Question

Publicly traded corporations are required to file an annual report each year. Please locate an annual report for a publicly traded corporation. In your post, attach a copy of the latest annual report you found. Summarize what the company you chose does, and state what type of business this company is in. Would the company fall under the category of a service, merchandising, or manufacturing operation? Explain how this is evident in the financial statements. Summarize what you found in this annual financial filing.

300 words

Answer 1

NAME OF COMPANY- TARGET CORPORATION

A) COPY OF LATEST ANNUAL REPORT OF TARGET CORPORATION

https://investors.target.com/annual-reports

B) TARGET CORPORATION is a retail company offering everyday essentials and general merchandise at discounted prices.

C) TYPE OF BUSINESS-Merchandising.

D) HOW THIS IS EVIDENT IN THE FINANCIAL STATEMENT ?

Reference can be had from notes on financial statement page no.40 of annual report.

Revenues (millions)                                                        2019                     2018                       2017

Apparel and accessories ($ )                                        14,304                  13,434              13,323

Beauty and household essentials ($)    20,616                 19,296              18,364

Food and beverage ($)                                                   15,039                  14,585                 14,256

Hardlines ($) 12,595                  12,709                 12,062

Home furnishings and decor ($) 14,430                  14,298                  13,672

Other($) 146                       111                        109

Sales ($) 77,130                 74,433                  71,786

Credit card profit sharing($) 680                        673                       694

Other($) 302                        250                        234

Other revenue ($) 982                        923                        928

Total revenue ($ )                                                            78,112                  75,356                 72,714

E) SUMMARY IN ANNUAL FILING::

The company has maintained a steady gross margin of 28% over the years which is a healthy sign for any business.

Operating margin has improved from 5.5% in 2018 to 6.0% in 2019.

Revenue per square foot has improved from $314 in 2018 to $326 in 2019. It shows the efficiency of store’s management in generating revenues from the store’s space available to them.

PAT has increased from $2937 in 2018 to $3281 in 2019, a growth of 11.7% , indicates that growth trajectory is on upward side.