reduces the carbon footprint. They hope to accomplish as they research and refine alternative fuel sources such as fossil fuels, solar power, wind power, hydrogen, and natural gas. Competition in the oil and energy industry is furious. British Petroleum competes with companies like Exxon-Mobil and Chevron in three...
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...Kensington College of Business BP to consider to recover from the‘‘marketing disaster’’ Managing Markets KCB ID: 12449. Course Instructor: J.Naidoo Student ID: 12449 INTRODUCTION: That assignment consists of two parts. In first part, we will discuss the macro environmental factors that will affect BP (British Petroleum), when they have to consider their future strategic decision in order to regain their market position in the USA. In second part, we will suggest a marketing plan for BP to consider to recover from this ‘‘marketing disaster’’. The disaster is the Gulf of Mexico oil platform (which is the Deepwater Horizon) explosion occurred, millions barrels of oil have been leaked in the region for a few months. That infiltration is the largest environmental disaster in U.S. history. The goal of macro environment analyse is to see that marketing opportunity and threats were given by changes and trends in macro environment. Focusing on them for marketers helps to take decision and modifies their strategies and plans. The marketers wish to know which elements of macro environment affect their planning and how they influence future strategies. We will see the strong point and factors of macro environment which are the social and cultural...
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...Situation analysis and strategic recommendations of BP After oil spill disaster in USA Table of content: Introduction 3 Executive Summary 3 Approaches 3 Background of BP 3 BP in USA 3 PESTEL analysis of BP in USA 4 Political Environment 4 Economic Environment 5 Socio-cultural Environment 6 Technological Environment 7 Legal Environment 7 Environmental Analysis 8 Summary 8 SWOT Analysis of BP 8 Strengths 9 Weaknesses 9 Opportunities 10 Threats 11 Summary 11 Strategic Recommendations 11 Porter’s Generic Competitive Strategy 11 Ansoff Model 12 Conclusion: 13 References & Bibliography: 15 Appendix: 17 Introduction: As the global business environment is turbulent and dynamic every business organisation should adopt their strategy with the changing business conditions and conduct external and internal analysis on regular basis to cope up with the changing environment. This paper will analyse the overall situation of BP in USA after the Gulf of Mexico oil disaster. The oil spill creates a new condition for their operation in USA and requires considerable and serious change in the strategic decision making and positioning of the company. Executive Summary: This paper will start with a brief background of BP. A PESTEL analysis will...
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...Capital Budgeting Overview The capital structure of a company is derived from portions of debt and equity. Debt can be categorized as either long-term or short-term debt. Short-term debt can be classified as notes payable and accounts payable and long-term debt can be classified under bonds. The equity portion of a company’s debt lies within common and preferred stock. Debt is used as a form of leverage to ultimately increase the overall return on an investment. The more debt and equity, capital structure, that a firm has, the more leverage it will have. By using debt, a company can increase its leverage because it can invest in business operations without increasing its overall equity. It also helps the investor and the firm to operate, but increases the added risk of default upon the firm. In the long run, leverage magnifies the overall losses and gains. The return on an investment is vital when analyzing which projects should be accepted or rejected. Return on investment measures the performance of a project that evaluates the efficiency, or compares the efficiency and performance of different projects. Evaluating return can be modified to fit the specific situation, depending on the returns and costs associated with the projects. The downfall with critiquing or manipulating the return on investment calculation is that the overall result can be expressed and translated in different contexts. The higher the ROI, the better because it will add more value for the...
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...Introduction World Economic Forecast. According to the World Economic Forum 2014, leading financial experts told participant that that the global economy was cautiously optimistic. Even though the global economic activity has strengthened; and global growth is expected to be 3.7 percent in 2014 and 3.9 percent in 2015, old risks are still present and the coming years might bring volatility. Therefore how governments plan to recover from the economic meltdown might determine whether there will be inflation or deflation. In emerging economies exports are the main drivers of growth activity; demand of goods from the advanced economies will lead to growth although domestic conditions may also interfere with the growth. Although many emerging markets have started to benefit from increased external demand their domestic growth has been slower than expected, this has been attributed to political uncertainty, policies and bottlenecks, which has affected investments negatively. These countries include Brazil, Russia, Middle Eastern countries and North African Countries. (World Economic Outlook Update, January 2014) In the U.S, federal budget deficit has fallen and banks are recapitalizing and working off bad loans. There will be no additional fiscal austerity at the federal, state and local government level meaning that there will be no budget cuts, spending will likely remain the same or go up stimulating the economy, and accelerating GDP from an average of 2.2 in the last four years...
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...BUSINESS RESEARCH PROJECT BRP BP Business Research Report Content I. Corporate Profile …………………………..…1 II. Management…………………………………..2 III. Financial Statement Analysis……….……3 IV. Marking Strategy ……………………………..8 V. Cross-cultural Issues………………………..10 VI. International Business……………………11 VII. Human Resources Issues………………..12 VIII. Gulf of Mexico Oil spill…………………..16 IX. Conclusion……………………………………..18 X. Appendix ..………………………………………..20 1 BP Business Research Report I. Corporate profile BP, a public limited company in the industry of oil, natural gas and alternative fuels, runs its business in the exploration, production, refining, trading and distribution of energy. The products are mainly BP petroleum and derived products serving an area worldwide. BP was founded in 1909 as the Anglo-Persian Oil Company and renamed as British Petroleum Company in 1954. A merger of British Petroleum and Amoco in 1998 modeled the greatest petroleum company all over the world---BP. Headquartered in London, UK, BP launched its new green, white and yellow logo in 2000 which is designed to show the company's commitment to the environment and solar power. Bob Dudley performs BP’s CEO since Oct. 2010 and Carl -Henric Svanberg is chairman of the group. BP’s vision “A force for good” underlines all its activities worldwide. All BP’s 79,700 employees live under its corporate culture Slogan—Different people, common goals. BP ranked 4th in Fortune Global 500 in...
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...OAO TNK-BP Holding ABOUT DATAMONITOR Datamonitor is a leading business information company specializing in industry analysis. Through its proprietary databases and wealth of expertise, Datamonitor provides clients with unbiased expert analysis and in depth forecasts for six industry sectors: Healthcare, Technology, Automotive, Energy, Consumer Markets, and Financial Services. The company also advises clients on the impact that new technology and eCommerce will have on their businesses. Datamonitor maintains its headquarters in London, and regional offices in New York, Frankfurt, and Hong Kong. The company serves the world's largest 5000 companies. Datamonitor's premium reports are based on primary research with industry panels and consumers. We gather information on market segmentation, market growth and pricing, competitors and products. Our experts then interpret this data to produce detailed forecasts and actionable recommendations, helping you create new business opportunities and ideas. Our series of company, industry and country profiles complements our premium products, providing top-level information on 10,000 companies, 2,500 industries and 50 countries. While they do not contain the highly detailed breakdowns found in premium reports, profiles give you the most important qualitative and quantitative summary information you need - including predictions and forecasts. All Rights Reserved. No part of this publication may be reproduced, stored in a retrieval system...
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...Writers About Us Contact & FAQs Analysis and Contrast of Dividend Policies of Two Companies over the Last Five Year: BP PLC vs. LogicaCMG PLC This is a sample paper written by one of Ivory Research's writers. If you would like us to write your essay, assignment or dissertation – simply get your instant quote and place your order. We GUARANTEE that your order will be written by a professional writer with a UK degree, will be plagiarism free, will exactly match your specifications and quality standard, and will be delivered – by your deadline! Analysis and Contrast of Dividend Policies of Two Companies over the Last Five Year: BP PLC vs. LogicaCMG PLC Share This Story, Choose Your Platform! Share on FacebookTweet about this on TwitterShare on TumblrShare on LinkedInShare on Google+Email this to someone The purpose of the following report is to analyse the dividend policy of Logica PLC and BP PLC over the last five years. Firstly, the dividend policy of BP PLC as well as Logica PLC over the last five years will be analysed. Secondly, based on that analysis, the dividend policies of both companies will be compared. Then the Lintner’s Model of the dividend policy will be reviewed and it will be identified how the dividend policy of both companies can be explained by this model. Moreover, the report includes a brief discussion of the skills developed during the project. 1. ANALYSIS OF DIVIDEND POLICY 1.1. British Petroleum PLC (BP PLC) BP PLC is considered to be the market...
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...Marketing Principles HND in business management NAME:KABITA MAHARJAN ID NUMBER:859549 ASSIGNMENT:1St Submitted to : Zara Bhokhari Date of submission :31st march Contents 1.o Introduction......................................................................................................................3 1.1Definitions...................................................................................................................3 2.o Background of BP.............................................................................................3 2. 1Marketing orientation ….................................................................................3&4 2.2Advantages disadvantages.....................................................................................4 3.o Marketing processing................................................................................................4&5 4.o PESTLE …...........................................................................................................5&6 5.o SWOT …..............................................................................................................6&7 6.o Segmentation..............................................................................................................7&8 6.1 Targeting.......................................................................................................... 6.2Positioning...
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