SEMESTER II 2018/2019 (A182)

BWFF2033 FINANCIAL MANAGEMENT

GROUP ASSIGNMENT

Topic : Assessing Firm’s Financial Performance

Type of analysis : Time-series/ Trend Analysis (3 years)
Period of analysis : 2016 - 2018
Marks : 20.00

OBJECTIVES

By doing this project, the students will be able to:

1. define various types of financial ratios
2. explain methodology and decision criteria about the finacial ratios
3. calculate the financial ratios
4. assess the company’s financial perfromance based on ratio analysis
5. get themselves familiar with the real practice of industry financial statndards

REQUIREMENTS

Students will work on the project collaboratively in groups of six (6) members. Each group must
choose a company listed on Bursa Malaysia (refer to the companies listed below). Students
will download the relevant financial data from Data Stream and Thompson Router Ikon (which
are available in the Trading Room at the COLGIS Building), and perform ratio analysis for
their selected company for 3 years. For additional information or annual reports, please refer to
Bursa Malaysia website: (http://www.bursamalaysia.com). Each group is required to choose one
company and confirm the selection with the lecturer. The selection of the company must not be
redundant with the other groups.

Each group will perform the time series/ trend analysis based upon the following financial ratios:

1. Liquidity ratios:
a. Current ratio
b. Quick ratio

2. Asset management ratios:

a. Average collection period
b. Receivable turnover

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 c. Inventory turnover
d. Total asset turnover
e. Fixed asset turnover

3. Leverage ratios:
a. Debt ratio
b. Debt equity ratio
c. Time interest earned

4. Profitability ratios:
a. Gross profit margin
b. Operating profit margin
c. Net profit margin
d. Return on asset (ROA)
e. Return on equity (ROE)

5. Market value ratio

a. Earnings per share (EPS)
b. Price/earning (P/E) ratio

CONTENT OF THE ASSIGNMENT REPORT

Students should follow the guidelines below to prepare the report.

1. Introduction
a. Define the term ‘financial ratio’.
b. Explain the use of financial ratios in time-series/ trend analysis in assessing a company’s
financial performance.

2. Methodology
Explain the methods to calculate various types of ratios and the decision criteria for the
ratios in detail. 

3. Background of the company

Describe the background of your selected company.

4. Ratio calculation
Calculate the above mentioned ratios for your selected company for 3 years.

5. Analysis and interpretation

Compare the financial performance of the company based on the findings of ratio
calculation. Provide explanation for each of the ratios.

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 6. Conclusion and recommendation
Conclude your work by answering the questions below: 
a. What is your judgment of the current financial condition of the company?
b. What is your recommendation?

7. References
Appendix (3 years financial statements of the selected company)

REPORT SUBMISSION

Students are required to submit the hardcopy as well as softcopy (i.e. CD format) of the report.

SUBMISSION DATELINE

The dateline for submission of the report is 05 May 2019 (Sunday); 5:00 pm. Marks will be
deducted for late submission.

MARKS DISTRIBUTION

Introduction and Methodology 5 marks

Background of the Company, Ratio Calculation, Analaysis and Interpretation 10 marks
Conclusion and Recommendation 5 marks

Please choose ONE (1) company from the list below:

1 AMFIRST REAL ESTATE INVESTMENT http://www.amfirstreit.com.my

TRUST
2 AMMB HOLDINGS BERHAD http://www.ambankgroup.com
3 AMTEK HOLDINGS BERHAD [S] http://www.amtek.com.my/
4 AMTEL HOLDINGS BERHAD http://www.amtel.com.my
5 AMVERTON BERHAD [S] http://www.amverton.com/
6 AMWAY (MALAYSIA) HOLDINGS http://www.amway2u.com
BERHAD [S]
7 ANALABS RESOURCES BERHAD [S] http://www.analabs.com.my
8 ANCOM BERHAD [S] http://www.ancom.com.my
9 ANN JOO RESOURCES BERHAD [S] http://www.annjoo.com.my
10 ANZO HOLDINGS BERHAD [S] http://www.harvestcourt.com
11 APB RESOURCES BERHAD [S] http://www.apb-resources.com
12 APEX EQUITY HOLDINGS BERHAD http://www.apexequity.com.my/cms/main.php
13 APEX HEALTHCARE BERHAD [S] http://www.apexhealthcare.com.my/

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14 APFT BERHAD [S] http://www.apft.com.my
15 APM AUTOMOTIVE HOLDINGS http://www.apm-automotive.com
BERHAD [S]
16 APOLLO FOOD HOLDINGS BERHAD [S] http://www.apollofood.com.my
17 ARK RESOURCES HOLDINGS BERHAD http://www.ark-resources.com.my
18 ASIA BRANDS BERHAD [S] http://www.asiabrands.com.my
19 ASIA FILE CORPORATION BHD [S] http://www.asia-file.com
20 ASIA KNIGHT BERHAD http://www.pahanco.com.my
21 ASIA MEDIA GROUP BERHAD [S] http://www.asiamedia.net.my
22 ASIAN PAC HOLDINGS BERHAD [S] http://www.asianpac.com.my
23 ASTINO BERHAD [S] http://www.astino.com.my
24 ASTRAL ASIA BERHAD [S] http://www.astralasia.com
25 ASTRO MALAYSIA HOLDINGS BERHAD http://www.astromalaysia.com.my
26 ATA IMS BERHAD [S] http://denko.com.my
27 ATLAN HOLDINGS BHD. http://www.atlan.com.my/
28 ATRIUM REAL ESTATE INVESTMENT http://www.atriumreit.com.my/
TRUST
29 ATTA GLOBAL GROUP BERHAD [S] http://www.attaglobalgroup.com/
30 ATURMAJU RESOURCES BERHAD [S] http://www.aturmaju.com.my/

After that, please complete this form and submit to the lecturer

Group: (NAME OF THE COMPANY) ………………………………………

Name of the group members Matric No.

1.………………………………………………………….. ……………
2.………………………………………………………….. ……………
3.………………………………………………………….. ……………
4.………………………………………………………….. ……………
5.………………………………………………………….. ……………
6.………………………………………………………….. ……………