More Related Content Similar to Final presentation-ver-4 (20) 2. Introduction
Samsung:
- is a large worldwide company founded in 1938
- means "three stars"
- has many different businesses, including 'Samsung
Electronics'
- is one of the world's top twenty global brands
4. SAMSUNG INCOME STATEMENT
Periord Ending 2008 2009 2010 2013 2014
Total Revenue $96,495,083 $119,103,403 $135,771,646 $216,708,677 $195,882,955
Cost of Revenue $71,409,988 $84,785,803 $90,145,600 $130,480,725 $121,856,939
Gross Profit $25,085,095 $34,317,600 $45,626,046 $86,227,952 $74,026,016
Selling General and
Administrative $20,286,477 $24,396,734 $31,980,340 $51,370,553 $50,253,744
Operating Profit $4,798,618 $9,920,866 $15,187,054 $34,857,399 $23,772,272
Non-operating income
Interest and dividend income $508,702 $366,738 - - -
Foreign exchange gains $5,758,661 $6,593,601 - - -
Gain on foreign currency translation $353,749 $1,133,056 - - -
Gain on valuation of equity method
investments $833,114 $1,304,345 - - -
Others $1,156,967 $1,042,156 - - -
Total Non-operating income $8,611,193 $10,439,896 $6,554,683 $2,302,237 $3,611,054
Non-operating expense
Interst expense $533,231 $468,315 - - -
Foreign exchange losses $6,044,264 $6,987,712 - - -
Loss on foreign currency translation $742,991 $903,261 - - -
Loss on valuation of equity method $166,553 $104,286 - - -
Others $689,856 $1,130,221 - - -
Total Non-operating expenses $8,176,895 $9,593,795 $6,770,997 $1,529,468 $2,146,611
Operating Income or Loss
Earnings Before Interest And Taxes $5,814,351 $11,963,297 $18,857,041 $40,393,231 $29,421,733
Interest Expense $581,435 $1,196,330 $1,885,704 $4,039,323 $2,942,173
Income Before Tax $5,232,916 $10,766,967 $16,971,337 $36,353,908 $26,479,560
Income Tax Expense $546,986 $2,000,968 $2,794,039 $7,476,087 $4,256,366
Net Income $4,685,930 $8,765,999 $14,177,298 $28,877,821 $22,223,194
5. BALANCE SHEET
Period Ending 2008 2009 2010 2013 2014
Assets
Current Assets
Cash And Cash
Equivalents $7,012,441 $9,285,255 $8,841,651 $14,705,156 $15,207,212
Short Term Investments $2,857,070 $7,394,809 $11,457,755 $34,469,253 $40,555,441
Net Receivables $18,753,829 $21,449,979 $19,241,877 $25,185,919 $25,541,576
Inventory $7,551,796 $8,552,754 $12,068,165 $17,278,786 $15,637,706
Other Current Assets $2,781,551 $6,504,173 $3,837,089 $6,144,337 $4,012,953
Total Current Assets $38,956,687 $53,186,970 $55,446,538 $100,016,525 $103,976,861
Property Plant and
Equipment $33,807,726 $34,118,241 $47,827,028 $68,173,238 -
Intangible Assets $710,885 $1,134,175 $2,509,833 $3,088,320 -
Total Assets $83,771,400 $101,355,174 $121,262,967 $193,309,741 $208,071,931
Liabilities
Current Liabilities
Accounts Payable $9,051,120 $13,092,467 $14,492,970 $7,618,737 $7,146,978
Short Term Debt $1,800,621 $2,680,375 $8,626,950 $10,077,961 $10,172,764
Other Current Liabilities $14,770,431 $16,548,616 $11,097,702 $20,470,461 $19,337,263
Total Current
Liabilities $25,622,172 $32,321,458 $36,070,083 $46,337,814 $46,968,563
Long Term Debt $4,593,442 $3,037,714 $1,103,212 $1,999,046 $1,246,024
Deferred Long Term
Liability Charges $1,182,408 $750,407 $1,492,358 $679,660 $1,119,659
Others $2,314,544 $2,645,516 $1,915,166 $8,828,764 $6,954,051
Total Liabilities $33,712,566 $38,755,095 $40,580,820 $57,845,284 $56,288,297
Equity
Preferred Stock $95,041 $102,371 $4,787,171 $4,787,171 $4,787,171
Retained Earnings $44,088,760 $55,065,299 $76,768,139 $153,085,232 $134,186,055
Treasury Stock ($7,088,413) ($7,202,049) ($3,673,240) ($11,422,305) ($8,541,543)
Capital Surplus $5,241,735 $5,700,180 $70,147 $74,409
Others $7,816,752 $47,791,744 $7,587,248 ($6,268,626) $26,064,713
Total Stockholder Equity $50,058,834 $101,355,174 $80,682,147 $135,464,448 $151,783,634
6. SAMSUNG ELECTRONICS CO LTD (SSNLF) Statement of CASH FLOW
Fiscal year ends in December. KRW in thousands
except per share data. 2008 2009 2010 2013 2014
Cash Flows From Operating Activities
Depreciation & amortization $9,632,816 $8,165,496 $10,174,938 $15,355,194
Investments losses (gains) -$1,042,978
Stock based compensation
Inventory -$661,939 -$780,495 -$4,297,871 -$2,892,401
Prepaid expenses -$435,736 -$440,524
Accrued liabilities $2,111,961
Other working capital -$2,401,274 -$1,405,028 -$146,911 -$10,009
Other non-cash items $6,954,815 $7,571,836 $15,096,021 $30,525,024
Net cash provided by operating activities $13,524,418 $13,551,809 $20,826,177 $43,611,055 $35,124,337
Cash Flows From Investing Activities
Investments in property, plant, and equipment -$13,442,924 -$6,321,274 -$20,431,452 -$21,622,397
Property, plant, and equipment reductions $281,763 $115,612 $1,111,473 $352,423 $192,746
Acquisitions, net $15,918 -$99,768 $247,958 -$325,137 -$683,766
Purchases of investments -$12,025 -$3,786,448 -$3,042,327 -$19,535,947 -$20,939,435
Sales/Maturities of investments $209,509 $2,281 $8,222 $1,610,762 $366,306
Purchases of intangibles -$872,776 -$1,258,010
Sales of intangibles $4,260
Other investing activities $420,636 -$83,029 $1,095,793 -$1,391,784
Net cash used for investing activities -$12,527,121 -$10,172,627 -$21,010,332 -$41,780,597 -$31,164,062
Cash Flows From Financing Activities
Debt issued $4,785,102 $228,372 $1,791,214 $24,904 $1,653,437
Debt repayment -$2,139,442 -$684,648 -$271,543 -$3,015,847 -$3,134,412
Common stock issued $242,476 $164,575 $32,110
Common stock repurchased
Dividend paid -$1,255,235 -$603,832 -$1,712,482 -$1,166,827 -$2,122,072
Other financing activities $458,319 -$182,104 -$107,766 $262,886
Net cash provided by (used for) financing
activities $1,848,743 -$999,736 -$136,002 -$3,862,774 -$2,904,065
Effect of exchange rate changes -$308,189 -$528,057
Net change in cash $2,846,040 $2,379,447 -$320,156 $528,153 $528,153
Cash at beginning of period -$844,102 $7,055,398 $11,863,564 $17,545,714 $15,469,535
Cash at end of period $2,001,939 $9,434,846 $11,543,408 $15,205,210 $15,997,688
Free Cash Flow
Operating cash flow $13,524,418 $13,551,809 $20,826,177 $43,611,055
Capital expenditure -$13,442,924 -$6,321,274 -$20,431,452 -$22,495,173
Free cash flow $81,494 $7,230,536 $394,726 $21,115,882
8. 2008 2009 2010 2013 2014
Samsung $96 $119 $136 $217 $196
Microsoft $60.4 $58.4 $62.4 $77.8 $86.8
$-
$50
$100
$150
$200
$250
Revenue Analysis (in billion dollars)
Source: http://www.vietnamplus.vn/loi-nhuan-cua-samsung-trong-nam-
2014-giam-32-so-voi-2013/304890.vnp
9. 2009 2010 2013 2014
Samsung 23% 14% 60% -10%
Industry 5.60% -7.50% 17.20% 2.81%
-20%
-10%
0%
10%
20%
30%
40%
50%
60%
70%
Revenue Growth – Samsung & Industry
Comment:
10. 2008 2009 2010 2013 2014
Samsung $4,685,930 $8,765,999 $14,177,298 $28,877,821 $22,223,194
Microsoft $17,681,000 $14,569,000 $18,760,000 $21,863,000 $22,074,000
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000
$35,000,000
Net income - Samsung & Microsoft
Comment:
11. 2009 2010 2013 2014
Samsung 87% 62% 104% -23%
Industry -25% 112% 17.80% 11.80%
-40%
-20%
0%
20%
40%
60%
80%
100%
120%
Net income - Samsung & Industry
Comment:
12. 2008 2009 2010 2013 2014
Samsung $12,527,121 $10,172,627 $21,010,332 $41,780,597 $31,164,062
Microsoft 4,587,000 15,770,000 11,314,000 23,811,000 18,833,000
$0
$5,000,000
$10,000,000
$15,000,000
$20,000,000
$25,000,000
$30,000,000
$35,000,000
$40,000,000
$45,000,000
Investing Activities, Cash Flows or Used In –
Samsung & Microsoft
Comment:
14. LIQUILITY
2008 2009 2010 2013 2014
Current ratio 1.52 1.65 1.53 2.16 2.214
Quick ratio 1.22 1.38 1.2 1.79 1.88
Cash ratio 0.27 0.29 0.25 0.32 0.32
0
0.5
1
1.5
2
2.5
2008 2009 2010 2013 2014
Current ratio
0
0.5
1
1.5
2
2008 2009 2010 2013 2014
Quick ratio
0
0.1
0.2
0.3
0.4
8 2009 2010 2013 2014
Cash ratio
15. FINANCIAL LEVERAGE RATIOS
2008 2009 2010 2013 2014
Debt ratio 0.4 0.38 0.33 0.3 0.27
Time interest earned 9.81 22.99 33.26 120.135 113.64
Cash coverage ratio 10.99 24.62 36.35 412.26 386.34
0
0.1
0.2
0.3
0.4
0.5
2008 2009 2010 2013 2014
Debt ratio
0
50
100
150
20082009201020132014
Time interest earned
0
100
200
300
400
500
20082009201020132014
Cash coverage ratio
16. ASSETS MANAGEMENT RATIOS
2008 2009 2010 2013 2014
Inventory turnover 9.456 9.913 9.32 7.55 7.793
Days' sales in inventory 38.6 36.82 37.3 48.344 46.84
Receivables turnover 5.145 5.553 5.35 8.604 7.67
Days' sale in receivable 70.94 65.73 59.24 42.422 47.59
Total asset turnover 1.152 1.175 1.12 1.12 0.94
0
10
20
30
40
50
60
2008 2009 2010 2013 2014
Days' sales in inventory
0
10
20
30
40
50
60
70
80
2008 2009 2010 2013 2014
Days' sale in receivable
17. PROFITABILITY RATIOS
2008 2009 2010 2013 2014
Profit Margin 0.04 0.064 0.09 0.12 0.11
Return on Assets 0.056 0.087 0.11 0.15 0.11
Return on Equity 0.09 0.086 0.17 0.21 0.096
0
0.05
0.1
0.15
2008 2009 2010 2013 2014
Profit Margin
0
0.05
0.1
0.15
0.2
20082009201020132014
Return on Assets
0
0.05
0.1
0.15
0.2
0.25
20082009201020132014
Return on Equity
19. 2008 2009 2010 2013 2014
Samsung 38.6 36.82 37.3 48.344 46.84
Microsoft 31.00 21.53 21.79 34.93 36.05
0
10
20
30
40
50
60
Days' sales in inventory
Sources: http://www.macrumors.com/2011/12/16/samsungs-new-texas-
factory-for-a5-chip-production-now-fully-operational/
20. 2008 2009 2010 2013 2014
Samsung 70.94 65.73 59.24 42.422 47.59
Microsoft 82.098 69.906 76.02 89.636 90.312
0
20
40
60
80
100
Days' sale in receivable
21. 2008 2009 2010 2013 2014
Samsung 0.27 0.29 0.25 0.32 0.32
Microsoft 0.35 0.22 0.21 0.10 0.19
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
0.4
Cash Ratios
2008 2009 2010 2013 2014
Samsung 0.27 0.29 0.25 0.32 0.32
Industry 0.18 0.21 0.20 0.27 0.29
0
0.05
0.1
0.15
0.2
0.25
0.3
0.35
Cash Ratios
23. Production Cycle
2008-12 2009-12 2010-12 2013-12 2014-12
Average
Inventory $6,9B $8,0B $10,3B $12,6B $16,4B
Inventory
Turnover 10.30
10.5 8.74 8.9
7.4
Production Cycle 35.44 34.76 41.76 41.01 49.32
0
5
10
15
20
2008 2009 2010 2013 2014
Average Inventory
0
2
4
6
8
10
12
2008 2009 2010 2013 2014
Inventory Turnover
0
10
20
30
40
50
60
2008 2009 2010 2013 2014
Production Cycle
24. Collection Cycle
2008-12 2009-12 2010-12 2013-12 2014-12
Average Account Receivables
$19,1B $20,1B $20,3B $23,1B $25,3B
Account Receivables
Turnover
3.72 4.2 4.4 5.6
4.8
Collection Cycle 98.12 86.90 82.95 65.18 76.04
0
5
10
15
20
25
30
2008 2009 2010 2013 2014
Average Account
Receivables
0
20
40
60
80
100
120
2008 2009 2010 2013 2014
Collection Cycle
0
1
2
3
4
5
6
2008 2009 2010 2013 2014
Account Receivables
Turnover
25. Account payable cycle - Samsung
2008-12 2009-12 2010-12 2013-12 2014-12
Accounts Payable $9,0B $11,0B $13,7B $7,6B $7,3B
Account Payable
Turnover 7.89 7.66 6.54 17.13 16.51
Account Payable Cycle 46.26 47.66 55.85 21.31 22.11
0
5
10
15
2008 2009 2010 2013 2014
Accounts Payable
0
5
10
15
20
2008 2009 2010 2013 2014
Acount Payable Turnover
0
10
20
30
40
50
60
2008 2009 2010 2013 2014
Account Payable Cycle
27. 2008 2009 2010 2013 2014
Samsung 35.44 34.76 41.76 41.01 49.32
Microsoft 33.23 25.61 21.46 27.715 31.143
0.00
10.00
20.00
30.00
40.00
50.00
60.00
Production Cycle
Comment:
28. 2008 2009 2010 2013 2014
Samsung 98.12 86.9 82.95 65.18 76.04
Microsoft 98.65 84.49 79.35 67.59 74.49
0
20
40
60
80
100
120
Collection Cycle – Samsung & Microsoft
Comment:
29. 2008 2009 2010 2013 2014
Samsung 46.26 47.66 55.85 21.31 22.11
Microsoft 114.57 55.236 86.000 93.000 117.000
0
20
40
60
80
100
120
140
Account payable cycle
30. 2008 2009 2010 2013 2014
Samsung 87.29 74 68.87 84.88 103.25
Microsoft 17.3 54.86 13.9 1.71 -12.11
-20
0
20
40
60
80
100
120
Cash conversion cycle
Comment
Editor's Notes Good afternoon everybody, today our group will present to you about Samsung company, these are 3 members in group. 10s Move to the Introduction I will tell a little bit about the background of Samsung.
As all of you know that Samsung is one of the most famous and biggest multinational company in the world. Since 1990s, Samsung has increasingly globalized its activities, electronics and particularly mobile phones. At the present, Samsung is one of the world's top twenty global brands
25s Now, let’s have a quick look at Samsung Performance From 2008 to 2014 (5s) Samsung Income Statement 3s Balance Sheet 3s And The Cash Flow 5s During the period there is some significant changes in Samsung Financial Statements 10s Firstly, Samsung had positive changes in revenue. Its revenue in 2014 has been seen a double increase compare to 2008. (Nói cái vòng tròn) However from 2013 to 2014, with changes in Samsung’s leadership team it lead to a situation of reducing Samsung’s revenue 25s Next, looking at the revenue growth between Samsung and the industry. It can be clearly seen that Samsung’s revenue growth is much higher than the industry.(Nói cái vòng tròn) In 2014, another reason for significant decrease in Samsung's revenue is that there were many competitor with cheaper products from China and other countries.
