pret financial analysis
Financial analysis :
Balance sheet analysis:
Other current assets witnessed an immense and rapid decline from the year 2010 to 2011 (1,651 million USD).
1,186 million USD fall in total current assets during the past three years; steady but sizable drop in total current assets.
Total assets accumulated to 10,686 million USD in 2013 which is 990 million USD more than what it used to be back in 2010
Short term debt worth 1,501 million USD in 2010 is no longer existent
Total current liabilities dropped by a substantial value of 1,481 million USD between 2010 and 1013
Total long term debt has seen a minor fall between 2010 and 2011 then continued to grow till 2013 creating an additional 509 million USD in total long term debt
Total debt has slumped 992 million USD the past three years
Other liabilities fell in 2011 (215 million USD), in 2012 other liabilities accumulated a sizable addition of 374 million USD with respect to its value in the previous year
Total liabilities plunged over the past three years by 1,068 million USD
The balance of the retained earnings account is negative (accumulated deficit) and it has amplified by 2,629 million USD
Total equity boosted by 2,058 million USD the past three years
Total liabilities and shareholders equity has steadily increased by 990 million USD over the past seen years
Liquidity ratios (2013):
I. Working capital ratio:
Current assets-current liabilities=
4,983-1,603=
$3,380 million USD
The company will be able to meet its current obligations; it is more likely to make its payments on time.
II. Current ratio:
Current assets/current liabilities=
4,983/1,603=
3.11
This value generally indicates good short-term financial strength, it can also be a indicator that the company has problems getting paid on its receivable or have long inventory turnover, both symptoms that the company may not be efficiently using its current assets.
III. Quick ratio (acid test ratio):
[(cash+short term
Balance sheet analysis:
Other current assets witnessed an immense and rapid decline from the year 2010 to 2011 (1,651 million USD).
1,186 million USD fall in total current assets during the past three years; steady but sizable drop in total current assets.
Total assets accumulated to 10,686 million USD in 2013 which is 990 million USD more than what it used to be back in 2010
Short term debt worth 1,501 million USD in 2010 is no longer existent
Total current liabilities dropped by a substantial value of 1,481 million USD between 2010 and 1013
Total long term debt has seen a minor fall between 2010 and 2011 then continued to grow till 2013 creating an additional 509 million USD in total long term debt
Total debt has slumped 992 million USD the past three years
Other liabilities fell in 2011 (215 million USD), in 2012 other liabilities accumulated a sizable addition of 374 million USD with respect to its value in the previous year
Total liabilities plunged over the past three years by 1,068 million USD
The balance of the retained earnings account is negative (accumulated deficit) and it has amplified by 2,629 million USD
Total equity boosted by 2,058 million USD the past three years
Total liabilities and shareholders equity has steadily increased by 990 million USD over the past seen years
Liquidity ratios (2013):
I. Working capital ratio:
Current assets-current liabilities=
4,983-1,603=
$3,380 million USD
The company will be able to meet its current obligations; it is more likely to make its payments on time.
II. Current ratio:
Current assets/current liabilities=
4,983/1,603=
3.11
This value generally indicates good short-term financial strength, it can also be a indicator that the company has problems getting paid on its receivable or have long inventory turnover, both symptoms that the company may not be efficiently using its current assets.
III. Quick ratio (acid test ratio):
[(cash+short term