21st Century Products Limited

Income Statement for the years ended 31 December

2010 2010 2011 2011
'000 '000 '000 '000
Sales 85,000 96,000

Opening Stock 8,900 9,200

Plus Purchases 61,500 73,600
Less Closing Stock 9,200 10,000

Cost of Sales 61,200 72.00% 72,800

Gross Profit 23,800 23,200

Expenses
Administration 14,450 17.00% 15,900 16.56%
Sales and Marketing 3,690 4.34% 3,560 3.71%
Financial - (bank interest) 250 18,390 0.29% 250 19,710

Net Profit 5,410 3,490

Balance Sheet as at 31 December

2010 2010 2011 2011
Non-Current Assets '000 '000 '000 '000
Fixtures and fittings 15,760 17,050

Current assets
Stocks 9,200 10,000 8.7%
Debtors 11,300 19,500 72.6%
Cash 11,500 14,400 25.2%
32,000 43,900
Current liabilities
Trade creditors 21,500 30,600 42.3%
Bank loan 1,700 1,600 -5.9%
23,200 32,200
Net current assets 8,800 11,700

Total assets less current liabilities 24,560 28,750

Represented by:
Share Capital 18,910 24,320
Plus Profit 5,410 24,320 3,490 27,810

Non-Current Liabilities
Long term loan 240 940
24,560 28,750
Assuming: 10 GBP face value per share
Number of shares 1,891.0 2,432.0
Numbers of shares * face value per share = share capital
 2009 2010 2011
Sales 85,000 96,000
Cost of sales:
opening Stock 8,900 9,200 3.4%
+ Purchases 61,500 73,600 19.7%
_Closing stock 9,200 10,000 8.7%
61,200 72,800
Gross Profit 23,800 23,200
75.83% Gross Profit Margin 28.00% 24.17%

Operating profit 5,660 3,740

Operating Profit Margin 6.66% 3.90%

Net profit 5,410 3,490

Net Profit Margin 6.4% 3.6%
0.26%
Capital Employed 24,560 28,750
- Long term debt 240 940
- Equity 24,320 27,810
Return on Capital Employed 23% 13%
Return on Shareholders' Funds/ Equity 22.2% 12.5%

2010 2011
Current Assets 32,000 43,900
Current Liabilities 23,200 32,200
Current Ratio 1.38 1.36

Quick Assets 22,800 33,900

Current Liabilities 23,200 32,200
Quick Ratio 0.98 1.05

Receivable Days 2010

- Trade recievables/ Debtors 11,300 19,500 11,300
- Credit Sales/ Sales 85,000 96,000
Receivable days 48.52 74.14 48.52

Creditor/ Payable days

- Average creditors 21,500 30,600 21,500
14.35% - Credit Purchases/ Cost of sales 61,200 72,800
Payable days 128.23 153.42 128.23

291.67% Inventory Days

- Average Inventory 9,200 10,000 9,200
- Cost of Sales 61,200 72,800
 54.87 50.14 54.87

Debt: Equity ratio 0.01 0.03

-Debt (long-term) 240 940 292%
- Equity 24,320 27,810 14%

Gearing ratio 0.01 0.03

- long term debt & Pref Shares 240 940 292%
- Equity + Long term debt + Pref Shares 24,560 28,750 17%

Interest Coverage Ratio 22.64 14.96

- Interest payable 250 250
- Operating Profit (PBIT) 5,660 3,740

Earning per share 2.86 1.44

- PAT - minority Int - Pref Div 5,410 3,490
Number of shares 1,891.0 2,432.0

Basic earnings per share 6.98p ; Dividend per share 3.40p

Dividend Cover
- Profit to ordinary share holders 6.98 EPS
- Dividend 3.4 DIVIDend per share
2.05
N Less 100 90
D More 150 200
0.67 0.45

37%
39%

2011
15,400

58.55

26,050

130.61

9,600
 48.13

PAT / Number of shares

Dividend/ Number of shares

EPS/ Divde =(PAT/NOS)/(Div/NO)