Preview

Financial Ratios and Popular Holdings

Powerful Essays
Open Document
Open Document
11745 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Financial Ratios and Popular Holdings
Course Instructor
Professor Goh Beng Wee

Team Members
Ng Si Yong
Lo Yeow Fong
Charissa Sim
Yik Jia Qi
Ong Shu Fang acct103-G4 Analysis of Popular Holdings Limited
Financial Accounting Term Project

(for OBHR 001 – Leadership and Teambuilding)

Executive Summary
Popular Holdings is a main board listed company in Singapore. It was incorporated in Singapore on 5 October 1996 as a private company under Popular Holdings Limited and the principal activity is that of an investment holding. Popular Holdings has many subsidiary companies and most of them are engaged in diverse activities such as retail and publishing, e-Learning and recently, property development.

Focus on Strong Fundamentals and Innovation
Over the years, Popular Holding started out from a bookstore and expanded to an investment holding company with diverse footholds in different businesses. It was able to achieve a dominant position in the book retail business as it continuously changed its business models to adapt to the times. In the 1970s, Popular Holdings positioned itself as the only bilingual bookstore chain in Singapore and it later brought the same concept to Malaysia. Then, Popular Holdings recognized the potential of suburban areas, and started opening new stores. It is one of the most successful book retail and publishing businesses.

Concern for Growth
Popular Holdings has been experiencing margin compression for its retail business. Also while Popular Holdings has tried to invest in other areas such as property in FY 2006, the recent financial turmoil in FY 2008 has caused Popular Land, a subsidiary, unable to sell off its up market residential properties in Singapore. This is a cause for concern because Popular Holdings has borrowed heavily to finance its purchase and development of the properties. If it still cannot sell off its properties in the long run, it may run into cash flow problems and this may affect its future growth negatively. The bleak economy in the
Continue Reading
View Writing Issues

You May Also Find These Documents Helpful

  • Good Essays

    Cost Accounting Cc2 Unit 2
    • 2988 Words
    • 12 Pages

    Cost Accounting Cc2 Unit 2

    Operating cash flow before working capital changes has largely fluctuated, increasing to a peak in 2006 and falling again. The highest point can be observed in 2008. Finance costs have decreased in 2008 by almost half. Stores and stocks increase at a steady rate but show a spike in 2008. Trade debts reach a peak in 2006 and then fluctuate. Other receivables, however, show an increase. Net cash from operating activities shows a peak in 2006. The greatest addition to plant, property and equipment is witnessed in 2008. Net cash used in investing activities reaches a peak t 2008. Net cash used in financing activities shows an upward trend with a peak in 2008. Cash and cash equivalents show a peak in 2008, with a smaller peak in 2006. *CC5 FIVE-YEAR GROWTH RATES Sales and net-income have increased over the years but the per-share results are different because the number of shares goes up considerably in 2008, reducing per-share values and making growth rates negative. No dividends were paid in the first two years and as a result, the growth in dividends per share has been 100%. Equity per share has shown a growth over the years. Issuing more shares has resulted in lower sales and net income per share. The negative effect is especially felt on net income per share. This is not a good sign for the company, as it will negatively affect share prices financial markets. Financing the expansion in 2008 with a growth in equity seems to have been an unreasonable…

    • 2988 Words
    • 12 Pages
    Good Essays
    Read More
  • Good Essays

    FINANCIAL RATIOS
    • 616 Words
    • 4 Pages

    FINANCIAL RATIOS

    Financial ratios are indicators of a company’s performance as discernable from the company’s Balance Sheet and income Statement. We will discuss some of the simple ratios of a company and talk about their significance.…

    • 616 Words
    • 4 Pages
    Good Essays
    Read More
  • Powerful Essays

    Tno Inc Audit Case
    • 12792 Words
    • 52 Pages

    Tno Inc Audit Case

    The decrease in the property market ultimately decreases the value of assets in TNO Ltd and such presents the risk of overstatement of the value, or understatement of the impairment of the property. This influences the current liquidity ratios, and may be the reason for an increased ratio (Appendix B), when there should be a decline as indicators have presented. This is mainly apparent in the director 's valuation of investment properties. (Note 8 of the financial reports). One property has not decreased from the previous year, and one was purchased in the current year. This could be an indication of a fraudulent…

    • 12792 Words
    • 52 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Barnes And Noble Case Analysis
    • 160 Words
    • 1 Page

    Barnes And Noble Case Analysis

    Barnes and Noble, which is America’s largest retail bookseller, is losing its pace in the book business. Its market share is declining from past couple of years with huge amount of lose. Majority of its business and marketing efforts are falling short to recover its constantly slowing down pace.…

    • 160 Words
    • 1 Page
    Satisfactory Essays
    Read More
  • Powerful Essays

    Financial Accounting Exxon Shell Case
    • 1407 Words
    • 20 Pages

    Financial Accounting Exxon Shell Case

    Background information. Exxon Mobil Corporation was incorporated in the State of New Jersey in 1882. Divisions and affiliated companies of ExxonMobil operate or market products in the United States and most other countries of the world. Their principal business is energy, involving exploration for, and production of, crude oil and natural gas, manufacture of petroleum products and transportation and sale of crude oil, natural gas, and petroleum products.…

    • 1407 Words
    • 20 Pages
    Powerful Essays
    Read More
  • Good Essays

    Financial Ratios
    • 536 Words
    • 3 Pages

    Financial Ratios

    The creditable performance calculation for the Valley of the Sun United Way (VSUW) is used to guarantee that their organization will perform at their most likely current ratio, long-term solvency ratio, contribution ratio, and general and management/expense ratio (Goetsch & Davis, 2010).…

    • 536 Words
    • 3 Pages
    Good Essays
    Read More
  • Powerful Essays

    Module 5 Econ Project
    • 1810 Words
    • 8 Pages

    Module 5 Econ Project

    3. Negative domestic real rates have caused bubbly property prices, if these prices do not come down then Singapore could face an economic crisis.…

    • 1810 Words
    • 8 Pages
    Powerful Essays
    Read More
  • Satisfactory Essays

    Financial Ratios
    • 273 Words
    • 2 Pages

    Financial Ratios

    Current Ratio- the current ratio is current assets divided by current liabilities. In the data from 2002 in Appendix D the current assets equal $104,296.00 and the current liabilities equal $139,017.00 the current ratio equals 0.75.…

    • 273 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Good Essays

    alz paper
    • 636 Words
    • 3 Pages

    alz paper

    After many years of operating within the Australian property development market, Australand now enjoys a huge stake. Moreover, the company runs on approximately 2.595 million dollar market stake. However, with the Australian property market being fairly volatile, the EPS growth rate equally remains fairly unpredictable. For instance, in 2013’s quarter 1, the company posted a -0.2721% growth before reverting the rate to 0.8983% in quarter 4 of the year. Moreover, the company realized a 28.1744% percentage P/E in 2013. As such, the company still trails behind some of its peers in the property market as well as the entire sector as well. For instance, Australand now runs way below the market capitalization of Scentre, Stockland and Westfield Corp among others.…

    • 636 Words
    • 3 Pages
    Good Essays
    Read More
  • Good Essays

    Financial Ratios and Net Income
    • 789 Words
    • 4 Pages

    Financial Ratios and Net Income

    A new firm is developing its business plan. It will require $615,000 of assets, and it projects $450,000 of sales and $355,000 of operating costs for the first year. Management is reasonably sure of these numbers because of contracts with its customers and suppliers. It can borrow at a rate of 7.5%, but the bank…

    • 789 Words
    • 4 Pages
    Good Essays
    Read More
  • Best Essays

    Financial Ratios and Ratio
    • 4182 Words
    • 17 Pages

    Financial Ratios and Ratio

    This report provides a financial quarterly trend analysis for Costco Wholesale Corporation, Inc. founded in 1983. Costco Wholesale Corporation is the seventh largest retailer company in the world. As of July 2012, it was the fifth largest retailer, and the largest membership warehouse club chain in the United States ("Wikipedia, the free," 2011). Costco Wholesale Corporation’s stock is publicly traded on the National Association of Securities Dealers Automated Quotation (NASDAQ) under the symbol “COST”, which I will use as reference throughout this report.…

    • 4182 Words
    • 17 Pages
    Best Essays
    Read More
  • Satisfactory Essays

    Financial Ratios and Current Ratio
    • 311 Words
    • 2 Pages

    Financial Ratios and Current Ratio

    Based on the table 1, it shows that the financial ratio was divided into four parts which are liquidity, assets management, long-term debt paying ability and profitability. Liquidity ratios are particularly interesting to short-term creditors and it is focus on current assets and current liability. In addition, General Thumb of rule for the current ratio should be at least 2:1. For the Gemini Electronic the current ratio is consistent and it is increase in year 2006. But we note that Gemini Electronics is slightly less liquid than the average firm in the industry because the current ratio is lower than the industry average. Both fixed assets turnover and total asset turnover are less than industry average, indicating that Gemini Electronics is using its asset inefficiently than the industry average in generating sales.In term of collects receivable Gemini Electronics was becoming slow during year 2009. One of the causes is many retailers demanded more generous credit terms than net 30, which standard in the industry. Besides that, interest was also not charged on overdue account.…

    • 311 Words
    • 2 Pages
    Satisfactory Essays
    Read More
  • Better Essays

    How to Create a Mobile Home Money Machine
    • 842 Words
    • 4 Pages

    How to Create a Mobile Home Money Machine

    of many who want to buy. High prices and the lack of financing is creating a…

    • 842 Words
    • 4 Pages
    Better Essays
    Read More
  • Satisfactory Essays

    Financial Ratios
    • 655 Words
    • 3 Pages

    Financial Ratios

    The profitability ratios are used to analyze the company’s ability to generate revenues in comparison to the company’s expenses. When benchmarking the profitability ratios, having the same or higher value than the competitors during the same period indicates the company is doing well.…

    • 655 Words
    • 3 Pages
    Satisfactory Essays
    Read More
  • Powerful Essays

    Fin 370 Week 1 Industry Ratios And Financial Ratio Analysis
    • 2428 Words
    • 10 Pages

    Fin 370 Week 1 Industry Ratios And Financial Ratio Analysis

    Watch the Industry Averages and Financial Ratios video and use the industry classification from the financial services website to locate the company 's SIC code on the U.S. Department of Labor 's website.…

    • 2428 Words
    • 10 Pages
    Powerful Essays
    Read More

Related Topics