Computing

Only available on StudyMode
  • Download(s) : 104
  • Published : January 14, 2013
Open Document
Text Preview
INSTITUTE OF ACCOUNTANCY ARUSHA

IN COLLABORATION WITH
COVENTRY UNIVERSITY (UK)

MASTERS OF BUSINESS ADMINISTRATION AND INFORMATION TECHNOLOGY MANAGEMENT MODULE NAME: FINANCIAL ANALYSIS FOR MANAGERS
MODULE CODE: ARUM58EKM

ASSIGNMENT NO1: ANALYSIS OF FINANCIAL STATEMENT
PARTICIPANTS: REG.NUMBER CHAIRPERSON: HAKIMATO MBA-ITM/00/T.2011
SECRETARY: ALI, OTHMAN MBA-ITM/0078/T.2011

MEMBERS
MHELELA, ALATANGA MBA-ITM/0062/T.2011
KITILLAH, EMMANUEL MBA-ITM/0098/T.2011
SOOD, EDDYNOOR MBA-ITM/0071/T.2011

ABSTRACT
This financial analysis provides a synopsis of the 2007 to 2011 annual reports of Tanzania breweries Limited under SAB Millers. A comparative ratio analysis of financial statement released by the company is carried out with emphasis on profitability, asset management, liquidity, debt management and market value. The full analysis delves into the company’s detailed financial statement as conveyed on its website. Relevant ratios, formulae and other useful calculations are employed within this analysis to present a comprehensive and precise report. It is paramount to state that this analysis shows a significant percentage increase in the company’s business operations. The health of the economy is critical for the company success because its products are not primary products; so during a recession, people will rather save money for food rather than buy beers.

LIST OF ABBREVIATION
IAS – International Accounting Standards
IFRS- International Financial Report Standard
ROE – Return on Equity
SAB - South Africa Breweries
TBL – Tanzania Breweries Limited
Tshs - Tanzanian Shillings
US$ - United State Dollar

COMPANY BACKGROUND
Tanzania Breweries began as Tanganyika Breweries in 1930. The company was renamed to Tanzania Breweries in 1964, when the countries of Tanganyika and Zanzibar united to become Tanzania. Tanzania Breweries was originally state owned, but in 1993 the process of privatizing the company was started by selling 50% of the Tanzania Breweries company to SABMiller. The company currently operates 4 breweries in Tanzania. In recent years Tanzania Breweries has begun work on a number of sustainable development practices in the areas of water and energy conservation and barley farming. Protecting the countries scare resources has became a major goal for the company while, at the same time, working to meet the increased demands for its products. Tanzania Breweries brew a variety of beers. The main brands are Safari Lager, Kilimanjaro Premium Lager, Ndovu Special Malt, Eagle Lager, Balimi Lager, Castle Lager and Castle Lite. Also produced is Redds Premium Cold and non-alcoholic brands, Grand Malt and Safari Water. Tanzania Breweries has a controlling interest in Tanzania Distilleries Limited. Tanzania Distilleries produces and markets such brands as Konyagi Gin, Valeur Brandy and the Dodoma and Image range of organic white and red wine. Vision

To be the most admired Company in the beer industry in East Africa •The investment of choice
The employer of choice
The partner of choice
Mission
To own and nurture local and international brands which are the first choice of the consumer.

THE ANALYSIS OF FINANCIAL STATEMENTS
Financial Accounting is the guide-post for the management. The financial score of the firm is kept by the financial accounting system. It points out the problem faced or likely to be faced by the firm. It also brings to its notice opportunities that are likely to arise. The end product of Financial Accounting is financial statements. Financial statements are statements which an entity is required to prepare annually, always financial statement reports the performance of the company at the end of the accounting period, position of company’s wealth at the date and cash &...
tracking img