GR
OUP: 1
MAHNOOR NASEER (6155129)
KHADIJA AZEEM (6155127)
FIZA ALVI (6155111)
RABIA MALIK (615511)
SUBJECT:
BBA (HONS)
VERTICAL ANALYSIS
INTERPRETATION OF INCOME STATEMENT:
COST OF GOODS SOLD
The proportion of cost of goods sold is 50% in 2017 which have 51% in 2016 and 52% in 2015.
The cost of goods sold is decreased over time and this is a good sign for profitability of
company.
GROSS PROFIT
In 2017, the gross profit is increased by 50% as compared to 2015 and 2016. In 2015, the gross
profit is 48% and in 2016, gross profit is 49%. In this, we see that gross profit has increased over
time. This is a good sign for company and this mean that company earns more profit in 2017 as
compared in 2016 and 2015.
OPERATING PROFIT
In 2015, the operating profit is 6% and they increased 8% in 2016 and they increased 10% in
2017. This is a good sign for profitability Company. Company’s operating profit is increased
over time. Because the company minimize their expenses that’s why our operating profit is
increased in 2017.
NET INCOME
In 2015, the net income of company is 4%, the net income is increased 5% in 2016 and net
income is also 5% in 2017. Net income is less in 2015 as compared to 2016 and 2017. Net
income is increased over time. This is a good sign for company and this mean that company
earns more money in 2016 and 2017 as compared to 2015.
CONCLUSION
Through this analysis, we find that company performs well in 2017 as compared to 2015 and
2016. The company earns high gross profit. Operating profit is also high in 2017 and the
company’s net income is high in 2017 as compared to 2015 and 2016.
INTERPRETATION OF BALANCE SHEET
CASH IN HAND:
The cash in hand in the year 2017 is 11% of the total assets whereas in the year 2016 the
percentage is 10% of the total assets and in 2015 this percentage is 18%. The percentage of cash
of the total assets increased in 2015 as compared to the years 2016 and 2017.That increase of
cash in hand in the year 2015 shows that the ADIDAS Company taking longer to pay its bills
will see rise in accounts payables.
ACCOUNT RECEIVABLES:
The account receivables in the year 2017 is 14% of the total assets whereas in the year 2016
percentage is 18%of the total assets and in 2015 this percentage is24% .The percentage of
account receivables of the total assets increased in2015 as compared to the years 2016 and
2017.The increase in accounts receivables in the year 2015 indicates that a large sum of money is
owed to you your customers. That increase will affect the cash flows.
ACCOUNTS PAYABLES:
The accounts payable in the year 2017 is 14% of the total financing whereas in the year 2016
percentage is 16%of the total assets and in year 2015 the percentage is 15%. The percentage of
accounts payable of the total assets increased in 2016 as compared to the years 2015 and
2017.The increase in accounts payables in the year 2016 affects the cash flows and increase the
liability account.
SHARE CAPITAL:
The share capital in years 2015, 2016 and 2017 is 1% of the total financing. The share capital of
the company remains unchanged in all these three years that indicates that the investors are not at
risk. The ADIDAS Company is in stable condition.
RETAINED EARNING:
The retained earnings in the year 2017 is 44% of the total financing whereas in the year 2016
percentage is 36%of the total assets and in year 2015 the percentage is 37%of the total assets.
The retained earnings of the total assets increased in 2017 as compared to 2016 and 2015.The
increase of the retained earnings in the year 2017 indicates that the ADIDAS Company has
retained some earnings for the future.
CONCLUSION:
Through this analysis, we find that ADIDAS Company is in good financial position in 2017 as
compared to 2015 and 2016. The reason is that the company has high retained earnings, shared
capital and the accounts receivables and accounts payables are also favorable in 2017.
HORIZONTAL ANALYSIS
INTERPRETATION OF INCOME STATEMENT
COST OF GOODS SOLD:
The cost of goods sold change in the year 2017 is 6% whereas in 2016 the change is 13% and in
year 2015 the percentage is 15%. The percentage decreased in 2017 that shows that the cost of
goods change is decreased from 13% to 7%. This indicates that ADIDAS Company has done
efforts to control this change. The cost of goods decreased over time.
GROSS PROFIT:
The gross profit change in the year 2017 is 6% whereas the change in 2016 is 15% and in 2015
the change is 18%. The good change in the year 2014-2015.This indicates that the ADIDAS
Company have high profits in these years. There is favorable increase in the gross profit.
OPERATING PROFITS:
The change in operating profits in the year 2017 is 39% whereas in 2016 the change is 41% and
in 2015 the change is 20%. The change increases in the between 2015 and 2016. In all the three
cases the trend is increasing due to the reason that ADIDAS Company minimizes its operating
expenses. The expenses decreased in 2017.
NET INCOME:
The change in the net income in the year 2017 is 8%. On the other hand, in 2016 the change is
59% and in 2015 the change is 29%. That shows that in the year 2015-2016 the change in net
income is 59%. The increase shows that the ADIDAS Company is doing well in 2015-2016.
CONCLUSION:
Through the analysis, we find that the ADIDAS Company profitability is highly good in 2016-
2017 with good cost of goods sold, gross profit and less operating expenses and favorable net
income.
INTERPRETATION OF BALANCE SHEET
CASH IN HAND VERSUS BORROWINGS:
Currently, the Adidas Company has cash and cash equivalent is 6%. In 2017 cash & cash
equivalent are more than the long term borrowings and even short term borrowings of this year.
In 2017 short term borrowings are -78% and the long term borrowings are 0%, which are less
than the cash & cash equivalent of this year. It is no doubt the company’s cash is minor
decreased by the year 2016 but on the other hand they did more borrowings in the year 2016 as
compare to 2017, so the company’s currently cash in hand is showing the positive impact of the
company because they are not responsible to pay cash to their creditors due to no borrowings and
it is good for the profitability of the company.
ACCOUNT RECEIVABLES:
Account receivables are 5% in the year 2017 which are more than the account payable of the
company. In 2016 the account receivables are increased by the 7% as compare to 5% in the 2015
but in 2017 it’s again shows 5% of account receivable which are not bad for the company in fact
lead our company to the profitability due to more account receivables as compared to accounts
payable of the company.
ACCOUNT PAYABLE:
In 2017 the accounts payable are -21% which is decreased by the 23% in the 2015 and 2016. In
2017 the account payable are decreased overtime, it shows the good sign for the company and
this mean the company’s financial position is better in 2017 as compare to 2015 & 2016.
SHARE CAPITAL:
In 2017, the share capital of the Adidas Company is increased by the 1% which was -2% in the
year 2015 so increasing of the share capital shows the good performance and the profitability of
the company.
RETAINED EARNINGS:
In 2017 the retained earnings are 15% which are more than the 13 % and 1% in the previous
years so; the retained earnings of the Adidas Company are increased year by year and it shows
the profitability of the company due to the increasing of the retained earnings.
CONCLUSION:
Through this analysis, we find that the company’s performance is good in the 2017 as compared
to 2015 & 2016 because the company has more cash in hand, more account receivables, less
short and long term borrowings, less account payable, high share capital and the more retained
earnings, all these factor shows the profitability of the company.
waqt ne bohot kuch sikha diya ha. me jo samjh ri thi ke hr koi ek jaisa ni hota aj pata lag gaya ke
sab 1 jaise ha mujhe meri life yehi rukti hui nazar a ri ha aur mere pass koi bhi ni ha jo mujhe
samjh sake. me samjhti thi ke adeel mujhe samjhta ha but koi ni ha. bs mujhe asman se aj
zameen pr gira diya ha usne aur chot lagi ha bohot buri dil pr jo shayad pori life na bhare. dosri
chot thk ho jati ha waqt ke saath but dil ki ni. me jo kehti thi ke is me kya takleef ghr walo se
zayada koi important ni hota aj pata lag raha ha ke kya takleef hoti ha waqt ne bohot kuch
samjha diya ha. aj me is halat me ho ke me kisi ke samne ro ni sakti aur chup kr khul ke ni roo
sakti aise feel ho raha ha ke mere samne kuch ni ha. allah pr bharosa rakhne ki kohshish kr ri ho
but phir naumeed ho jati ho. aj me bohot kuch kehna chahti ho but koi sune wala aur samjhne
wala ni ha.. us ne mere se rishta is baat pr start kiya tha ke tumhe abu ki kami mehsos ni hone do
ga aur tumhe hr lamha khushi do ga but aj meri ankhoo me khushi ni ha balke ansoo ha aur aj
mujhe zayada abu ki kami mehsos ho ri ha.. kash me gao na ae hoti aur na roki hoti ya tum na ate
udhr toh aj me thk hoti. me ne ni umeed lagae thi waha pr aur na tab me ne note kiya tha tumhe
jab se tum ne daily ana start kiya toh me tumhare qareeb ati ri na chahte hue bhi aur apne apko
control ni kr pae.. agr tum ne mujhe I LOVE YOU bhi bol diya tha toh mujhe chahiye tha ke
tumhe waha gussa ho kr rook deti aur baat na krti.. woh jab hum raat me lodo khaili khatam wale
din tab tum ne jab kaha meri nazroo ke samne se chali jao mujhe lyu bura laga. kash me ne us
baat ko dil pr na liya hota aur na msg kiya hota toh aj me takleef me na hoti woh 2 din ki takleef
thi sirf aur yeh pori life ki. tab paglo ki tarah soche bagair msg kr diya. me ne tumhare samne
woh baat ni mani thi ke jab hum last time mile the aur jab tum ja rahe the tab me sach me bohot
udas ho gae thi aur me rone wali thi aur heartbeat bhi teez ho gae thi kyu ke mujhe tha ke shayad
hum last time mil rahe ha aur me kabhi ni dekh pao gi apko. jab ap adeel udhr hote the toh mera
time bohot acha guzarta tha aur apke jane ke baad me wait krti hoti thi apke ane ka aur me dua
krti hoti thi ke ap ao daily. apne tab mujhse pocha tha ke mere na ane se apko farak pare ga kya
aur me ne kaha tha ke ni parta farak jabke sach yeh tha ke mujhe bohot farak parta tha aur ab bhi
parta ha. adeel me woh daire wala din ni bhool sakti kabhi bhi aur uske baad ke 2 din jab hum
chat pr mile aur phir khatam wala din. khatam wale din se meri zindagi change ho gae. but ab
adeel phir sab kuch change ho gaya ha chale the saath hum but aj me phir akeli khari ho aur tum
age chale gae ho me tumhare liye hamesha tumhari pheeni ban kr rehna chahti thi but tumne
pheeni mar di khatam kr diya usko usko guma diya. pehle tumhari 1 khayal se mere face pr smile
a jati thi but ab tumhari yaad se ansoo a jate ha. kash mujhe mera porana wala adeel mil jae aur
mera porane wala relation jis me tumne mujhe kaha tha me tumhari gf ho aur me tumhari hr sans
me shamil ho woh relation mujhe chahiye wapas. kash woh mujhe wapas mil jae. adeel me ne us
din ke baad bhi hope ni chori thi aj tum ne meri hope kya mujhe bhi tor diyaa me ne tumhe
hamesha apni dua me manga ha husband ke toor pr. tumhara record kharab ni hua hr larki
tumhare peeche pagal ha aur tum unhe lift ni karwate aj tum ne mujhe bhi pagal kr diya ha aur
lift ni ha koi. me na chahte hue bhi ro ri ho aj aur toot ri ho aur me sab ke samne fake smile kr ri
ho.. aj me apni ami ke samne baithi ho but unse baat hi ni krti kyu ke mera dil hi ni krta kisi se
baat krne ka jis se krta ha dil but woh krta ni ha. aj me ne sab kuch allah pr chor diya ha aur pori
try kr ri ho sambhalne ki aur yehi soch ri ho ke kya pata mere liye allah ne bohot acha likha ho
aur me acha desrve krti ho aur tum mere qabil ni ho ab yehi samjha ri ho apne dil ko... but in sab
se pehle me khul kr zor zor ki rona chahti ho aur face to face sawal krna chahti ho. bs mujhe
tumhare se related hr cheez se nafrat ho ri ha chahe woh baji ka ghr ho daira ho ludo metro bus
packgs mall in sab se nafrat aur sab se zayada apne apse nafrat.. ke kyu me ne tumhe pasand
kiya. agr khudkushi jaiz hoti aur meri maa besahara na hoti toh shayad aj me khud ko khatam kr
leti but kisi ki wajah se apne ghr walo ko ami ko ruswa ni krna chahti unke liye sharmindagi ka
bais ni bana chahti. kyu ke yeh baat sach ha ke me ami ke liye aur meri liye ami ha sirf is duniya
me. adeel tum ne mera bharosa aur mujhe is qadar toor diya ha ke shayad me life me kabhi kisi
pr bharosa na kr sako shayad apne husband pr bhi na kr sako.... ab mere admissions open ho rahe
ha kal se but mere se study hi ni ho ri na preperation ho ri ha dua karo allah mujhe kamyabi de
life aur mera admission ho jae pu me... allah mujhe himmat bhi de insab cheezo se nikalne ki aur
normal life me ane ki..
monday 16th nov 2020
aj me ne phir uthte hi tumhare bare me socha aur na chahte hue bhi tumhara dimagh a jata ha. aj
me ne socha aur khul kr roya aur apne dil ka thora sa gubar nikala. phir me ne socha ke me kyu
pagal ho ri ho jab koi pasand na krta ho toh kisi se chipakte ni ha peche ho jate ha but phir me ne
yeh bhi socha ke me tumhare saath dosti start karo gi aur wohi baat krne ke liye me ne tumhe
msg kiya but tum ne abhi tk dobara msg ni kiya. me ne aj tumhara wait kiya ha aur kr ri ho abhi
tk tumhare msg ka but tum online ho msg ni kr rahe. agr tumhe koi larki pasand a gae ha toh tum
mujhe kyu ni bata rahe bs tum mujhe bata do ainda ni msg kr ke tang karo gi tumhe. tum chaho
ge toh me baji ke ghr bhi ni ao gi jab tum ae ho jaise asad ki shadi pr.. tumhe kabhi apni shakal ni
dikhao gi but tum mujhse khul kr baat toh karo is tarah tum mujhe takleef de rahe ho.. jo bhi baat
ha mujhe saaf saaf bata do me age kuch ni kaho gi bs mere kuch sawalo ka jawab de do.. adeel aj
mere se khana bhi ni khaya gaya pora din pata ni bhook hi ni ha dekhne ka dil ni kr raha. bs dil
kr raha ha ke me kahi buzi ho jao aur tumhari yaad se nikal jao pehle me ne socha tha ke me
dosti rakho gi but ab lag raha ha ke shayad ab woh bhi na rakho.. adeel yeh tum ne mujhe meri
pori life me jitni birthdays hui ha meri sab se acha gift diya ha tum ne. me ne ehmiyat mangi thi
tumhare dil me tum ne khatam kr li ehmiyat meri apne dil me.. aur me ne is birthday ka bohot
wait kiya tha aur me yeh pori life ni bholo gi bohot acha gift diya ha.. ke kabhi kisi pr bharosa na
karo kabhi bhi kisi pr andha bharosa na karo yeh bohot bhara sabaq diya ha life ka tum ne.. aj
mere so called best friend ne bohot acha gift diya ha.. jo shayad kabhi kisi dost ne na diya ho ga
kisi ne bohot shukria tumhara itna acha gift dene ka.
