Coca cola swot analysis 2019 swot analysis of coca cola. Factors such as competitors, market size, and trends in the industry affect coca cola and its strategic decision making. Extract from coca cola s reported gaap fourth quarter and fullyear 2017 results. Financial records and company growth financially, coca cola has been lagging behind pepsico with both revenue and net income decreasing over the past few years. Ten years of annual and quarterly financial ratios and margins for analysis of cocacola ko. Your course project will consist of a 56 page paper following apa format and will include at least one graphic refer to the line chart under continue reading the coca cola financial analysis. Strong brand identity coca cola is a highly popular brand with a unique brand identity. Ten years of annual and quarterly balance sheets for coca cola ko. Financial analysis is very important to present how well a company is being managed. Neither company has a high degree of financial leverage,but cocacola is lower. To translate the fullyear 2016 reported results of venezuela, we use the dicom 3 exchange rate of 673. Financial ratios, a reading prepared by pamela peterson drake. Ashish arora associate professor mba submitted to the department of management studies gndu college jalandhar in partial fulfillment of the requirement for the award of the degree of masters in business administration comparative analysis of coca cola and pepsi submitted by. The cocacola company is a nonalcoholic beverage company that serves more than 500 non alcoholic brands.
It was also awarded highest brand equity award in 2011 by interbrand. A financial analysis of coca cola 2473 words 10 pages. It involves a comparison to last years third quarter. We have audited the accompanying consolidated financial statements of coca cola femsa, s. However, the report will structure itself through the brief introduction of each companys detailed view of companys financial health depending upon the annual reports of.
Financial analysis synopsis in this paper, you will find financial comparisons on both pepsico and the coca cola corporation. April 8, 2011 daneene barton arbitrating a companys monetary physical stability inculpate their financial statements income statements, balance sheets, and statement of cash flow. Information on coca cola company with sources sample essay pages. The income statement presents information on the financial results of a companys business activities over a period of time. Competition from pepsico remains the main threat for coca cola. Cocacola financial ratios for analysis 20052020 ko macrotrends. Essay on cocacola financial analysis 2267 words bartleby. The pro forma financial statement can be part of the risk analysis of strategic plan. Coca cola co ko earnings report, financial results. Coca cola analysis accounting the coca cola company is the worlds leading owner and marketer of nonalcoholic beverage brands. The financial position of coca cola is very strong as it has strong routes in more than 200 countries of the world where high level of sales is being achieved every day. Some tools have been given to us during the course of analysis financial statements.
Introduction the coca cola company is the world largest beverage company. Its flagship product coca cola was invented in the year 1886 by john stith pemberton, a pharmacist by profession. Introduction the cocacola company is the world largest beverage company. Financial analysis of cocacola company management paradise. This is a detailed comparison of the two companies performance, with various ratio analysis determined projected future company performance that are the basis of the investment inferences made.
Analysis of shortterm operating activity ratios quarterly data. Making a company financial analysis of entails comparing a minimum of two consecutive years of financial data, contrasted with a competent and capable competitor in the same industry and with similar characteristics. However, the companys total assets have increased by several billions in the last few years including cash flow. I have analyzed two years financial performance of coke i. May 04, 2016 cocacola financial ratio analysis 3 also known as net profit margin or net profit rate, it measures the percentage of income derived from dollar sale return on sales net income net sales 2015 return on sales 596. S the prime reason of this report is to identify and analyze the two superior businesses in the two different regions and supple drink industry and work out the strongest entertainer as an investment opportunity. Nov 14, 2009 this is a financial analysis of the third quarterly earnings of 2009 for the coca cola company. Ko is a beverage retailer, manufacturer and marketer of nonalcoholic beverage concentrates and syrups. Below is an extract from coca cola s 8k report, which highlights nonrecurring items identified by management including the amounts involved in other operating charges. Doc financial analysis of coca cola company vs pepsico.
Comparable currency neutral operating income nongaap grew 23% for the quarter and % for the full year. Cocacola femsa is a mexican corporation, mainly engaged in acquiring, holding and transferring all types of bonds, shares and marketable securities. General the coca cola company is the worlds largest nonalcoholic beverage company. Using financial data provided from 2004 and 2005, we will be able to use financial analysis, both vertical and horizontal, to verify the financial differences between the two companies. The income statement statement of earnings reports on the performance of coca cola co. Operating performance ratios describe the relationship between the cocacola co. Perform a financial analysis on the asset management, debt management, and market returns of the coca cola company. Cocacola financial ratios for analysis 20052020 ko. This onetime gain caused an unusually large increase in net income for 2010.
Financial statement analysis of coca cola term paper. Ratio analysis of coca cola free download as powerpoint presentation. This particular project is based on ratio analysis of cocacola international. In order to achieve longterm sustainable growth they look at their brands, financial strength, unrivaled distribution system, global reach, and a strong commitment by management and associates worldwide. Critical accounting estimates and judgements 122 results for the year 6. Ratio analysis of cocacola stocks return on equity. Executive summary after analyzing the income statement, ratios and strategies of the coca cola company, we can conclude that coca cola had a continuous revenue growth between the years 2009 and 2011. Over the past three years from 2012 to 2014, coca cola s revenue. The coca cola company is a multinational american corporation that specializes on the manufacture and distribution of nonalcoholic syrups and beverage concentrates. Therefore, ive decided to discuss the financial statements of a multinational enterprisethe coca cola.
Ko financial summary a brief financial summary of coca cola company as well as the most significant critical numbers from each of its financial reports. The bottling system that the company uses is of a great advantage from the point that the companies that make the bottles are owned by different companies which gives the. Results under international financial reporting standards. The company is best known for its flagship product coca cola, invented by pharmacist john stith pemberton in 1886. Here is a longterm analysis of the cocacola company. Financial analysis of coke and pepsi case study template.
Dec 06, 2012 mutually pepsico and coca cola have reputations for being the major contenders in the soft drink industry. This paper uses coca cola company as the case study to explain more about the external and internal environments in business. Trend analysis of financial statements github pages. Inside this essay we will take a look into the two largest competing companies in the soft drink industry. Coca cola assignment financial analysis value line analytics coca cola is the number one beverage company in the world. We also performed sensitivity analyses on the key drivers of cash flow forecasts for the cgus with significant balances of goodwill and indefinite. I will also perform vertical andhorizontal analysis from their annual report of financial data.
In this report, the terms the coca cola company, company, we, us and our mean the coca cola company and all entities included in our consolidated financial statements. Financial ratio analysis report coca cola free essays. They have individually created well organized, strong, and profitable companies, but as you can see from the analysis done above that the financial data, shows a bit of a difference between the two financially. Pepsico has a number of profitability indicators that are better than coca cola. Comparative analysis of cocacola company and pepsico. Globally, coca cola is more dominant and has a majority of the global market share. Highest brand equity coca cola is undoubtedly one of the most renowned brands with the highest brand equity. Annual report analysis on coca cola sample essay example.
Financial analysis and comparison of pepsico and cocacola. Its soft drinks are the mostselling drinks in history. Financial analysis of coca cola company essay pages. Its products comprise of, sparkling beverages, like waters, juice drinks. Along with cocacola, recognized as the worlds most valuable brand, the company markets four of the worlds top 5 nonalcoholic sparkling brands, including diet coke, fanta, and sprite. View notes coca cola amatil 2015 financial statements. Essay on coca cola financial analysis 84 words cram. The purpose of this report is to analyze and the financial position and discuss the strengths and weaknesses of the financial operations of the coca cola company, one of the largest manufacturers, distributors, and marketers of non alcoholic soft drinks, concentrates and syrups. The report is based on the study of the fiscal competence and presentation of the corporation based on the financial stability. Cola hbcs annual financial report ifrs financial statements for the year ending 31 december 2012.
Cocacola coke financial statements and financial ratios. Coca cola financial analysis essay 6376 words bartleby. Comparative analysis case the coca cola company and pepsico, inc. The significant increase in other income expenses, net of 555. In general, pepsico s profitability appears to be materially better than coca cola. Analysis of the financial statements of coca cola finance essay. In this summarized report, the author researched coca cola s coke 10k, coca cola s 2019 10k annual report. The balance sheet is a financial report that shows the assets of a business i. Coke accounts receivable turnover coke financial statement analysis of to refresh the world. Notes to the consolidated statements cocacola femsa. The income statement communicates how much revenue the company generated during a period and what cost it incurred in connection with generating that revenue. This paper will show that coca cola is a more preferable investment option. In this example, the analysis is focused on coca cola company and pepsico, and their financial pictures for the years 2004 and 2005. This particular project is based on ratio analysis of coca cola international.
Figures do not include results of coca cola femsa philippines, inc. Doc financial statement analysis for coca cola co and. For complete information regarding our financials, see our periodic filings. Major brands of beverages from the company have a global appeal. Along with coca cola, recognized as the worlds most valuable brand, the company markets four of the worlds top 5 nonalcoholic sparkling brands, including diet coke, fanta, and sprite. The goal of this assignment is to ensure your strategic plan is viable financially. A projected financial statement analysis seeks to forecast the impact of various implementation decisions. There are a vast amount of manufacturers and distributors in this market, but pepsi and coca cola have managed to stay in the number one spot for a couple of decades.
The article gives investors an overview of the companys financial history, business diversification as well as the valuation level and dividend policy. Once these strengths and weaknesses identified, we will find some points that management of coca cola may use to improve its productivity. Coca cola financial report sources coca cola 2019 financial statements and financial ratios. Operating income grew 19% for the quarter and 10% for the full year. Financial analysis for the coca cola company and pepsico years 2004 and 2005. Some increases in certain areas of one company and some decreases in areas of another company. It operates its business in more than 200 nations and has more than 2,700 beverage products. The coca cola company financial statement analysis. There are vertical analysis, horizontal analysis, and ratios of both the industries. Cocacola is a popular brand as the largest company of soft drinks and beverage products cocacola is the topseller brand of beverage, and everyone around the world loves cocacola or different kinds of its drinks from the same company. Notes to the consolidated financial statements basis of reporting 1. You need financial data, but it doesnt tell the whole story. Evaluates revenues and output generated by the cocacola co. Defined, discussed, and analyzed for 5 years was written by, paul borosky, mba.
Financial management analysis on cocacola company essay. Pibb, evian, dasani, minute maid and full throttle. Financial analysis is the art of transforming data from financial statements into information to gain understanding of an organizations financial standing in a giving industry. Cocacola femsa is indirectly owned by fomento economico mexicano, s. The industry is coca cola and the company is apple details your course project consists of valuing a firm using fundamental and technical analyses and presenting your investment recommendation. Executive summary after analyzing the income statement, ratios and strategies of the coca cola company, we can conclude that coca cola had a continuous. Sep 22, 2014 the coca cola company financial analysis. Keeping track of financial statements, taxes, audits, and various other areas of financials show how well a company is doing, or better yet has done in these years, and the probability of improvement in. The beverage industry analysis gives a synopsis of the trends in the industry that coca cola is a part of. Coca cola assignment financial analysis essay paper. I hope my this effort will help other interested students. Its flagship product coca cola was invented in the year 1886 by john stith pemberton, a. Coca cola financial ratios for analysis 20052018 ko.
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