Kelloggs Analysis
Strategic Marketing
Internal Analysis Project
October 2010
Kellogg’s is a food manufacturing company whose principal products are ready-to-eat cereals and convenience foods, such as cookies, crackers, toaster pastries, cereal bars, fruit snacks, frozen waffles and veggie foods. These products are manufactured in 18 countries and marketed in more than 180 countries. The cereal products are generally marketed under the Kellogg’s name and are sold principally to the grocery trade through direct sales forces for resale to consumers. (Kellogg's, 2010)
In this report I will primarily be looking at Kellogg companies financial reports for the last five years. I'll be analysing the trends survey predictions can be made the future. These predictions will allow the company to create strategies on how to bring the company forward in the future.
Net Sales
Net sales show the amount of sales generated by company after the deductions of returns, allowances are damaged or missing goods and any discounts allowed. (Investopedia)
Year | 2005 | 2006 | 2007 | 2008 | 2009 | Net Sales ($ Millions) | 10,117,000 | 10,907,000 | 11,776,000 | 12,822,000 | 12,575,000 |
(Kellogg's, 2010)
Kellogg Company has shown steady growth in net sales from the year 2005 to 2008, reaching a peak of just under $13 billion. In 2009 financial year the company suffered a slight dip, but was to be expected with the financial crisis. With the exception of this slight dip, I would expect the growth of Kellogg Company to carry on from the next financial year along a similar trajectory that was experienced between 2005 2008.
Operating profit
Operating profit or Earnings before Interest and Tax (EBIT) is the profit from a firm's core business operations. It does not include profit from a firm’s investment or the effects of interest and taxes. (Investopedia)
Year | 2005 | 2006 | 2007 | 2008 | 2009 | Operating Profit (millions) | 1750 | 1766 | 1868 | 1953 | 2001 |
(Kellogg's, 2010)
Internal Analysis Project
October 2010
Kellogg’s is a food manufacturing company whose principal products are ready-to-eat cereals and convenience foods, such as cookies, crackers, toaster pastries, cereal bars, fruit snacks, frozen waffles and veggie foods. These products are manufactured in 18 countries and marketed in more than 180 countries. The cereal products are generally marketed under the Kellogg’s name and are sold principally to the grocery trade through direct sales forces for resale to consumers. (Kellogg's, 2010)
In this report I will primarily be looking at Kellogg companies financial reports for the last five years. I'll be analysing the trends survey predictions can be made the future. These predictions will allow the company to create strategies on how to bring the company forward in the future.
Net Sales
Net sales show the amount of sales generated by company after the deductions of returns, allowances are damaged or missing goods and any discounts allowed. (Investopedia)
Year | 2005 | 2006 | 2007 | 2008 | 2009 | Net Sales ($ Millions) | 10,117,000 | 10,907,000 | 11,776,000 | 12,822,000 | 12,575,000 |
(Kellogg's, 2010)
Kellogg Company has shown steady growth in net sales from the year 2005 to 2008, reaching a peak of just under $13 billion. In 2009 financial year the company suffered a slight dip, but was to be expected with the financial crisis. With the exception of this slight dip, I would expect the growth of Kellogg Company to carry on from the next financial year along a similar trajectory that was experienced between 2005 2008.
Operating profit
Operating profit or Earnings before Interest and Tax (EBIT) is the profit from a firm's core business operations. It does not include profit from a firm’s investment or the effects of interest and taxes. (Investopedia)
Year | 2005 | 2006 | 2007 | 2008 | 2009 | Operating Profit (millions) | 1750 | 1766 | 1868 | 1953 | 2001 |
(Kellogg's, 2010)
Bibliography: Investopedia. (n.d.). Investopedia Net Sales. Retrieved October 10, 2001, from investopedia.com: www.investopedia.com/terms/n/netsales.asp Kellogg 's. (2010). Kelloggs Company 2009 Annual Report. Michigan: Kellogg Company. Wiki Invest. (n.d.). wikinvest.com. Retrieved October 12, 2010, from Wili Invest: www.wikinvest.com/stock/kellogg_company_(k)