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FACT SET Go to the Domino Pizza Enterprise Ltd website and obtain the Income Sta

ID: 2490277 • Letter: F

Question

FACT SET

Go to the Domino Pizza Enterprise Ltd website and obtain the Income Statement and Balance Sheet for the company for the 2014/15 financial year.

Go to Retail Food Group Limited website and obtain the Income Statement and Balance Sheet for the company for the 2014/15 financial year.

TASKS

Based on the information contained in these statements calculate for each company:

The annual growth in Earnings per Share (Net Profit divided by the number of Ordinary Shares on Issue) over the five years to 30th June 2015.

The Net Profit Margin, Asset Turnover Ratio, Leverage Ratio and Return on Equity for the company for the 2014/15 financial year.

The Quick Ratio and the Net Debt to Equity Ratio as at the end of the 2014/15 financial year.

Compare and contrast the financial performance of the two companies over the past 5 years.

Use your analysis of the financial performance of the two companies over the past 5 years to explain any difference in the Total Return to Shareholders over the past 5 years, which you have calculated in Case Study 2.

Explanation / Answer

-12%


Growth in EPS of Retail Food Group Ltd= -0.1658 0.0204 -0.017 0.0394 Average growth in EPS % = 0.0204-0.1658-0.017+0.0394

-12%

EPS basic 1.79 1.99 2.58 2.96 3.58 Growth in EPS % of dominos 1.99-1.79/1.79 2.58-1.99/1.99 2.96-2.58/2.58 3.58-2.96/2.96 Growth in EPS % 0.99 1.58 1.96 2.58 Average growth EPS % 0.99+1.58+1.96+2.58/4 5.175 Ne profit margin = Net profit (Before tax) / Sales   * 100 2014 2015 Dominos: Net profit 258.62Million 306.22Million Sales 1990 Million 2220 Million Net profit margin = 258.62/1990*100 306.22/2220*100 13% 14% Retail food goup Net profit 52,751.00 48,384.00 Sales 246,846.00 168,147.00 Net profit margin = 52751/246846*100 48384/168147*100 21% 29%