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Sports Direct Financial Analysis

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Sports Direct Financial Analysis
BUSINESS ACCOUNTING

AC1010

SPORTS DIRECT INTERNATIONAL PLC.

Table of Contents

1.0 Overview………………………………………………………………………………….3

2.0 Company Background………………………………………………………..………….3

3.0 Performance during the last 5 years…………………………………………………….3

4.0 Ratios Analysis……………………………………………………………………………4 * 4.1 Earning per Share Ratio…………………………………………………..4

* 4.2 Quick Ratio……………………………………………………………….5

* 4.3 Current Ratio……………………………………………………………..6

* 4.4 ROCE Ratio………………………………………………………..……..6

5.0 Company Funding and Gearing…………………………………………………………7

6.0 Qualitative Issues………………………………………………………..………………..8

7.0 Conclusion…………………………………………………………...…..………………..8

8.0 References………………………………………………………………..………………..8

9.0 Appendices………………………………………………………………………………..9 * 9.1 Appendix 1 Balance Sheet……………………………………………….9

* 9.2 Appendix 2 Income Statement…..……………………………………...11

* 9.3 Appendix 3 Key Ratios……………………………………….………...13

1.0 Overview
This paper will examine Sports Direct International Company and will provide an analysis of their performance during last 5 years. Also, the paper will include a financial analysis, 4 ratios, how the company is funding, qualitative issues and their attitude towards the environment.

2.0 Company Background
Sports Direct International Plc. was established in 1982 and first shop was opened in Maidenhead, formerly named as Mike Ashley Sports. It is a holding company that employs 16.00 employees in UK and more than 2000 in abroad. Total revenue of the company is 1.67bn. Sports Direct International is a leading sports retailer in the UK. Additionally, they are trying to operate internationally (mainly in Europe). The company has now 393 stores in the UK (except Northern Ireland) and operates under the Sportsdirect.com, Field&Trek and Lillywhites. This retailing company is dealing with sports and leisure equipment. During their existence the company acquired several brands and purchased Everlast


References: Sportsdirectplc, www.sportsdirectplc.com, [online] http://www.sportsdirectplc.com/investor-relations/annual-reports-and-presentations.aspx, [Accessed on 17 April 2012] Sportsdirectplc, www.sportsdirectplc.com, [online] http://www.sportsdirectplc.com/corporate-governance.aspx, [Accessed on 17 April 2012] Sportsdirectplc, www.sportsdirectplc.com, [online] http://www.sportsdirectplc.com/corporate-responsibility.aspx, [Accessed on 17 April 2012] Markets.ft, http://markets.ft.com [online] http://markets.ft.com/Research/Markets/Tearsheets/Summary?s=SPD:LSE, [Accessed on 16 April 2012] Markets.ft, http://markets.ft.com, [online] http://markets.ft.com/Research/Markets/Tearsheets/Financials?s=SPD:LSE, [Accessed on 16 April 2012] Markets.ft, http://markets.ft.com, [online] http://markets.ft.com/Research/Markets/Tearsheets/Business-profile?s=SPD:LSE, [Accessed on 16 April 2012] Shares.telegraph, http://shares.telegraph.co.uk, [online] http://shares.telegraph.co.uk/fundamentals/?section=profile&epic=SPD, [Accessed on 16 April 2012] Tools.morningstar, http://tools.morningstar.co.uk, [online] http://tools.morningstar.co.uk/uk/stockreport/default.aspx?tab=10&vw=is&SecurityToken=0P000093JK]3]0]E0WWE$$ALL&Id=0P000093JK&ClientFund=0&CurrencyId=GBP, [Accessed on 14 April 2012] Dyson.John R., 2010, Accounting for non-accounting students, 8 ed., Pearson Education Limited, Harlow
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