Financial Management
Executive Summary
The purpose of this assignment is to analyze the financial position of John Keells Holdings PLC. The author has consisted only JKH PLC along and not its subsidiaries (group). The author has made use eleven ratios to analyze the financial position of the company. The ratios that he has used are Return on Investment (ROI), Return to shareholders, Return on Capital Employed (ROCE), Earnings per share (EPS), Price-Earnings Ratio (P/E), Dividend yield, Dividend payout, Gearing ratio, Interest cover, Current ratio and Acid test ratio. The author was not able to use the gross profit ratio, net profit ratio and working capital turnover because since only JKH PLC is considered and not its subsidiaries, the total sales figure obtained is incorrect to be used in this ratio. To obtain the actual net profit ratio, net profit ratio and working capital then the entire group should be considered. The author was not able to use the Debtors collection period and Creditors collection period because JKH being a holdings company does not have any purchases. Also all its debtors are its subsidiaries and cannot be used to calculated the collection period.
Table of Contents
Introduction1
About the company2
Models / Content2
Research4
Return on Investment5
Return on Capital Employed6
Earnings per share6
Price-Earnings Ratio6
Dividend Yield7
Dividend Payout7
Gearing Ratio8
Interest Cover8
Current ratio8
Acid Test ratio9
Analysis and Evaluation10
Profitability11
Efficiency12
Investment13
Capital Structure14
Liquidity15
Conclusion16
Summary17
Reflection18
References19
Appendix21
Risk Management22
Share Information23
Balance Sheet26
Income Statement27
Number of Shares28
About the company
John Keells Holdings PLC is a holding company. It is a Sri Lanka-based conglomerate, with business interests in property, leisure, transportation, consumer foods and retail, financial services, information technology (IT) and related services. In Sri
The purpose of this assignment is to analyze the financial position of John Keells Holdings PLC. The author has consisted only JKH PLC along and not its subsidiaries (group). The author has made use eleven ratios to analyze the financial position of the company. The ratios that he has used are Return on Investment (ROI), Return to shareholders, Return on Capital Employed (ROCE), Earnings per share (EPS), Price-Earnings Ratio (P/E), Dividend yield, Dividend payout, Gearing ratio, Interest cover, Current ratio and Acid test ratio. The author was not able to use the gross profit ratio, net profit ratio and working capital turnover because since only JKH PLC is considered and not its subsidiaries, the total sales figure obtained is incorrect to be used in this ratio. To obtain the actual net profit ratio, net profit ratio and working capital then the entire group should be considered. The author was not able to use the Debtors collection period and Creditors collection period because JKH being a holdings company does not have any purchases. Also all its debtors are its subsidiaries and cannot be used to calculated the collection period.
Table of Contents
Introduction1
About the company2
Models / Content2
Research4
Return on Investment5
Return on Capital Employed6
Earnings per share6
Price-Earnings Ratio6
Dividend Yield7
Dividend Payout7
Gearing Ratio8
Interest Cover8
Current ratio8
Acid Test ratio9
Analysis and Evaluation10
Profitability11
Efficiency12
Investment13
Capital Structure14
Liquidity15
Conclusion16
Summary17
Reflection18
References19
Appendix21
Risk Management22
Share Information23
Balance Sheet26
Income Statement27
Number of Shares28
About the company
John Keells Holdings PLC is a holding company. It is a Sri Lanka-based conglomerate, with business interests in property, leisure, transportation, consumer foods and retail, financial services, information technology (IT) and related services. In Sri