...report of: LVMH Hand-in date: 25.11.2010 Campus: BI Oslo Examination code and name: GRA 62123 Financial Reporting and Analysis Table of Contents EXECUTIVE SUMMARY 3 MARKET REVIEW: 4 COMPANY REVIEW 5 Management compensation 6 BUSINESS DESCRIPTION 7 Business Risk Analysis 8 FINANCIAL PERFORMANCE 9 Profitability 9 Activity Ratios 12 Financing and Liquidity 13 CASH FLOW ANALYSIS 15 VALUATION 16 CONCLUSION 17 References 19 Appendix 20 EXECUTIVE SUMMARY This paper analyzes LVMH group. Taking the recent developments and prospects in luxury goods industry as a starting point, the first part analyzed and compares LVMH with Hermes International and GUCCI, focusing in particular on performance which is analyzed through their activity, liquidity and financing and profitability position. The next part scrutinizes LVMH’s cash flow statement in order to evaluate its operating activities as well as the ability to cover its investments. The paper will conclude that LVMH presents a good investment alternative considering other companies in the same industry. Second, LVMH have a low risk given its solid financial structure and sufficient liquidity. Sales have grown at an average annual rate of 7.5% over the past five years driven by organic growth and acquisitions. MARKET REVIEW: APPAREL, ACCESSORIES & LUXURY GOODS INDUSTRIES Concetta Lanciaux, ex head of the Human Resources for LVMH states which...
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...上海对外经贸大学 2014 — 2015 学年第 1 学期 《财务管理案例分析》课程期末考试A卷 选课序号： 612.043.201 任课教师： 唐旭君 姓 名： 学 号： 考试形式： □闭卷 ■开卷 双语教学： □是 ■否 修读方式： ■必修 □选修 □辅修 试卷页数 共 18 页 考试时间： 年级专业： 需计算器： 机考座位： 90 分钟 ■是 □否 号机 Case material: PRADA: TO IPO OR NOT TO IPO: THAT IS THE QUESTION, AGAIN It was January 25, 2011 and Guido Santini of the investment bank Grupo Capo Milano had just been asked to prepare a recommendation on how Prada should raise the money for its planned expansion in Asia and to pay the significant portion of its long-term debt that was maturing within one year. Although he had known this request would be coming at some point, he had expected a bit more time. His recommendation had to be presented to the Prada Board of Directors at their annual general meeting scheduled in two days, on January 27. THE MISSION The board requested that Santini prepare a report recommending and ranking alternatives for raising over 1 billion euros within the next six to 12 months. With more than €1 billion of debt maturing within 12 months (almost half in the next six months), Prada needed to have a credible plan in place to meet these obligations. In addition to the capital to refinance its existing debt, Prada had identified Asia as an area for future growth, and this growth also required capital. Asia was currently experiencing significantly higher growth than other parts of the world, and Prada wanted to be able to take part in and benefit from this. Consequently, Santini’s job was to recommend to the board how...
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...2 Graduate Thesis By Teia R. Merring Copenhagen Business School Strategic and financial analysis and valuation of B&O 0 1 Executive Summary................................................................................2 Introduction............................................................................................6 1.1Motivation.................................................................................................................. 6 1.2Problem Specification................................................................................................ 8 1.3Problem Identification................................................................................................ 8 1.4Problem Handling .................................................................................................... 10 1.5Structure and Methodology...................................................................................... 12 1.5.1Introduction and Presentation........................................................................... 12 1.5.2Strategic Analysis............................................................................................. 12 1.5.3Financial Statement Analysis ........................................................................... 13 1.5.4Prognoses and Budgets..................................................................................... 14 1.5.5Valuation.......................................
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...LVMH: King of the Luxury Jungle SEPTEMBER 2009 Profit from temporary W&S woes to bag the stock at discount prices LVMH is the strongest player in the luxury goods industry, a giant in an industry where fixed costs make scale paramount; the only "two-legged" balanced player, leading with mega-brands in both Leather Goods and Wines & Spirits; enjoying stable group EBIT margins as a consequence Champagne consumer demand weakness, de-stocking and oversupply in 2010 are well understood; W&S concerns have depressed the stock close to 20-year trough multiples and in the same range of smaller and more volatile hard luxury players and other peers; an opportunity in our view On top of LVMH's unrivaled industry position, markets seem to under-appreciate cost-saving opportunities, brand-portfolio rationalization, higher FCF from lower W&S inventory investment, above-average mega-brands' results or support from first-mover EM inroads In a medium-term growth environment, LVMH has the chance to be a key consolidator in the luxury goods industry: a mega-merger with CFR would be a strategic master stroke, placing it ahead of any M&A counter move by competitors SEE DISCLOSURE APPENDIX OF THIS REPORT FOR IMPORTANT DISCLOSURES AND ANALYST CERTIFICATIONS LVMH: KING OF THE LUXURY JUNGLE 1 Portfolio Manager's Summary We have few doubts about the opportunity of investing in LVMH for the medium to long term. We expect "winners will continue to win" in the luxury industry...
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...31 courses – 9 Fundamental Courses – 2 Language Course = 20 Courses Accounting and Mgmt Control | Public and Private Policy | Economics | CPTC 31080: Pré-MSc Comptabilité (DONE) | DEVC 31110: Acteurs Publics | ECOA 31123: Macroeconomic Theory and Development | CPTC 31081: Pre-MSc Accounting (DONE) | DEVC 31112: Les enjeux de l’economie sociale | ECOA 31129: Asian Economies | CPTC 31124: Informations Comptables et Financières (CORE) | DEVC 31114: Economie urbaine et régionale | ECOA 31157: Monnaie et banque | CPTC 21125: Financial Accounting and Reporting (CORE) | DEVC 31134: Etat et gouvernance | ECOA 31180: Macroéconomie: introduction | CPTC 31246: Analyse des états financiers | DEVC 31202: Les modes de gestion des collectives et des services urbains | ECOA 31203: Economie du travail | CPTC 31247: Financial Statement Analysis | DEVC 31204: Marketing urbain | ECOA 31205: Sustainable Energy Economics | CPTC 31254: Audit et Management | DEVC 31206: Strategie et management des organisations à finalité sociale | ECOA 31226: Analyse de conjoncture | CPTC 31261: IFRS – Investor Relations | DEVC 31208: Urbanisme et aménagement | ECOI 31080: Pre-MSc Microéconomie | CPTC 31265: Group Financial Statements | DEVC 31210: Responabilité sociale de l’entreprise et developpement durable | ECOI 31081: Pre-MSc Microeconomics | CPTC 31355: Strategic Business Analysis ad Value Creation | DEVC 31212: Politiques publiques locales | ECOI 31142: Economie managériale | CPTC...
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...European Entrepreneurship Case Study Resource Centre Sponsored by the European Commission for Industry & Enterprise under CIP (Competitiveness and Innovation framework Programme 2007 – 2013) Project Code: ENT/CIP/09/E/N02S001 2011 Noir / Illuminati II (Denmark) Benoit Leleux IMD International This case has been prepared as a basis for class discussion rather than to illustrate either the effective or ineffective handing of a business / administrative situation. You are free: to copy, distribute, display, and perform the work to make derivative works Under the following conditions: Attribution. You must give the original author credit. Non-Commercial. You may not use this work for commercial purposes. Share Alike. If you alter, transform, or build upon this work, you may distribute the resulting work only under a license identical to this one. For any reuse or distribution, you must make clear to others the license terms of this work. Any of these conditions can be waived if you get permission from the author(s). NOIR/ILLUMINATI II Introduction Peter looked out of his window. His window! He liked the sound of that. It had taken him 15 years of discipline and hard work to reach this point. Of course, he had enjoyed more prominent and remarkable views and offices in the past, but for the first time it was his name on the lease contract, his office and his company. And 2007 was going to be the year of Noir/Illuminati II. So far, after nine months, it looked...
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...Financial Elements Sales for Starbucks have taken a precipitous drop in 2007 and 2008 and leveled off in 2009. This seems somewhat on par with what every company was seeing in those years. Starbucks was particularly impacted because it is viewed as a luxury item. Luxury items were the first to go during a market downturn because they are easy to drop from your routine. It is why Starbucks was interested in lower priced, lower margin products at the time. Starbucks stores are currently owned in two separate ways; Starbucks Corporation owned and licensed stores. There are currently Stores are owned my Starbucks Corporation and private franchisees. There are currently 8832 stores owned by Starbucks and 7803 owned licensed stores. This is including the 1,800 stores that Starbucks had to close due to market turmoil. Starbucks Corporation owns a majority of the U.S. based market where as licensees make up a majority of the foreign market. Current expansion plans for Starbucks are innovation and leveraging and expansion of current products and sales channels. This includes the Starbucks VIA ready brew coffee. During the market crash in 2007 leading into 2008 Starbucks had a drastic cutback in creating new stores. This is expected because at the time they had no reason to expand due to poor financial positioning. To get through this time of “need” Starbucks Issued commercial paper or short term debt. This money was to keep them afloat until sales picked back up. Also...
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...2001 BUD – NYSE (11/30/01) 52 week range Revenue (2001E) Market Capitalization Share Outstanding $43.10 $36.75 – $49.00 $14.9B $38.2 B 884.3M EPS Forecast (FYE 12/30) EPS Ratios Trailing P/E Forward P/E Leading PEG M/B Price/Sales 1999A 2000A 2001E 2002E $1.49 $1.71 $1.89 $2.09 Dividend Yield 1.67% Avg. Daily Trading Volume (3mo) 2.13M Book Value per Share (mrq) Return of Equity (ttm) Return on Assets (ttm) Est. 5 Years EPS Growth Rate Sector: Consumer/Non-Cyclical Industry: Beverages (Alcoholic) $4.83 40.39% 10.71% 11.0% BUD 23.2 20.6 1.87 8.93 3.11 Competitors Avg. 17.4 15.9 1.37 3.10 1.21 Valuation Predictions Actual Current Price Trailing P/E Valuation Leading P/E Valuation PEG Valuation M/B Valuation Price/Sales Valuation EBO (Abnormal Earnings) Valuation DCF Valuation Performance (Trailing, Annualized) Return on BUD Return on S&P 500 Return on Competitors $43.10 $32.38 $33.24 $31.48 $14.95 $16.73 $19.25 $46.87 6 mo -2.1% 18.3% - 2.9% 12 mo 24 mo -7.4% 9.9% -13.4% -10.3% 2.1% 8.9% Source: finance.yahoo.com, Valanium analysis • • Our valuations reflect a range of predictions, all falling below the current price point with the exception of the DCF estimate. However, we believe that A-B’s brand value and domestic presence are not captured within the accounting numbers and can justify for the seeming price premium. BUD’s success will hinge in the near term on its involvement in the burgeoning malternatives market and in the longer...
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...COURSES 1& 2 The Intangible Economy: an Overview. Understanding Economic Change Generally speaking and according to our perception at present, we could say that production and products pertain to the material universe: production, which is based on natural resources and energy, is fundamentally tangible. We got so used to this idea that we do not attempt to analyze it any more. Our economic and legal constructions are based on production, ownership and exchange of tangible goods. Economy, as it appeared after the industrial revolution, comprised activities related to the transformation of natural resources and was mainly an economy of goods. Under the mass production system with homogenous goods, the knowledge content of goods was low and the most important phase of the production process was manufacturing, since firms relied on economies of scale for market performance. Hence, the tangible aspects of factors of production were the most important (productivity thereby explained by the amount of physical capital and quantity of labor employed). Nevertheless, with the development of the economy and society as a whole, the importance of knowledge increased, leading to information and ideas playing a crucial role in determining economic performance. Nowadays, the knowledge content of goods is higher, and the pre- and post- manufacturing phases are crucial for value creation. The new type of economy that is emerging is more about a shift of mindset relating to building and...
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... Student ID : CGSVN00015828 Class : MBAOUM0913 – K10A Course : BMCF5103 – Corporate Finance HCMC, August 2014 TABLE OF CONTENTS I. INTRODUCTION: 3 1. Management and ownership 3 2. An overview of REE's businesses 3 3. Office leasing business 5 4. M&E business 6 5. Air conditioner manufacturing 7 6. Investing is REE's new core competency 8 II. OUTLOOK 10 III. SWOT analysis 19 IV. FINANCIALS 21 1. Good cash flow from office leasing and dividends 21 2. Profits from investments drive earnings growth 22 3. 2013 results review 24 4. 2014 forecasts 26 5. Restatement of 1Q13 earnings depresses yoy performance for 1Q14 28 6. Recent developments among investee companies 29 7. Volatile net margins 29 V. VALUATION AND RECOMMENDATION 29 VI. REFERENCE: 32 I. The company REE has been research for the critically and analyze about the finance of the firm, risk or evaluate on investment recommendation also of this firm. II. INTRODUCTION: REE was founded in 1977 as an M&E (mechanical and engineering) contractor for building projects. The company was privatized in 1993 and began manufacturing its "Reetech" brand of air conditioners in 1999. In 2000, REE became one of the first two companies to list on the Ho Chi Minh City Stock Exchange, and is still usually among the top 10 most liquid stocks in Vietnam. In 2001, REE branched into property investment and construction with its grade B "Saigon E-town", office building project. The cash flows...
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...(London: PFD, OTC: PRRFY) ….. 32 Also Inside Editor’s Commentary …………….. p. 4 Superinvestor Holdings Update …. p. 9 45 European MF Companies …… p. 10 Interview: Ciccio Azzollini ……… p. 12 Top 5 European Ideas ……………p. 16 Other European candidates …….. p. 36 Euro Book Value Bargains ……. p. 100 100 Cheap European ADRs …….p. 114 About Portfolio Manager’s Review Our goal is to bring you investment ideas that are compelling on the basis of value versus price. In our quest for value, we analyze the top holdings of top fund managers. We also use a proprietary methodology to identify stocks that are not widely followed by institutional investors. Our research team has extensive experience in industry and security analysis, equity valuation, and investment management. We bring a “buy side” mindset to...
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...tly A sk ed Fr equen in s Question orporate C FinanCe io, a llocch ur izio D uiry, M a lv i Pa sc a l Q tonio Sa Le Fur , A n Ya nn From the team behind Pierre Vernimmen’s % = Corporate FinanCe + 3 Frequently Asked Questions in Corporate Finance Frequently Asked Questions in Corporate Finance Pierre Vernimmen, Pascal Quiry, Antonio Salvi, Maurizio Dallocchio and Yann LeFur A John Wiley & Sons, Ltd., Publication This edition first published in 2011 Copyright 2011 Pierre Vernimmen Registered office John Wiley & Sons Ltd, The Atrium, Southern Gate, Chichester, West Sussex, PO19 8SQ, United Kingdom For details of our global editorial offices, for customer services and for information about how to apply for permission to reuse the copyright material in this book please see our website at www.wiley.com The rights of Pierre Vernimmen, Pascal Quiry, Antonio Salvi, Maurizio Dallocchio and Yann LeFur to be identified as the authors of this work have been asserted in accordance with the Copyright, Designs and Patents Act 1988. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, except as permitted by the UK Copyright, Designs and Patents Act 1988, without the prior permission of the publisher. Wiley publishes in a variety of print and electronic formats and by print-on-demand. Some material included with...
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...Corporate Financial Accounting and Reporting Tim Sutton second edition Corporate Financial Accounting and Reporting We work with leading authors to develop the strongest educational materials in business and finance, bringing cutting-edge thinking and best learning practice to a global market. Under a range of well-known imprints, including Financial Times Prentice Hall, we craft high quality print and electronic publications which help readers to understand and apply their content, whether studying or at work. To find out more about the complete range of our publishing please visit us on the World Wide Web at: www.pearsoned.co.uk Corporate Financial Accounting and Reporting Second Edition Tim Sutton Pearson Education Limited Edinburgh Gate Harlow Essex CM20 2JE England and Associated Companies throughout the world Visit us on the World Wide Web at: www.pearsoned.co.uk First published 2000 Second edition published 2004 © Financial Times Management 2000 © Pearson Education Limited 2004 The right of Timothy G. Sutton to be identified as author of this work has been asserted by him in accordance with the Copyright, Designs, and Patents Act 1988. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without either the prior written permission of the publisher or a licence permitting restricted copying in the United...
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...Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D. C. 20549 FORM 10-K (Mark One) x|ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934| For the fiscal year ended January 29, 2011 or ¨|TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934| For the transition period from to Commission file number 001-15274 J. C. PENNEY COMPANY, INC. (Exact name of registrant as specified in its charter) | | | Delaware| |26-0037077| (State or other jurisdiction ofincorporation or organization)| |(I.R.S. EmployerIdentification No.)| 6501 Legacy Drive, Plano, Texas 75024-3698 (Address of principal executive offices) (Zip Code) (972) 431-1000 (Registrant’s telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act: | | | Title of each class| |Name of each exchange on which registered| Common Stock of 50 cents par value| |New York Stock Exchange| Preferred Stock Purchase Rights| |New York Stock Exchange| Securities registered pursuant to section 12(g) of the Act: None (Title of class) Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes x No ¨ Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or 15(d) of the Act. Yes ¨ No x Indicate...
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...2011 Annual Report at every occasion chaiRman’S letteR In an era of constant, rapid and unpredictable change, the concept of staying the course, especially in business, can seem like an impossible mission. It takes strong and confident leadership, a clear and focused strategy and a team of talented people who are willing to go the distance in order to achieve the goal. Since fiscal 2010, the goal at Constellation Brands has been a singular one: profitable organic growth. During this period, we have embarked on an evolutionary journey that has taken us from a collection of stellar brands and acquired businesses to a highly disciplined and tightly aligned company that is, at every occasion, capitalizing on company-wide efficiencies and best practices to strengthen our operations, our people and our brands. Our fiscal 2011 results serve as a shining indicator that our collective efforts are paying off. More importantly, they validate the importance of staying true to one’s commitments. At Constellation Brands, our commitments are unwavering…to continue to grow our business and our premium brands, to enrich the communities where we live and work and to elevate life with every glass raised. These commitments are being realized every day because of our people, who are among the best and brightest in the industry. Dedicated, innovative and determined, our employees have stayed the course through unexpected challenges and increasingly higher expectations placed on them. We are...
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