Company to be analysed is KMD Brands. I have completed the financial ratio calculations and attached a document outlining the structure of the report required. I have also attached the annual reports for KMD Brands for the relevant years.
Course text: Accounting Business Reporting for Decision Making 7th Edition Birt et al.
Assessment details
You are required to study the annual reports of the designated company over the past three years and
present your findings in a business report format. Your business report should evaluate the relative
financial performance of the company based on the financial analysis results and propose strategies for
future improvements.
You are expected to draw upon written material and required readings. The financial analysis should be
conducted using skills and techniques learned in this course.
You are required to:
• Identify, calculate and analyse the appropriate financial ratios from the five key categories based
on its annual reports
• Conduct the DuPont analysis
• Evaluate major business segments’ profitability/other relevant ratios of the designated company
• Use appropriate graphs to illustrate the relative performance of the company, including the trend
of the ratios
• Discuss the suitability of the current business strategies and propose strategies for future based
on your analysis.
When interpreting the financial ratios, you are required to compare the ratios with various benchmarks
such as prior years, the competitors and/or the industry averages.
Please present your detailed calculations in the appendix. If you carry out your calculations using an
Excel workbook (highly recommended) please copy and paste key excerpts in your appendix. Please
also upload your Excel workbook for the course facilitator. Though your Excel work will not be marked,
it may be referred to if needed.
While discussing your analysis, correct terminology and coherent expression should be interwoven
throughout. Finally, it should be a synthesis of various relevant financial ratios and their interpretation,
overlaid with your own view of the overall health of the business followed by your recommendations.
Context
The purpose of the assessment is to be able to thoroughly research the financial statements of the
company and reflect on current situations and possible strategies. If that helps, you may assume the
company is your client and is seeking your all-round analysis and strategic propositions going forward.
