| Growth Profitability and Financial Ratios for Alamo Group Inc | ||||
| Financials | ||||
| 2015-12 | 2016-12 | 2017-12 | TTM | |
| Revenue USD Mil | 880 | 845 | 912 | 935 |
| Gross Margin % | 23 | 24.3 | 25.7 | 25.8 |
| Operating Income USD Mil | 67 | 68 | 89 | 90 |
| Operating Margin % | 7.6 | 8 | 9.7 | 9.6 |
| Net Income USD Mil | 43 | 40 | 44 | 47 |
| Earnings Per Share USD | 3.76 | 3.46 | 3.79 | 3.98 |
| Dividends USD | 0.32 | 0.36 | 0.4 | 0.41 |
| Payout Ratio % * | 8.2 | 9.2 | 9.3 | 10.3 |
| Shares Mil | 11 | 12 | 12 | 12 |
| Book Value Per Share * USD | 31.2 | 33.93 | 38.57 | 40.02 |
| Operating Cash Flow USD Mil | 53 | 76 | 71 | 44 |
| Cap Spending USD Mil | -15 | -10 | -13 | -19 |
| Free Cash Flow USD Mil | 37 | 66 | 57 | 25 |
| Free Cash Flow Per Share * USD | 2.35 | 4.65 | 4.89 | |
| Working Capital USD Mil | 278 | 249 | 291 | |
| Key Ratios -> Profitability | ||||
| Margins % of Sales | 2015-12 | 2016-12 | 2017-12 | TTM |
| Revenue | 100 | 100 | 100 | 100 |
| COGS | 76.98 | 75.72 | 74.28 | 74.25 |
| Gross Margin | 23.02 | 24.28 | 25.72 | 25.75 |
| SG&A | 15.45 | 16.27 | 16 | 16.14 |
| R&D | ||||
| Other | ||||
| Operating Margin | 7.56 | 8 | 9.73 | 9.61 |
| Net Int Inc & Other | 0.04 | -0.64 | -0.7 | -0.66 |
| EBT Margin | 7.6 | 7.36 | 9.03 | 8.95 |
| Profitability | 2015-12 | 2016-12 | 2017-12 | TTM |
| Tax Rate % | 35.38 | 35.61 | 46.2 | 44.18 |
| Net Margin % | 4.91 | 4.74 | 4.86 | 5 |
| Asset Turnover (Average) | 1.43 | 1.46 | 1.53 | 1.35 |
| Return on Assets % | 7.01 | 6.93 | 7.43 | 6.77 |
| Financial Leverage (Average) | 1.67 | 1.43 | 1.42 | 1.6 |
| Return on Equity % | 12.38 | 10.7 | 10.59 | 10.75 |
| Return on Invested Capital % | 9.19 | 9.09 | 9.72 | 8.74 |
| Interest Coverage | 10.94 | 11.52 | 18.02 | 18.26 |
| Key Ratios -> Growth | ||||
| 2015-12 | 2016-12 | 2017-12 | Latest Qtr | |
| Revenue % | ||||
| Year over Year | 4.83 | -3.96 | 8.01 | 10.54 |
| 3-Year Average | 11.86 | 7.67 | 2.83 | |
| 5-Year Average | 10.89 | 6.95 | 7.74 | |
| 10-Year Average | 9.1 | 6.35 | 6.11 | |
| Operating Income % | ||||
| Year over Year | 6.17 | 1.64 | 31.23 | 6.27 |
| 3-Year Average | 13.08 | 10.05 | 12.3 | |
| 5-Year Average | 16.6 | 6.02 | 14.04 | |
| 10-Year Average | 13.42 | 11.37 | 14.05 | |
| Net Income % | ||||
| Year over Year | 5 | -7.32 | 10.66 | |
| 3-Year Average | 14.34 | 3.52 | 2.5 | |
| 5-Year Average | 15.4 | 4.54 | 8.92 | |
| 10-Year Average | 14.36 | 13.3 | 13.62 | |
| EPS % | ||||
| Year over Year | 9.94 | -7.98 | 9.54 | 18.1 |
| 3-Year Average | 16.14 | 5.34 | 3.48 | |
| 5-Year Average | 16.13 | 5.24 | 9.57 | |
| 10-Year Average | 12.68 | 11.55 | 11.82 | |
| Key Ratios -> Cash Flow | ||||
| Cash Flow Ratios | 2015-12 | 2016-12 | 2017-12 | TTM |
| Operating Cash Flow Growth % YOY | 0.74 | 0.44 | -0.06 | |
| Free Cash Flow Growth % YOY | 0.82 | 0.77 | -0.13 | |
| Cap Ex as a % of Sales | 1.76 | 1.16 | 1.48 | 2.02 |
| Free Cash Flow/Sales % | 4.22 | 7.79 | 6.28 | 2.7 |
| Free Cash Flow/Net Income | 0.86 | 1.64 | 1.29 | 0.54 |
| Key Ratios -> Financial Health | ||||
| Balance Sheet Items (in %) | 2015-12 | 2016-12 | 2017-12 | Latest Qtr |
| Cash & Short-Term Investments | 4.46 | 3.04 | 3.97 | 10.17 |
| Accounts Receivable | 29.79 | 30.82 | 32.24 | 31.65 |
| Inventory | 24.98 | 24.56 | 24.32 | 22.55 |
| Other Current Assets | 0.9 | 0.85 | 0.83 | 1.05 |
| Total Current Assets | 60.13 | 59.27 | 61.36 | 65.41 |
| Net PP&E | 17.98 | 17.66 | 16.44 | 15.32 |
| Intangibles | 21.29 | 22.59 | 21.52 | 18.36 |
| Other Long-Term Assets | 0.6 | 0.49 | 0.68 | 0.91 |
| Total Assets | 100 | 100 | 100 | 100 |
| Accounts Payable | 7.54 | 7.8 | 8.73 | 8.29 |
| Short-Term Debt | 0.01 | 0.01 | 0.01 | 0.04 |
| Taxes Payable | 0.58 | 0.84 | 0.92 | 0.74 |
| Accrued Liabilities | 5.96 | 2.08 | 1.95 | 4.46 |
| Other Short-Term Liabilities | 3.5 | 4.23 | ||
| Total Current Liabilities | 14.09 | 14.24 | 15.85 | 13.53 |
| Long-Term Debt | 23.86 | 12.67 | 9.38 | 19.71 |
| Other Long-Term Liabilities | 2.32 | 2.96 | 4.56 | 4.23 |
| Total Liabilities | 40.27 | 29.86 | 29.79 | 37.47 |
| Total Stockholders' Equity | 59.73 | 70.14 | 70.21 | 62.53 |
| Total Liabilities & Equity | 100 | 100 | 100 | 100 |
| Liquidity/Financial Health | 2015-12 | 2016-12 | 2017-12 | Latest Qtr |
| Current Ratio | 4.26 | 4.16 | 3.87 | 4.83 |
| Quick Ratio | 2.43 | 2.38 | 2.29 | 3.09 |
| Financial Leverage | 1.67 | 1.43 | 1.42 | 1.6 |
| Debt/Equity | 0.4 | 0.18 | 0.13 | 0.32 |
| Key Ratios -> Efficiency Ratios | ||||
| Efficiency | 2015-12 | 2016-12 | 2017-12 | TTM |
| Days Sales Outstanding | 73.31 | 75.32 | 75.23 | 84.12 |
| Days Inventory | 85.4 | 81.75 | 78.45 | 81.39 |
| Payables Period | 25.13 | 25.29 | 26.65 | 30.54 |
| Cash Conversion Cycle | 133.58 | 131.78 | 127.03 | 134.96 |
| Receivables Turnover | 4.98 | 4.85 | 4.85 | 4.34 |
| Inventory Turnover | 4.27 | 4.46 | 4.65 | 4.48 |
| Fixed Assets Turnover | 8.25 | 8.2 | 9 | 8.96 |
| Asset Turnover | 1.43 | 1.46 | 1.53 | 1.35 |
Alamo Group (ALG) The Company is a leader in the design and manufacture of high-quality agricultural equipment and infrastructure maintenance equipment for governmental and industrial use. The company is headquartered in Seguin, Texas. considering an investment in the common stock of Alamo Group, Inc is this possible?
In: Finance
In 2021, the Westgate Construction Company entered into a contract to construct a road for Santa Clara County for $10,000,000. The road was completed in 2023. Information related to the contract is as follows:
| 2021 | 2022 | 2023 | |||||||
| Cost incurred during the year | $ | 2,610,000 | $ | 3,162,000 | $ | 2,230,800 | |||
| Estimated costs to complete as of year-end | 6,390,000 | 2,028,000 | 0 | ||||||
| Billings during the year | 2,100,000 | 3,672,000 | 4,228,000 | ||||||
| Cash collections during the year | 1,850,000 | 3,000,000 | 5,150,000 | ||||||
Westgate recognizes revenue over time according to percentage of completion.
5. Calculate the amount of revenue and gross profit (loss) to be recognized in each of the three years assuming the following costs incurred and costs to complete information. (Do not round intermediate calculations and round your final answers to the nearest whole dollar amount. Loss amounts should be indicated with a minus sign.)
| 2021 | 2022 | 2023 | |||||||
| Costs incurred during the year | $ | 2,610,000 | $ | 3,850,000 | $ | 4,050,000 | |||
| Estimated costs to complete as of year-end | 6,390,000 | 4,200,000 | 0 | ||||||
In: Accounting
Multiple-Product Break-even, Break-Even Sales Revenue Cherry Blossom Products Inc. produces and sells yoga-training products: how-to DVDs and a basic equipment set (blocks, strap, and small pillows). Last year, Cherry Blossom Products sold 13,500 DVDs and 4,500 equipment sets. Information on the two products is as follows: DVDs Equipment Sets Price $8 $25 Variable cost per unit 4 15 Total fixed cost is $76,680. Suppose that in the coming year, the company plans to produce an extra-thick yoga mat for sale to health clubs. The company estimates that 9,000 mats can be sold at a price of $18 and a variable cost per unit of $11. Total fixed cost must be increased by $25,560 (making total fixed cost $102,240). Assume that anticipated sales of the other products, as well as their prices and variable costs, remain the same.
Compute the break-even quantity of each product.
In: Accounting
1)A perfectly competitive firm computes total revenue as A)MC x MR
B)Price x Fixed Costs
c)Price x MC
D)Price x Quantity
2)A perfectly competitive firm should shut down when
a)it cannot cover its total costs
b)it cannot cover its total revenue
c)it cannot cover its marginal revenue
d)it cannot cover its variable costs
3)Perfectly competitive firm Doggies Paradise Inc. sells winter coats for dogs. Dog coats sell for $62 each. The fixed costs of production are $150. The total variable costs are $64 for one unit, $84 for two units, $114 for three units, $184 for four units, and $270 for five units. What is the marginal cost of going from two units of output to three units of output?
4)Which of the following is true about demand in a perfectly competitive environment?
A)Price < MR
B)Price = MC
C)MC < Price
d)MR > MC
5)A firm may enter a perfectly competitive market when...
A)it sees short run economic profits
B)it sees short run economic losses
C)it sees short run economic costs
D)the price is below the shutdown point
6)Perfectly competitive markets...
A)use fixed cost pricing
B)display allocation efficiency
C)display allocation inefficiency
d)avoid marginal cost pricing
7)Which is of the following is NOT an assumption of perfect competition?
A)imperfect information
B)homogeneous product
C)perfect information
d)no barriers to entry
8)In the long run , a perfectly competitive firm can expect...
a)negative economics profits
B)zero economic profits
C)many fixed inputs
D)positive economic profits
9)What rule does a perfectly competitive firm use to determine its profit maximizing level of output?
MC = ATC
MR = TR
MR = AFC
MC = MR
10)Firms is a perfectly competitive market are.
unaffected by price
unaffected by costs
price takers
price setters
In: Economics
Problem 3-23
Fiterman Inc. has the following summarized financial statements ($000):
| INCOME STATEMENT | |
| Revenue | $25,970 |
| Cost/Expense | 16,039 |
| EBIT | $ 9,931 |
| Interest (8%) | 1,210 |
| EBT | $ 8,721 |
| Tax (35%) | 3,052 |
| Net income | $ 5,669 |
| BALANCE SHEET | ||||
| Assets | Liabilities&Equity | |||
| Current Assets | $ 8,217 | Current Liabilities | $ 7,042 | |
| Fixed Assets | 30,636 | Debt | $17,167 | |
| Equity | 14,644 | |||
| Total Capital | $31,811 | |||
| Total Assets | $38,853 | Total Liab&Equity | $38,853 | |
Fiterman’s equity investors have typically demanded an expected return of at least 25% before they will buy the company’s stock. Evaluate Fiterman’s performance using both ROE and EVA® approaches. Do not round intermediate calculations. Round your answer for ROE to one decimal place, don't include the "%". Round your answer for EVA® to the nearest dollar, don't include the "$".
ROE %
EVA® $
In: Finance
| BiltMore Bicyle Corporation+B2:C23B14B2:C22 | |
| Consolidated Income Statement | |
| For the Year Ended December 31, 2018 | |
| Revenue | |
| Sales | 57,304,000 |
| Sale Return | -221,600 |
| Net Sales | 57,082,400 |
| Cost of Goods sold | -5,771,950 |
| Contribution Margin | 51,310,450 |
| Expenses: | |
| Corporate Salaries | 3500000 |
| Corporate benefits | 1250000 |
| Salaries and benefits (retail staff) | 398,268 |
| Utility expense | 145,400 |
| Supply expense | 1,540,000 |
| Interest expense | 700,000 |
| Marketing cost | 210,000 |
| Contribution and Community Involvement | 58,000 |
| Direct Cost | 9,196,000 |
| Labor: Variable | 1,408,000 |
| Labor: fixed | 1,280,000 |
| Supervision | 1,200,000 |
| Energy: Variable | 1,440,000 |
| Energy:fixed | 1,240,000 |
| Depreciation | 2,700,000 |
| Head office | 2,280,000 |
| Other cost | 2,967,000 |
| Total Expenses | 31,512,668 |
| Operating Income | 19,797,782 |
| Income tax | 5,741,356.78 |
| Net Income | 14,056,425.22 |
|
Profit margin complete a vertical analysis where total Sales = 100%. Then compute the following financial ratios: Contribution Margin % Profit Margin % |
27% |
In: Accounting
You are a real estate agent thinking of placing a sign advertising your services at a local bus stop. The sign will cost
$5,500
and will be posted for one year. You expect that it will generate additional revenue of
$715
a month. What is the payback period?
In: Finance
Assume consumers are operating on the elastic portion of the demand curve and the firm meeting this demand increases the price of the good. What can one conclude about the impact on the quantity demanded (%∆QDrelative to %∆P) and on the revenue the firm receives (or, equivalently, the consumers expend)?
In: Economics
In what way(s) is a monopolistically competitive firm inefficient?
a. it charges a price lower than marginal cost
b. it does not produce at the minimum of its average cost curve
c. it produces where marginal revenue is equal to marginal cost
In: Economics
If an existed dairy industry start new product line ( evaporated filled milk) and the market structural is monopolistic, how can i apply the managerial economic aspects and curve?(elasticity, when it gain it's revenue)..in short and long run
In: Economics