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Pan Pacific Swot

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Pan Pacific Swot
Profitability Ratio Analysis

Profitability Ratio | 2008 | 2009 | 2010 | 2011 | 2012 | Gross profit | 51.15% | 48.80% | 50.45% | 49.01% | 48.13% | Net profit | 4.33% | 13.35% | 17.56% | 25.18% | 19.40% | Expenses ratio | 6.14% | 4.79% | 5.11% | 6.10% | 6.17% | ROA | 0.015 | 0.037 | 0.056 | 0.076 | 0.063 | ROE | 0.024 | 0.069 | 0.102 | 0.162 | 0.130 | ROCE | 0.035 | 0.048 | 0.069 | 0.086 | 0.075 |
Table 3.1 Profitability Ratios (Year 2008 - 2012)
From the calculation, the gross profit maintains at a level of 48% to 52% from 2008 to 2012. Net profit increased rapidly from 2008 to 2009 (4.33%-13.35%) while the expenses ratio dropped from 6.14% to 4.79%. Then net profit reached the highest value of about 25.18% in 2011 but dropped about 6% in the following year. At the same time, expenses ratio increased for about 0.07% in 2012. The return on assets increased about 0.02% from year2008 to year 2011 but dropped in 2012.The return on equity (ROE) has also increased from 2008 to 2011 and declined in 2012. The return on capital employed (ROCE) climbed up about 0.015% from 2008 to 2011 each year and dropped about 0.01% in 2012.
As we can see from the table above, data for 2011 is the highest among all. Because of the economic crisis exploded in 2008 and the frustration of the global economic environment, the economic benefit of this company in this year is less than the other five years, so it reflected in the record of every ratio above in 2008. The data from every profitability ratio showing a steady upward trend, it`s a good sign.

Liquidity Ratio Analysis

Liquidity Ratio | 2008 | 2009 | 2010 | 2011 | 2012 | Current ratio | 0.931 | 2.323 | 1.012 | 0.366 | 0.601 | Quick ratio | 0.899 | 2.288 | 1.001 | 0.361 | 0.554 | Cash ratio | 0.608 | 1.272 | 0.396 | 0.242 | 0.354 |
Table 3.2 Liquidity Ratios (Year 2008 - 2012)
The Current ratio for Pan Pacific increased about 1.4 from 2008 to 2009 and then declined 1.3 in 2010 followed by a slight
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