Đang tải... (xem toàn văn)
Untitled TRƯỜNG ĐẠI HỌC TÀI CHÍNH MARKETING KHOA TÀI CHÍNH NGÂN HÀNG TIỂU LUẬN TÀI CHÍNH DOANH NGHIỆP 2 FINANCIAL ANALYSIS OF HOA PHAT GROUP Sinh viên thực hiện Nguyễn Dương Phương Thảo Mã số sinh viê[.]
lOMoARcPSD|21911340 TRƯỜNG ĐẠI HỌC TÀI CHÍNH MARKETING KHOA TÀI CHÍNHNGÂN HÀNG TIỂU LUẬN TÀI CHÍNH DOANH NGHIỆP FINANCIAL ANALYSIS OF HOA PHAT GROUP Sinh viên thực hiện: Nguyễn Dương Phương Thảo Mã số sinh viên: 1921006381 Lớp: CLC_19DTC04 Gia Lai, ngày 20 tháng 12 năm 2021 lOMoARcPSD|21911340 I Introduction .1 II The general information III Common Financial Ratios .1 The Liquidity a Formula .1 b Information table 2 Financial leverage a.Formula b.Information table Turnover a.Fomula b.Information table Profitability .4 a.Formula b.Information table Market Value Ratios a.Formula b.Information table IV A quantitatively financial analysis .5 Time series analysis a.The Liquidity b.Financial leverage c.Turnover d.Profitability Cross-sectional analyse a.The Liquidity b.Financial leverage c.Turnover d.Profitability 10 V Conclusion 10 lOMoARcPSD|21911340 I Introduction In a business, the analysis of financial statements is a very important thing Not only helps businesses re-evaluate the process and results of their operations but also helps managers make long-term and effective development plans For an individual investor, analyzing a company's financial statements also helps to compare organizations operating in the same industry from which to make investment decisions II The general information Name: Hoa Phat Group Hoa Phat corporation was established in 1992 Beginning a company that trades in construction machines Currently, Hoa Phat Group has 11 member companies, operates in 05 spheres such as: furniture, steel pipes, constructional steel, refrigeration, real estate and agriculture and become a leading industrial production corporation in Vietnam Especially, steel production is the core spheres that accounts for 90% of the Group's revenue and profit With a capacity of million tons of crude steel per year, Hoa Phat is the largest steel producer in Southeast Asia In the sphere of furniture, the company is also a reputable brand with a high market share in Vietnam Not only many big projects but also taking the first steps in real estate reinvestment in Khanh Hoa, Can Tho In November 2007, Hoa Phat Group officially listed its shares on the Vietnam stock market with stock code HPG Nearly 30 years of establishment, Hoa Phat Group has affirmed its position, even more, when it is in the VN30 with more than 4.47 billion shares being issued with a single charter capital of 44.7 trillion dongs III.Common Financial Ratios 1.The Liquidity a.Formula Current Ratio = Quick Ratio = Current assets Current liabilities Current assets−Inventory Current liabilities lOMoARcPSD|21911340 Cash Ratio = Cash Current liabilities b Information table Year Unit 2018 2019 2020 Current assets Billion dong 25 309 30 437 Current liabilities Billion dong 22 636 26 984 Inventory Billion dong 14 115 19 411 Cash Billion dong 516 545 Current Ratio 1.11 1.13 56 747 51 975 26 287 13 696 1.09 Quick Ratio 0.49 0.41 0.59 Cash Ratio 0.11 0.17 0.26 2.Financial leverage a.Formula Total debt ratio = Total debt Total assets Debt-equity ratio = Equity multiplier= Total debt Total equity Total assets Total equity Times interest earned ratio = EBIT Interest Cash coverage ratio = EBITDA Interest b Information table Year Unit 2018 2019 2020 Total debt Billion dong 53 989 72 292 Total equity Billion dong 47 787 59 220 Total assets Billion dong 37 600 40 623 78 101 776 131 lOMoARcPSD|21911340 EBIT Billion dong 223 10 611 EBITDA Billion dong 12 871 12 599 22 325 Interest Billion dong 540 937 2192 Total debt ratio 0.48 0.53 0.55 Debt-equity ratio 0.93 1.13 1.22 Equity multiplier 1.93 2.13 2.22 19.65 10.71 8.01 23.84 13.45 10.18 Times interest 10 033 511 17 549 earned ratio Cash coverage ratio 3.Turnover a.Formula Inventory turnover= Cost of goods sold Inventory Days’ sales in inventory= Receivables turnover = 365 days Inventory turnover Sales Accounts receivable Days’ sales in receivables = Total asset turnover= 365 Receivables turnover Sales Total assets Capital intensity = Total assets Sales b Information table Year Unit 2018 2019 2020 Cost of goods sold Inventory Billion dong Billion dong Total assets Billion dong 52 473 16 764 64 678 90 000 71 214 Sales 44 166 12 932 56 580 65 623 Billion dong 22 850 91 279 116 644 lOMoARcPSD|21911340 Days’ sales in 106.7 116.61 116.99 Receivables turnover 26.08 25.56 27.11 Days’ sales in 13.99 14 13.46 Total asset turnover 0.86 0.71 0.78 Capital intensity 1.15 1.39 1.28 Unit 2018 2019 2020 Net income Billion Dong 601 578 13 506 Sales Billion Dong Billion Dong 116 644 Total equity Billion Dong 64 678 90 000 47 787 91 279 Total assets 56 580 65 623 40 623 Pro昀椀t margin % 15.4 11.9 14.99 Return on assets % 11 10.3 % 21 16 23 inventory receivables 4.Profitability a.Formula Profit margin= Net income Sales Return on assets (ROA) = Return on equity (ROE) = Net income Total assets Net income Total equity b Information table Year 59 220 (ROA) Return on equity (ROE) 5.Market Value Ratios a.Formula Price- earnings ratio = Price per share lOMoARcPSD|21911340 Earnings per share lOMoARcPSD|21911340 Market-to-book ratio = EV multiple = Market value per share Book value per share Enterprise value EBITDA b Information table Year Unit 2018 2019 2020 Price- earnings ratio 6.65 7.77 9.2 Market-to-book ratio 1.62 1.36 2.32 EV multiple 6.8 7.7 7.97 IV A quantitatively financial analysis 1.Time series analysis a.The liquidity From 2018 to 2020, current ratios were all above 1, this ratio was stable because the current assets and current liabilities were both maintained at a stable difference This showed that the group's debt payment ability was secure and financial capacity was positive From 2018 to 2019, quick ratios were all below 0.5, showing that debt payment was unstable But in 2020, capacity had improved when it rises to 0.59, when current assets were increased It made debt payment was improving lOMoARcPSD|21911340 Cash Ratio, this results in a cash ratio ranging from 0.11 to 0.26 Different from the usual ratios from 0.5 to This is not necessarily a bad thing Because this corporation was a manufacturing corporation so inventory accounts for a large proportion of current assets b Financial leverage In financial leverage, there are many ratios, but I choose the debt-equity ratio and times interest earned ratios According to many opinions, the times interest earned ratio was lower more better In the year 2018 to 2020, the times interest earned ratio decreased significantly from 19.65 to 8.0, which can be a positive sign Whereas the debt-equity ratio in 2018 was at 0.93 This showed that debt was lower than equity but over the next years the ratio increases to 1.13 and 1.22 respectively It showed that debt was dramatically increases, which was a negative sign c.Turnover lOMoARcPSD|21911340 In the year 2018 to 2020, the inventory turnover had decreased slightly from 3.42 to 3.12 showing that the group was showing signs of slowing down sales compared to the previous period of the same period, but not significantly Because steel prices were rising, combined with the impact of COVID-19 This had a significant effect on this index Receivables turnover at a high level, fluctuating at 25 to 27 This showed that the group's solvency policy was quite good Although, the inventory turnover and receivables turnover were high, total asset turnover was at a low level, not more than and tent to decrease This showed that the company was an inefficient use of assets d Profitability lOMoARcPSD|21911340 All three indexes were trending up and down Because in 2019, the economy was negatively impacted by COVID, making every corporation face a difficult situation Causes the indexes to plummet up to 5% But by 2020, the group's recovery and return to normal operations, sometimes stronger than before, had caused net income to have improved numbers It recovered markedly and was almost higher than before The most obvious is ROE, almost recovering and increasing compared to 2018 from 21% to 23% The other two indexes were no less competitive when profit margin recovered to 14.99% compared to 15.4% in 2018 ROA increased at 10.3% nearly 11% in 2018 2.Cross-sectional analyse In 2020 Name Unit Hoa Phat Group Dai Thien Loc Hoa Sen Group (HPG) Corporation (HSG) (DTL) The Liquidity Current Ratio 1.09 1.22 Quick Ratio 0.59 0.15 0.39 Cash Ratio 0.26 - 0.6 Financial leverage Total debt ratio % 54.97 58.39 62.88 Debt-equity ratio % 122.7 140.34 169.41 8.01 1.34 3.46 3.12 1.12 4.55 116.99 327 80 Receivables turnover 27.11 9.13 19.47 Days’ sales in 13.46 40 19 0.78 0.76 1.57 Times interest earned ratio Turnover Inventory turnover Days’ sales in inventory receivables Total asset turnover lOMoARcPSD|21911340 Profitability Profit margin % 14.99 1.07 4.19 Return on assets % 10.3 -5 6.59 % 23 -13.36 19.13 (ROA) Return on equity (ROE) a The liquidity From the information table, we can see that the current ratio of the enterprises was above 1, the index difference was not significant This showed that all three companies had good control over their debt payment ability For the quick ratio, Hoa Phat almost held the advantage when only this company is above 0.5 This showed that the company's solvency was more stable than that of competitors Because Hoa Phat's inventory increased sharply to VND 26,000 billion, far ahead of the other two companies with the reduced inventory b Financial leverage With financial leverage, all three companies were above in the debt -equity ratio This showed that the debt was more than the owner's investment capital This was a bad number that needs to be improved In the total debt ratio, we see that Hoa Phat was leading when total assets are more than total liabilities, ensuring the ability to pay debts and payments Clearly demonstrate the company's solid capabilities Although the times interest earned ratio of Hoa Phat was much higher than the other two companies But in terms of scale, when Hoa Phat's EBIT was up to 13 500 billion VND Meanwhile, DTL and Hoa Sen only stopped at 25 and 900 billion dongs c.Turnover Hoa Phat's inventory turnover was times higher than DTL but lower than Hoa Sen This did not mean that Hoa Phat's sales were lower than Hoa Sen's, because in 2019-2020, it had increased by more than VND 27 000 billion, while Hoa Sen had decreased The fact that Hoa lOMoARcPSD|21911340 Phat's inventory turnover was at that level, because the company had increased its inventory to VND 26 000 million Hoa Phat's receivable turnover was higher than that of its competitors, which shows the company's efficiency in collecting debts from customers as well as not having too nonperforming loan This also freed up credit for future Although the inventory turnover and the receivable turnover were higher than that of the other two companies, Hoa Sen's Total asset turnover was still higher, showing its efficiency in revenue generation Although Hoa Phat had a higher revenue than its competitors, in Total asset turnover, it only stopped at 0.78 d Profitability Overall, after a year affected by Covid-19 Businesses still recovered and developed, but only DTL slowed down when ROA and ROE were negative From the information table, we can see that Hoa Phat was increasingly asserting its leading position with impressive profit margin High profitability, generating more profit and controlling cost effectively than the other two companies Not only that, with high ROE also helped Hoa Phat score in the effective use of shareholder capital, which helped investors have good evaluations of the company V Conclusion By learning the basic information, calculating and understanding the basic financial indicators of Hoa Phat company This can help managers know that there are limitations to overcome as well as advantages to promote in the company's financial system For example, why revenue increased sharply but total asset turnover was not positive Or how to use financial leverage effectively Not only that, financial analysis also helps businesses have more detailed investment plans in the future Quantitative comparison with companies in the same industry, or a time series to know how the company is performing to have effective operating options REFERENCES Coporate Finance 11th edition https://file.hoaphat.com.vn/hoaphat-com-vn/2021/04/bctn-2020-online.pdf https://finance.vietstock.vn/HSG/tai-chinh.htm?tab=CSTC https://finance.vietstock.vn/DTL/tai-chinh.htm?tab=CDKT