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Financial Overview and Analysis

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0% found this document useful (0 votes)
197 views16 pages

Financial Overview and Analysis

dgfvjhkjfdk ............................... ...................................... fffffffffffffffffffffffffffffffffffffffffff........................................................................................................................................................................................................................................................

Uploaded by

Abhishek Gupta
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Exhibit 1

Harris Ametek Anheuser Apple


06/29/07 12/31/06 12/31/06 09/30/06
Income Statement
Sales $4,243.00 $1,819.30 $15,717.10 $19,315.00
Cost of Goods $2,871.10 $1,251.90 $10,165.00 $13,717.00
Gross Margin (GM) $1,371.90 $567.40 $5,552.10 $5,598.00
R&D $269.30 $88.00 $ - $712.00
Marketing $ - $ - $ - $ -
G&A $561.40 $170.40 $2,832.50 $2,433.00
Total SG&A $830.70 $258.40 $2,832.50 $3,145.00
EBIT $541.20 $309.00 $2,719.60 $2,453.00
Taxes, Int., etc. $60.80 $127.10 $1,343.20 $464.00
Net Income $480.40 $181.90 $1,376.40 $1,989.00
Depr. & Amort. $135.20 $45.90 $988.70 $225.00
EBITDA $676.40 $354.90 $3,708.30 $2,678.00

Balance Sheet
Cash $429.20 $58.20 $219.20 $10,110.00
Receivables $748.50 $328.80 $720.20 $1,252.00
Inventory $347.10 $236.80 $694.90 $270.00
Other Current $304.00 $60.30 $195.20 $2,877.00
PP&E (Net) $459.20 $258.00 $8,916.10 $1,281.00
Other Non-current $2,118.00 $1,188.80 $5,631.60 $1,415.00
Total Assets $4,406.00 $2,130.90 $16,377.20 $17,205.00

Payables $350.00 $160.60 $1,426.30 $3,390.00


Other Short Term $1,288.10 $320.30 $819.80 $3,081.00
Non-current $864.10 $683.30 $10,192.40 $750.00
Total Liabilities $2,502.20 $1,164.20 $12,438.50 $7,221.00
Equity $1,903.80 $966.70 $3,938.70 $9,984.00
Total Liab. and Equity $4,406.00 $2,130.90 $16,377.20 $17,205.00

Market Capitalization $8,030.70 $4,672.70 $37,584.90 $135,709.80


P/E Ratio 16.7 25.7 27.3 68.2
Price/Sales 1.9 2.6 2.4 7
5 Yr Sales Growth 18.2 12.3 4 29.2
Ind. 5 Yr Sales Growth 9.3 8.7 7 23.9
5 Yr NI Growth 40.7 22.4 2.9 95
Ind. 5 Yr NI Growth 12.3 31.5 9.6 5.1
GM/Sales 32.30% 31.20% 35.30% 29.00%
EBIT/Sales 12.80% 17.00% 17.30% 12.70%
EBITDA/Sales 15.90% 19.50% 23.60% 13.90%
ROE 25.20% 18.80% 34.90% 19.90%
ROS 11.30% 10.00% 8.80% 10.30%
Speed (Asset Turnover) 0.96 0.85 0.96 1.12
Return on Assets 10.90% 8.50% 8.40% 11.60%
RONWC 32.50% 34.80% 341.40% 17.90%
GMRONWC% 184.00% 140.10% -49572.30% -299.70%
# of Employees 16,000 10,400 30,183 17,787
Revenue/Employee $265,188 $174,932 $520,727 $1,085,905
GM/Employee $85,744 $54,555 $183,948 $314,724
EBIT/Employee $33,825 $29,712 $90,104 $137,910
R&D/Sales 6.30% 4.80% 0.00% 3.70%
Marketing/Sales 0.00% 0.00% 0.00% 0.00%
G&A/Sales 13.20% 9.40% 18.00% 12.60%
SG&A/Sales 19.60% 14.20% 18.00% 16.30%
R&D/GM 19.60% 15.50% 0.00% 12.70%
Marketing/GM 0.00% 0.00% 0.00% 0.00%
G&A/GM 40.90% 30.00% 51.00% 43.50%
SG&A/GM 60.60% 45.50% 51.00% 56.20%
Receivable Turnover 5.7 5.5 21.8 15.4
Inventory Turnover 8.3 5.3 14.6 50.8
Asset Turnover 1 0.9 1 1.1
Receivable Days 64.4 66 16.7 23.7
Inventory Days 44.1 69 25 7.2
Payable Days 44.5 46.8 51.2 90.2
NWC Days 64 88.2 -9.5 -59.4
AstraZeneca Best Buy Boeing
12/31/06 03/30/07 12/31/06

$26,475.00 $35,934.00 $61,530.00


$5,559.00 $27,165.00 $50,437.00
$20,916.00 $8,769.00 $11,093.00
$3,902.00 $ - $3,257.00
$ - $ - $ -
$8,798.00 $6,770.00 $4,171.00
$12,700.00 $6,770.00 $7,428.00
$8,216.00 $1,999.00 $3,665.00
$3,824.00 $622.00 $1,459.00
$4,392.00 $1,377.00 $2,206.00
$1,345.00 $509.00 $1,545.00
$9,561.00 $2,508.00 $5,210.00

$7,760.00 $3,793.00 $6,386.00


$6,159.00 $548.00 $5,655.00
$2,250.00 $4,028.00 $8,105.00
$767.00 $712.00 $2,837.00
$7,453.00 $2,938.00 $7,675.00
$5,543.00 $1,551.00 $21,136.00
$29,932.00 $13,570.00 $51,794.00

$3,482.00 $3,934.00 $16,201.00


$5,965.00 $2,367.00 $13,500.00
$5,181.00 $1,068.00 $17,354.00
$14,628.00 $7,369.00 $47,055.00
$15,304.00 $6,201.00 $4,739.00
$29,932.00 $13,570.00 $51,794.00

$76,755.00 $22,496.00 $83,424.90


17.5 16.3 37.8
2.9 0.6 1.4
10.3 15.2 1.1
7.1 18.1 8.4
26.3 19.3 -4.8
6.9 27.6 58.4
79.00% 24.40% 18.00%
31.00% 5.60% 6.00%
36.10% 7.00% 8.50%
28.70% 22.20% 46.50%
16.60% 3.80% 3.60%
0.88 2.65 1.19
14.70% 10.10% 4.30%
32.60% 26.80% 32.50%
424.50% 1365.90% -454.40%
66,800 140,000 154,000
$396,332 $256,671 $399,545
$313,114 $62,636 $72,032
$122,994 $14,279 $23,799
14.70% 0.00% 5.30%
0.00% 0.00% 0.00%
33.20% 18.80% 6.80%
48.00% 18.80% 12.10%
18.70% 0.00% 29.40%
0.00% 0.00% 0.00%
42.10% 77.20% 37.60%
60.70% 77.20% 67.00%
4.3 65.6 10.9
2.5 6.7 6.2
0.9 2.6 1.2
84.9 5.6 33.5
147.7 54.1 58.7
228.6 52.9 117.2
4 6.8 -25
Exhibit 2
Top 25 Supply Sales Growth NI Growth
Company Competitor
Chain Leader Leader

Ametek Inc. -- Y -- --
Anheuser-Busch Y -- -- --
Apple Computer Y Y Y --
Best Buy Y -- -- --
Boeing -- -- -- Y
Brady Corp -- Y Y --
Ceradyne Inc. -- Y Y --
Cisco Y -- Y --
Coca-Cola Y -- -- --
Danaher Corp. -- Y Y --
Dover Corp. -- Y Y --
DRS Technology -- Y Y Y
General Dynamic -- Y -- Y
Garmin Ltd. -- Y Y --
GlaxoSmithKline Y -- Y --
Hewlett-Packard Y Y Y --
IBM Y -- -- --
ITT -- Y -- Y
Johnson & Johnson Y Y Y --
Johnson Controls Y Y Y --
KLA Tencor Corp. -- -- Y --
L-3 Communications -- Y Y Y
Lincoln Electric Holdings Inc. -- Y Y --
Lockheed Martin Y Y Y Y
Lowe’s Y Y Y --
Motorola Y Y Y Y
NetApp, Inc. -- Y Y --
Nike Y -- -- --
Nokia Y -- Y Y
Paccar Y Y Y --
PepsiCo Y -- Y --
Proctor & Gamble Y Y Y --
Precision Castparts Corp. -- -- Y --
Publix Super Markets Y -- Y --
Qualcomm Inc. -- Y Y --
Raytheon -- -- Y Y
Rockwell Collins -- -- Y Y
Stanley Works -- Y -- --
Texas Instruments Y Y -- --
Toyota Motor Y Y Y --
United Technologies Co. -- Y Y Y
ViaSat Inc. -- Y Y Y
Wal-Mart Y Y Y --

# companies in group 23 29 33 12

Note: Y= Yes, the company is in that group


Growth Leader Small Company Elite Company Large Elite Small Elite

-- Y -- -- --
-- -- -- -- --
Y -- Y -- Y
-- -- -- -- --
-- -- -- -- --
Y Y -- -- --
Y Y -- -- --
-- -- -- -- --
-- -- -- -- --
Y Y -- -- --
Y Y -- -- --
Y Y -- -- --
-- -- -- -- --
Y Y -- -- --
-- -- -- -- --
Y -- Y Y --
-- -- -- -- --
-- Y -- -- --
Y -- Y -- Y
Y -- Y -- Y
-- Y -- -- --
Y -- -- -- --
Y Y -- -- --
Y -- Y -- Y
Y -- Y -- Y
Y -- Y -- Y
Y Y -- -- --
-- -- -- -- --
-- -- -- -- --
Y -- Y -- Y
-- -- -- -- --
Y -- Y Y --
-- Y -- -- --
-- -- -- --
Y Y -- -- --
-- -- -- -- --
-- Y -- -- --
-- Y -- -- --
-- -- -- --
Y -- Y Y --
Y -- -- -- --
Y Y -- -- --
Y -- Y Y --

24 16 12 4 8
Exhibit 3
Harris Elites Large Elite Small Elite
Income Statement
Sales $4,243.00 $1,000,800.90 $723,571.80 $277,229.10
Cost of Goods $2,871.10 $705,652.40 $536,299.00 $169,353.40
Gross Margin(GM) $1,371.90 $295,148.50 $187,272.80 $107,875.70
R&D $269.30 $30,269.10 $12,714.50 $17,554.60
Marketing $ - $7,937.00 $7,937.00 $ -
G&A $561.40 $153,045.70 $104,573.60 $48,472.10
Total SG&A $830.70 $191,251.80 $125,225.10 $66,026.70
EBIT $541.20 $103,896.70 $62,047.70 $41,849.00
Taxes, Int., etc. $60.80 $32,625.70 $20,029.70 $12,596.00
Net Income $480.40 $71,271.00 $42,018.00 $29,253.00

Depr. & Amort. $135.20 $30,054.90 $22,880.50 $7,174.40


EBITDA $676.40 $133,951.50 $84,928.10 $49,023.40

Balance Sheet
Cash $429.20 $93,401.40 $49,751.20 $43,650.20
Receivables $748.50 $122,440.30 $79,308.60 $43,131.70
Inventory $347.10 $85,627.60 $63,830.90 $21,796.70
Other Current $304.00 $45,093.00 $27,746.20 $17,346.80
PP&E (Net) $459.20 $238,282.70 $184,444.20 $53,838.50
Other Noncurrent $2,118.00 $317,933.10 $247,384.60 $70,548.50
Total Assets $4,406.00 $902,778.20 $652,465.80 $250,312.40

Payables $350.00 $95,062.40 $64,998.70 $30,063.70


Other Short Term $1,288.10 $206,811.50 $154,929.90 $51,881.60
Noncurrent $864.10 $216,056.50 $163,857.60 $52,198.90
Total Liabilities $2,502.20 $517,930.30 $383,786.10 $134,144.20
Equity $1,903.80 $384,847.90 $268,679.70 $116,168.20
Total Liab. & Equity $4,406.00 $902,778.20 $652,465.80 $250,312.40

Ratios
Market Capitalization $8,030.70 $1,302,859.40 $722,812.00 $580,047.40
P/E Ratio 16.7 18.3 17.2 19.8
Price/Sales 1.9 1.3 1 2.1
5 Yr Sales Growth 18.2 14.3 12.8 15.1
Ind. 5 Yr Sales Growth 9.3 10.9 9.6 11.5
5 Yr NI Growth 40.7 44.6 28.1 52.8
Ind. 5 Yr NI Growth 12.3 17.3 16.5 17.6
GM/Sales 32.30% 29.50% 25.90% 38.90%
EBIT/Sales 12.80% 10.40% 8.60% 15.10%
EBITDA/Sales 15.90% 13.40% 11.70% 17.70%
ROE 25.20% 18.50% 15.60% 25.20%
ROS 11.30% 7.10% 5.80% 10.60%
Speed (asset turns) 0.96 1.11 1.11 1.11
Return on Assets 10.90% 7.90% 6.40% 11.70%
RONWC 32.50% 28.30% 27.00% 30.50%
GMRONWC% 184.00% 261.20% 239.70% 309.40%
# of Employees 16,000 3,337,968 2,593,394 744,574
Revenue/Employee $265,188 $299,823 $279,006 $372,333
GM/Employee $85,744 $88,422 $72,211 $144,882
EBIT/Employee $33,825 $31,126 $23,925 $56,205
R&D/Sales 6.30% 3.00% 1.80% 6.30%
Marketing/Sales 0.00% 0.80% 1.10% 0.00%
G&A/Sales 13.20% 15.30% 14.50% 17.50%
SGA/Sales 19.60% 19.10% 17.30% 23.80%
R&D/GM 19.60% 10.30% 6.80% 16.30%
Marketing/GM 0.00% 2.70% 4.20% 0.00%
G&A/GM 40.90% 51.90% 55.80% 44.90%
SGA/GM 60.60% 64.80% 66.90% 61.20%
Receivable Turnover 5.7 8.2 9.1 6.4
Inventory Turnover 8.3 8.2 8.4 7.8
Asset Turnover 1 1.1 1.1 1.1
Receivable Days 64.4 44.7 40 56.8
Inventory Days 44.1 44.3 43.4 47
Payable Days 44.5 49.2 44.2 64.8
NWC Days 64 39.8 39.2 39
Top 25 Growth Ldr Sales Ldr Profit Ldr Competitors Small Cos

$1,354,768.60 $1,096,654.20 $1,148,618.00 $1,285,125.30 $304,818.50 $61,148.60


$897,348.70 $768,319.90 $804,307.30 $869,502.10 $232,174.70 $35,218.50
$457,419.90 $328,334.30 $344,310.70 $415,623.30 $72,643.70 $25,930.20
$50,768.10 $34,908.00 $37,744.20 $48,294.60 $15,611.20 $3,769.90
$7,937.00 $7,945.90 $7,990.30 $7,945.90 $ - $53.30
$236,187.70 $167,342.50 $172,781.30 $207,187.00 $26,188.90 $11,305.70
$294,892.80 $210,196.40 $218,515.70 $263,427.50 $41,800.10 $15,128.90
$162,527.00 $118,137.90 $125,794.90 $152,195.80 $30,843.60 $10,801.20
$45,297.00 $37,073.30 $37,772.70 $45,407.70 $9,852.20 $2,574.90
$117,230.10 $81,064.60 $88,022.20 $106,788.10 $20,991.40 $8,226.30

$42,875.70 $32,345.30 $34,289.10 $36,956.00 $5,938.30 $1,735.80


$205,402.70 $150,483.20 $160,084.00 $189,151.80 $36,781.90 $12,537.00

$154,318.40 $105,112.70 $111,605.70 $148,968.60 $43,390.50 $11,994.10


$176,687.30 $135,840.00 $142,322.30 $157,800.20 $36,997.90 $10,338.10
$106,751.30 $98,823.20 $107,323.80 $113,439.70 $35,860.60 $6,998.70
$60,994.40 $48,934.10 $50,862.60 $57,483.30 $15,338.20 $2,930.00
$302,318.50 $249,841.30 $257,609.70 $279,119.10 $28,027.80 $8,683.30
$428,303.00 $374,314.80 $392,944.40 $433,539.40 $105,321.30 $35,372.40
$1,229,372.80 $1,012,866.20 $1,062,668.50 $1,190,350.20 $264,936.40 $76,316.60

$120,053.40 $102,491.70 $106,542.90 $113,545.80 $36,451.40 $5,190.10


$283,408.30 $225,386.80 $235,729.00 $264,501.90 $65,486.60 $11,777.00
$293,934.90 $246,126.40 $254,964.80 $281,571.10 $72,812.30 $14,963.20
$697,396.60 $574,004.80 $597,236.70 $659,618.80 $174,750.40 $31,930.30
$531,976.10 $438,861.30 $465,431.80 $530,731.50 $90,186.00 $44,386.30
$1,229,372.80 $1,012,866.20 $1,062,668.50 $1,190,350.20 $264,936.40 $76,316.60

$2,442,972.80 $1,546,673.80 $1,653,553.00 $2,316,765.00 $499,531.30 $214,509.80


20.8 19.1 18.8 21.7 23.8 26.1
1.8 1.4 1.4 1.8 1.6 3.5
11.3 21.3 19.7 17.8 14.8 22.2
10.5 10.7 10.3 11.1 8.6 12
36.6 46.8 41.7 52.1 56.6 43.2
17.3 16.1 20.8 17.6 30.9 22.5
33.80% 29.90% 30.00% 32.30% 23.80% 42.40%
12.00% 10.80% 11.00% 11.80% 10.10% 17.70%
15.20% 13.70% 13.90% 14.70% 12.10% 20.50%
22.00% 18.50% 18.90% 20.10% 23.30% 18.50%
8.70% 7.40% 7.70% 8.30% 6.90% 13.50%
1.1 1.08 1.08 1.08 1.15 0.8
9.50% 8.00% 8.30% 9.00% 7.90% 10.80%
31.00% 28.30% 28.80% 29.30% 22.10% 30.40%
280.00% 248.40% 240.60% 263.60% 199.50% 213.50%
4,580,311 3,730,648 3,910,034 4,439,482 979,697 242,393
$295,781 $293,958 $293,762 $289,476 $311,135 $252,271
$99,867 $88,010 $88,058 $93,620 $74,149 $106,976
$35,484 $31,667 $32,172 $34,282 $31,483 $44,561
3.70% 3.20% 3.30% 3.80% 5.10% 6.20%
0.60% 0.70% 0.70% 0.60% 0.00% 0.10%
17.40% 15.30% 15.00% 16.10% 8.60% 18.50%
21.80% 19.20% 19.00% 20.50% 13.70% 24.70%
11.10% 10.60% 11.00% 11.60% 21.50% 14.50%
1.70% 2.40% 2.30% 1.90% 0.00% 0.20%
51.60% 51.00% 50.20% 49.80% 36.10% 43.60%
64.50% 64.00% 63.50% 63.40% 57.50% 58.30%
7.7 8.1 8.1 8.1 8.2 5.9
8.4 7.8 7.5 7.7 6.5 5
1.1 1.1 1.1 1.1 1.2 0.8
47.6 45.2 45.2 44.8 44.3 61.7
43.4 46.9 48.7 47.6 56.4 72.5
48.8 48.7 48.3 47.7 57.3 53.8
42.2 43.5 45.6 44.8 43.4 80.5
All

$1,582,107.10
$1,063,714.90
$518,392.20
$60,494.80
$7,990.30
$261,111.00
$329,596.00
$188,796.20
$54,028.70
$134,767.50

$48,134.60
$236,930.80

$181,952.70
$203,135.40
$141,341.10
$69,736.90
$329,436.90
$540,175.10
$1,465,778.00

$149,091.60
$333,161.60
$358,892.50
$841,145.70
$624,632.30
$1,465,778.00

$2,897,078.40
21.5
1.8
15.6
10.8
41.9
21.8
32.80%
11.90%
15.00%
21.60%
8.50%
1.08
9.20%
30.10%
265.30%
5,400,017
$292,982
$95,998
$34,962
3.80%
0.50%
16.50%
20.80%
11.70%
1.50%
50.40%
63.60%
7.8
7.5
1.1
46.9
48.5
51.2
44.2
Exhibit 4 Two Best-In-Class Company Benchmarks for each Focal Ra

Company Ratio

AstraZeneca GM/Sales
GlaxoSK

Qualcomm ROS
Texas Instruments

Apple Computers Revenue/Employee


Paccar

Qualcomm GM/Employee
Cisco

Paccar SG&A/Sales
Precision Castparts

GlaxoSK ROE
Boeing

Apple Computers NWC Days


Boeing

Lowe’s Receivable Days


L3 Communications

Apple Computers Inventory Days


NetApp, Inc.

AstraZeneca Payable Days


Johnson & Johnson
marks for each Focal Ratio

Value Harris

79.00% 32.30%
78.40%

32.80% 11.30%
30.50%

$1,086,000 $265,000
$783,000

$477,000 $85,700
$363,000

3.60% 19.60%
6.50%

47.50% 25.20%
46.50%

−59 days 64 days


−25 days

0 days 64.4 days


0 days

7.2 days 44.1 days


18.2 days

228.6 days 44.5 days


138.0 days

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