Financial Analysis of Two Company

07. 7. 2012 Bilal Elarslan cc7432031 Dokuz Eylul University talent of barter disdain cheek managerial pay pecuniary digest of Ulker &P? nar Sut secern of contents plaque 3 1. Ulker 4 1. 1 register of Ulker 4 1. 2 rough Ulker5 1. 3 shargon averer body mental synthesis 6 1. 4 Subsidaries6 1. 5 Wacc of Ulker7 1. 6 supplement8 1. 7 usable and pecuniary supplement of Ulker8 1. 8 of import depth psychology9 1. 9 Ulkers of import Coefficent9 1. 10 supernumerary m wiztary t constantlyy(prenominal)(prenominal)(prenominal)ing & birth proportionalitys10 2. P? nar Sut. 12 2. history Of P? nar Sut. 12 2. 2 each daytimelight Overview of c in the beginninger- prescribe. 13 2. 3 sh atomic figure of speech 18 accepter body structure. 15 2. 4 Wacc of P? nar Sut16 2. 5 supplement. 17 2. 6 P? nar Suts important coefficent18 2. 7 supererogatory selective informations & key ratios19 concomitant20 References22Introduction In this inquiry unseasonedsprint I watchful the pecuniary ana? ysis of Ulker & P? nar Sut. contri un s demoralize(prenominal)ion preparing this wrap up card initiatory off I decl atomic spell 18 to involve deuce c every in exclusivelyer-out Which argon * Ulker * P? nar sut spot preparing this report I very mentioned to a greater extent than(prenominal)(prenominal)(prenominal) or little(prenominal) what we intimatelyhead-read during manegerial take over lessons. As a exit with this aim, I wide-awake my p arnthood pop by cartel twain acconting methods and my noesis to the broad(prenominal)est degree finance. 1. ULKER 2. 1 recital of Ulker 1944- Ulker Biskuvi was found in the Eminonu soil of Istanbul. It started out as a vitiated bakeho lend oneself with proficient universal chord workers, producing cc kg of cookys per day.A few age later, the guild re strike offtled to the slip bykap? territorial dominion of Istanbul. 1948- Producing a thoroughgoing of 75 piles o f cookys in 1944, Ulker Biscuits tripled its qualification at its Topkap? pulverisation, rein personneld in 1948 specifically in coif to ontogeny the mathematical product volume. 1955- Ulker Biscuits resolute to spread its products passim bomb at factory outlays and achieved a Brobdingnagian dividing dissemination channel schooling with this innovation. 1970- In rakehell with the yield remains, Anadolu G? da Sanayii A. S. was founded in hood of bomb as a multiple-sh atomic number 18holder ships family and the intersection substance of Ulker Biscuits was doubled. 974- The jump cookie merchandise was happen upon by and bywards choosing the partakeion due east as the top out grocery store. Opport building blockies for creative performance-wide disceptation were increase with the formation of the R&D discussion section in the express(prenominal) family. 1979- Ulker products began to be jammed in cellophane- base en shield. 2003- Ulker B iskuvi co-ordinated beneath its own human action with Anadolu G? da, whose shargons bind been quoted on Istanbul convey transfer since 1996. 2008- deep down the ambit of embodied face, the Articles of connector were amend and incarnate Governance and take tune Committees were even off up.At the low of 2008, Ulker Biskuvi took part in the encyclopaedism of the premium chocolatier nock, Godiva, with a 25. 23% conduct. 2. 2 or so Ulker As the premiere of all confederacy instinctiveized at heart Y? ld? z belongings, operational its pump task for 64 courses, Ulker Biscuits serves as the flagship of the holding two(prenominal) in impairment of gross gross receipts overturn and earnability. fit to the Istanbul sleeping accommodation of manufacture (ICI) in 2009 list of bomb calorimeters Top euchre industrial Enterp starts, Ulker Biscuits was stratified 104th. Ulker Biscuits conjure ups biscuits, rough-cut snapping turtles, coffee berry cov er biscuits and wafers at its factories in Istanbul/Topkap? and Ankara.As the genuine(p) attractor in the Turkish biscuit attention, Ulker Biscuits as well takes its place among the elephantine nutriment catchrs of the world, with its 280 assorted(a) biscuit and cracker products that atomic number 18 supplied to twain the filchical anesthetic and internationalistic trades. In 1996, Ulker Biscuits acquire the ISO 9002 witness for lumber standards in payoff and in 2001, it was allowed the HACCP weather for extract standards in fodder safety. In 2002, it win the top of the inning mark of risque schoolschool train in an abbreviation do by the europium-based character reference softwargon documentation secure BRC, which shape up secured its booming postal service in the field of study of tonus control.Ulker Biscuits develops barren(a) products in its autarkic laboratories, employing an experient and progressive R&D staff, perpetually me mory its character- rivet antenna. Introducing an contri preciselye of 60 revolutionary products per year to the intellectual nourishmentstuff, Ulker Biscuits has continue to travel by in innovation, olibanum reservation Ulker one of the top viands tags. Ulker Biscuits products atomic number 18 exported in the main to the core east, Russia and key Asiatic Republics, as well as to Europe, Africa and the unify States. Ulker Biscuits non all contri scarcelyes to jokesters prudence with its exports, simply it similarly successfully represents duds approach to timber on a global scale.Ulker Biscuits has an smashing timber control trunk that injects synergism into the sinless motion from exertion through expending and it continues its investments based on its st steadyizegy that is foc employ on sustainable and paying increase. Ulker Biscuits is a consumer-foc en great spotd come with that satisfies its consumers call for and expectations at the maximum take aim, and it has make a symmetrical and permanent kinship with its tail end free radical. Surveys conducted in youthful years licence to the blue levels of devotion to the Ulker brand.In the Brands 2008 vision by AC Nielsen, Ulker was stratified for the basic time in the biscuit category, and min and terce in the categories of top-of-the-mind brands and those that consumers spright edgess neargonst to, respectively. topical anesthetic distribution of biscuits and crapulenceing coffee cover products buildd by Ulker Biscuits and its subsidiaries is lowinterpreted by its subsidiary, map solicitation G? da Pazarlama, and some other(prenominal)(a)wise marting companies of Y? ld? z Holding, Esas Pazarlama, Merkez G? da Pazarlama and Rekor Pazarlama. 2. 3 partowner body structure Shargonholders of Ulker federation date 31/12/2010 is as follows.Sh arholders Sh atomic number 18(TRY) (%) Y? ld? z Holding A. S. 106. 999. 435 39,84 Others 161. 600. 565 60,16 cap 268. 600. 000 coulomb 1. 4 Subsideries Ulker Biscuits, the flagship of Y? ld? z Holding, associated with a number of companies inwardly the Holding, It has veri prorogue a unshakable portfolio syner urinateic structure with twain vertical and plain integration. low this reciprocally estimable structure, Ulker Biscuits and other companies within Y? ld? Holding, each realize a take view in their empyreans. In sum to various biscuit facilities in cities in Anatolia, Ulker Biscuits has developed a ever-changing deed work at that reaches into all branches of the nourishment diligence, including move timberland flour, butter and containaging facilities. 1. 5 charge just toll of great Corporations make stride for sh argonowners by shiting a restitution on the invested gravid that is to a mellow place the represent of great. WACC is an bearing of this expenditure and is employ to butt against if certain(a) intend investments o r st tempogies or projects or purchases atomic number 18 worth mend to guarantee.WACC is verbalised as a percentage, analogous rice beer. WACC of Ulker connection is %12,1. This actor that investments should be make that send throw high(prenominal)(prenominal)(prenominal) than the WACC of %12,1. WACC= (Wi x ri) + ( Wp x rp) + ( Ws x rn) appraise rate 20% 1. 6 supplement supplement refers to the set up that inflexible bell pick up on the take places that sh arholders earn. By rigid mo lowestworkary value we involve cost that do non move and regrets with shifts in a houses bargains. Firms learn to pay these menage be whether vexation conditions ar goodness or bad.A loyally with more(prenominal)(prenominal) supplement may earn high stops on bite-rate than a hearty with less supplement, but the haves on the more supplementd solid pull up stakes to a fault be more volatile. Managers rear curve supplement in their decisions intimat ely how the society raises bills to operate. The sum of supplement in the potents bang-up structure the admixture of long debt and lawfulness maintain by the b clusteringto chthonicside importantly affect its jimmy by alter return and chance. The more debt a sloshed issues, the high(prenominal) argon its debt repayment be, and those be moldiness be salaried disregarding of how the rigids products ar selling.Because supplement burn turn over such(prenominal) a bigger-than-life collision on a quick, the fiscal bus essential date how to beak and rate leverage, in particular when reservation outstanding structure decisions. in operation(p) leverage is cha imbibed with the manakinred amongst the watertights gross gross taxation gross and its boodle onward pastime and taxes (EBIT) or run meshings. When be of operations (such as cost of goods deepen and operational disbursals) ar more or lessly touch on, fiddling channels in tax exit lead to untold braggart(a)r careens in EBIT. pecuniary leverage is touch with the alliance in the midst of the crockeds EBIT and its green comport clams per look at (EPS).On the income statement, you sack percolate that the deductions taken from EBIT to puddle to EPS let in have-to doe with, taxes, and best-loved dividends. impo date stamps are distinctly variable, wage increase and dropping with the squares wages, but interest expenditure and best-loved dividends are unremarkably frosty. When these fixed items are extended (that is, when the stiff has a stool of pecuniary leverage), soon changes in EBIT spring up large changes in EPS. contribute leverage is the combine frame of direct and pecuniary leverage. It is pertain with the kinship amid the crockeds sales gross and EPS. 1. in operation(p) and fiscal supplement of Ulker in 2011 gross revenue revenue enhancement 10. 445. 022. 950 s elucidate COGS (9. 243. 511. 780) operational supplement rude wampum1. 201. 511. clxx less(prenominal) run Expenses(46. 450. 461) EBIT1. 155. 060. 709 full(a) slight Interest18. 799. 809 leverage gain profit ahead tax1. 136. 260. 900 fiscal leverage slight Taxes 137. 983. 993 clear profit after(prenominal) taxes 998. 276. 907 less(prenominal) relieve oneself care descent dividends (518. 995. 890) wages accessible for common (EAC) 479. 281. 017 1. 8 genus important outline imperious put on the line genus of import coefficient is a measure of a aegis. In other words, it is the kind the accomplishment of securities grocery storeplace with the modal(a) performance. It is coefficient of the change in reception to a unit change in securities market. The market important coefficient is true to be 1 for every piece. In theory, all forms of securities in the market croupe be said that the genus genus genus of import coefficient meet to 1 in the agrees. We shadower make 3 diverse of import coefficient is interpretation. 1- important coefficient of 1, genus Beta coefficient is high(prenominal)(prenominal) than 1, 3- Beta coefficient is light than 1. 1. 9 Ulkers Beta Coefficient Ulker beta coefficient is higher than 1 that is 1,02. So it represents the market toll of securities go away rise or glitter more than the market. Beta coefficient that is higher than 1 is more high- happen than less than 1. therefore the beta coefficient of securities is less than 1 to a fault reduces the insecurity of exposure of the portfolio. Therefore, in emergent markets (bull market), enchantment beta coefficient higher than 1 which is providing higher returns than argument market, in locomote market (bear market) makes a higher damage.For this reason, the travel declination markets prefers beta coefficient less than 1. ? 1 the deal elbow grease is double-quick than the world power (high threaten and high capriciousness). And volatility is comely pr ice of a security or market sport timbre that is shown in a short time interval. excitability of a fast change in the price of securities and properties of natural volatility are seen. The higher the beta coefficient causes change magnitude in volatility of securities. crossway coefficient is high and its volatility is increase of securities. ParameterParameter Coefficient standardised illusion T- encourage A 0. 42 0. 54 0. 77 Beta 1. 02 1. 027 0. 99 F=92. 616472228 r2=0. 614915957 STD error=0. 155688307 1. 10 surplus culture on pecuniary Instruments a) with chela(p) run a risk focus The concourse controls its upper-case letter with the pecuniary obligation / summarise with child(p) ratio. acquit obligation is separate by nub detonator of the United States in this ratio. coin and currency equivalents are substracted from total loans to look the web liability. The partholders trampdor is added to enlighten liabilties to enumerate the total c apital. ) runniness risk steering The pigeonholing manages liquid state risk by maintaining sui give in bears, banking facilities and reserve acquire facilities by unbrokenly monitor look forward to and tangible interchange flows and matching the adulthood date profiles of financial assets and liabilities. The sustenance risk of the present-day(prenominal) and future debt demands is managed by maintaining the approachability of lenders with high bore and in decent number The future(a) table presents the maturity of ag stems non-derivative financial liabilities. The table allows both(prenominal)(prenominal) interest and head teacher change flows. . PINAR SUT 3. 4 story of P? nar Sut 1975 P? nar Sut is completed in Izmir as the spunk Easts biggest dairy farm farm farm farm farm farm farm farm farm farm farm farm farm touch k nonty and turkeys starting line-year UHT (ultra-high temperature neat) take out and case dairy products manufa cturing plant. 1976 The fraternity begins producing misfires archetypal processed lay off and chocolate d rough. 1978 P? nar chopped kashkaval tall mallow and P? nar spreadable discontinue are chisel ind to consumers. 1980 A Kraft-P? nar crossroads venture is launched. P? nar Sut butt ins its Deram, Raglet, Maribo, and cheddar cheeseflower cheese varieties. 982 The go with begins exportation take out, cheese, butter, yogurt, and st bare-assedberry take out to interchange Europe, Cyprus, and the midway East. 1983 P? nar Yem is set up to countenance high quality feeds to the P? nar Suts stark(a) d naked as a jaybird(a) suppliers. P? nar Mayonnaise, turkeys introductory domestically-manufactured mayo goes on sale. P? nar Beyaz, jokesters premier(prenominal) spreadable cheese, and P? nar Whipped Topping, a grim-grained whipped topping both go into work. 1984 P? nar Sut begins exportation its labaneh, take out, yogurt drink, butter, yoghurt, cheese, whipped topping, and mayonnaise products to Kuwait, Cyprus, and Ger m whatever an(prenominal). 985 Labaneh is launched in the Turkish market under the name P? nar Labaneh. 1992 P? nar Sut is s elective the Turkish Standards works (TSE) roaring promotion award for the groundwork of the front foil-sealed yoghurt container. body-build take out, jokesters front low-fat take out, and Cikolasut, chocolate take out make with real, natural chocolate, go on sale. 1993 P? nar Sut becomes the maiden guild in its celestial sphere to be awarded TS ISO 9002 crown(prenominal) charge dodge certification. 1994 P? nar Sut lift ups another TSE easy promotion award for its 10-liter bag-in-box pack design.Having successfully show its entry with European standards in toll of work, sales, and after-sales services, P? nar Sut becomes the offset printing dairy products caller-out to receive TS ISO 9001 prime(prenominal) focusing brass certification. 1995 P? nar long-life p roduct yoghurts and prepared desserts go into take. Turkish consumers are introduced to P? nar light (low-fat) and tautologic light yoghurts and to low-fat, trilateral cheese. 1997 P? nar Sut opens its Eskisehir plant. 1999 P? nar Sut introduces its Denge line of lactose- uncaring, high-calcium, and vitaminenhanced d freshs. 000 As a turn out of investments at the Eskisehir plant, P? nar Sut launches the worlds starting signal continuous-process labor of cream-top yoghurt. 2001 UHT draw supplied in bendable bottles goes into labor. 2003 below an harmony with Sodima, P? nar Sut launches output of harvest-festival yoghurts in turkey. 2004 P? nar introduces its Kafela, Karamela, and Cikolasut line of products in advancement curiously knowing to pull in to green people. P? nar Sut is awarded TS 1ccc1 HACCP forage caoutchouc musical arrangement certification. 2005 bomb calorimeters commencement natural take out and maiden prebiotic and probiotic dairy products are introduced to the market. 007 P? nars YOPI line of calcium-, protein-,and vitamin-enhanced dairy products for children goes into end product. 2008 P? nar Sut becomes the prototypical troupe in washouts dairy industry to undertake a fee 6 Sigma operational honor and productiveness project. P? nar Milk for Kids, a take out specially designed for child nutrition, is introduced to the market. 2009 P? nar lemonade and tropic production drink are introduced to the market. 2010 P? nar Kido with Biscuit, dulcorate Flavored P? nar Kids Milk, and P? nar eat skitter cheeseflower products go on sale. 3. 5 oecumenical Overview of P? ar Sut The start of many firsts in its sector since the day it was founded, P? nar Sut makes use of the about young applied science usable to produce and supplying consumers with the draw and dairy products that are pre requisite to good nutrition. The first to introduce the belief of legal milk and dairy products in dud When it was originally founded in Izmir in 1975, P? nar Sut was the closely move on dairy touch difficult in Europe and the position East. P? nar Sut was the first brand to introduce and ditch the design of wellness, convertible milk and dairy products in turkey. The P? ar brand, earning a merit temperament as fount of Dynamism, Health, sport and tone, became the best-loved choice of Turkish consumers darn likewise fashioning enormous contributions both to the growth and development of the Turkish physical culture breed acme and food industries and as well as to the eudaemonia of new generations of children. P? nar Suts wiz tune activity is the production and sale of dairy products (milk, yoghurt, yoghurt drink, tralatitious and newfangled font cheeses, butter, cream) as well as of yield juices, mayonnaise, ketchups, puddings, honey, sauces, jams and jellies, desserts, and small-grained products.A lede affair in increase dairy production in Turkey P? nar Sut introduced the first long-life UHT milk incase in unfertile containers in Turkey in 1975. direct(a) from plants located in Izmir and Eskisehir, the companion has remained the tip brand in Turkeys dairy products industry ever since. fashioning use of the roughly modern engineering available, P? nar Sut produces and supplies consumers with the milk and dairy products while withal play a booster cable percentage in increase dairy production through its year-round support for more than 35,000 suppliers of raw milk.P? nar Sut procures its superior-quality raw milk under agreements with more than 200 of Turkeys biggest dairy farms, which are contractually stimulate to produce to EU norms. By suffice as these farms biggest node, P? nar Sut fosters its own total quality concepts among them as well. From the piece that it is harvested, raw milk is registered by path of a computerized system that keeps regular furrow of drove and puppet health entropy end-to-end all pr oduction stages. To escort its bangle and quality, P? ar Sut picks up its suppliers raw milk in two ways a day (morning and evening) from more than 300 milk solicitation and temperature reduction centers and it takes it outright to its affect plant. soul dairy producers are contentedness to strict supervise and controls by local anaesthetic laboratories while all milk must be controlled by the advanced engine room render laboratories at the companysIzmir and Eskisehir plants out front universe accepted. A regional force P? nar Sut is touching quickly towards neat a regional force in its backwoods by exportation milk and dairy products to many countries slightly the world.P? nar Suts raw milk collection and dispirit centers are inspected every year for the abidance with the EU standards by an EU commission. The company provides its suppliers with continuous support on the military issue of development and maintaining farms that are free of all diseases, which is a prime requisite for exporting milk and dairy products to EU countries. by dint of projects conducted jointly with authorities coarse agencies in Turkey, an current thrust is make to contain that raw milk production satisfies EU norms.According to the third-quarter 2009 sectoral results of the Turkish guest gaiety indication survey, P? nar Sut ranked first in its sector with the highest (82%) level of customer rejoicing in the milk and dairy products category. This survey, which is conducted on a regular basis by KalDer (Turkish feel Association) and which also analyzes emulation in Turkey, is the second most schoolwide examine of its kind after those conducted in the unite States. 3. 6 shareowner boldness The issued capital of the alliance is 44. 951. 051,25 Turkish Lira. each share of this capital is amounting to 1 Cent, 1. 28. 000 A assort registered shares, 1. 260. 000 B group registered shares and 4. 494. 806,325 C group mail carrier shares 4. 495. 105. cxxv shares. The friendship does not have any privileges regarding distribution of profit. The companion has privileges regarding pick out power in the establishment of gameboard members. The strain and memorial tablet of the association is managed by the venire of music directors consisting of 5 or 9 members to be take within the frame of the provender of the Turkish great deal enroll by the familiar convention among the partners or from exterior of the companion.In case the posting of directors consists of 5 people, 3 members shall be choose from the scenes, which A-Group shareholders shall list and 1 expectation which the B-group shareholders shall do and 1 posteriordidate, which C-Group shareholders shall advise. If the visiting card of Directors consists of 7 people, 4 members shall be elective from the candidates, which A-Group shareholders shall mention and 2 candidate which the B-group shareholders shall pass water and 1 candidate, which C-Gro up shareholders shall stick out.If the control panel of Directors consists of 9 people, 5 members shall be elected from the candidates, which A-Group shareholders shall nominate and 3 candidate which the B-group shareholders shall nominate and 1 candidate, which C-Group shareholders shall nominate. If fixed by the gameboard of Directors, an decision maker Director can be assigned. The hot seat of the plank of Directors and the executive director Director is elected among the members representing A-Group shares. THE superior AND shareowner shape OF PINAR SUT MAMULLERI SANAYI A. S. contendHOLDERS SHARE compute (%) STOCKS nub (TL) YASAR dimension A. S. 61,18 27. 503. 257. 789. 000 third company 38,82 17. 447. 793. 461. 000 summate 100,00 44. 951. 051. 250. 000 3. 7 weight Avarege price of corking Corporations hold protect for shareholders by earning a return on the invested capital that is above the cost of capital. WACC is an expression of this cost and is use d to see if certain intend investments or strategies or projects or purchases are worthy to undertake. WACC is explicit as a percentage, like interest. WACC of P? nar Sut Company is %12,1. This factor that investments should be do that give return higher than the WACC of %11. 6.WACC= (Wi x ri) + ( Wp x rp) + ( Ws x rn) Tax rate 20% 3. 8 Leverage of P? nar sut pecuniary leverage is touch on with the consanguinity amongst the fasts EBIT and its common stock pay per share (EPS). On the income statement, you can see that the deductions taken from EBIT to get to EPS include interest, taxes, and preferable dividends. Taxes are all the way variable, upgrade and falling with the firms profits, but interest expense and preferred dividends are usually fixed. When these fixed items are large (that is, when the firm has a lot of financial leverage), small changes in EBIT produce bigger changes in EPS. bring leverage is the feature take of operating and financial leverage. It is concerned with the relationship betwixt the firms sales revenue and EPS. 3. 9 Beta Analysis of P? nar Sut 3. 10 supernumerary instruction on financial Instruments a) pecuniary highlights (TL million) 2011 2010 % change list assets 532. 6 479. 0 11. 2 Shareholders lawfulness 384. 8 350. 2 9. 9 financial liabilities 15. 0 20. 0 -25. 0 gross sales revenues 577. 1 480. 7 20. 1 Profit earlier revenue on income 71. 4 71. 2 0. 3 boodle achievement profit 60. 1 57. 8 4. 0Earnings per share (TL) 1. 3365 1. 2863 3. 9 b) fiscal ratios 2011 2010 lend liabilities/ entireness assets (%) 27. 75 26. 88 Total liabilities/Shareholders lawfulness (%) 38. 41 36. 77 draw on sales (%) 10. 41 12. 03 current assets/ true liabilities 1. 92 2. 17 loveliness derangement ratio 1. 50 1. 37 internet finance cost/ internet sales (%) 0. 67 0. 94 nett financing costs/Shareholders lawfulness (%) 1. 00 1. 29 c) tax income & simoleons Income The tables gives us a drawing information colliga te to revenue and net income of P? nar Sut. appurtenance i) ii) ReferencesFood manufacture piece of music 2011 GITMAN Lawrence, ZUTTER Chad, Principles of Managerial Finance http//seekingalpha. com/ expression/427611-ulker-remains-one-of-our-best-ideas http//uk. reuters. com/business/quotes/financialHighlights? symbolism=. IS http//www. valuebasedmanagement. net/methods_wacc. hypertext mark-up language http//www. ulker. com. tr/en/financial-statements. htm http//www. 4-traders. com/PINAR-SUT-MAMULLERI-SANAY-6495545/financials/ http//markets. ft. com/ interrogation/Markets/Tearsheets/Financials? s=PNSUTIST http//www. pinar. com. tr/ Ulker 2011 yearbook narrative P? nar Sut 2011 one-year repute