Essay on Financial Analysis of Sainsbury PLC

Words: 4593
Pages: 19
Open Document
Financial Analysis Of
Sainsbury’s Plc
2010/2011

(Sainsbury supermarket, Blake 2012)

10105011

18/10/2012

Contents of Document
Section

Page

Contents.......................................................................................................................2
Introduction..................................................................................................................3
Subject company and history........................................................................................3
Profitability...................................................................................................................4 …show more content…
For Sainsbury, this figure was 11% in the financial year of 2010 and 11.1% in the year of 2011 (Sainsbury, Annual Report 2011 section). Such a minor change doesn’t manifest a huge degree of progress. In the annual report for 2011 p4, the company does give an account for this and state that growth was lower than the previous year due to the cumulative effect of its accelerated investment in space growth which started June 2009.

The company also holds seventh place for volume market share in the clothing industry and now has clothing sales growing faster than food, 17% to be exact with year on-year growth (Sainsbury,
Annual Report 2011 section). Celebrity fashion icon, Gok Wan has been a huge support in inciting growth of the TU brand by launching a clothing range at Sainsbury in 2011 which has been the main source of sales boost. (gok wan, Sainsbury TU section).

In addition to the appreciation of sales, the cost of sales rose from £19,964m in 2010 to £21,102m in 2011. Prominent contributing factors towards the rise in costs are the variation in Fiscal policy
(Sainsbury’s, Directors report 2011 section) which increased the rate of VAT from 17.5% to 20% on the 4th day of January 2011 (HM Revenue and Customs, 2011) along with the increase of the company’s workforce due to its addition of 1.5 million square feet of space from 2011-2012 (The
Independent, news section).

As the profitability of the
Show More

Related Documents: Essay on Financial Analysis of Sainsbury PLC

An Evaluation & Analysis of Tesco Plc Essay

Business and Financial Performance of Tesco Plc over three years THE BUSINESS AND FINANCIAL PERFORMANCE OF TESCO PLC OVER A THREE YEAR PERIOD Oxford Brooks University Submitted by: TAHIR GHAFOOR ACCA Registration # 1969183 Date Submitted: 21 Nov, 2011 Word count: 6495 approximately. 1|Page Business and Financial Performance of Tesco Plc over three years Table of Contents Table of Contents .................................................................................................. 2 .…

Words 7737 - Pages 31

J Sainsbury - Financial Performance of Last 5 Years Essay

1. EXECUTIVE SUMMARY J Sainsbury plc is a UK based company, into grocery, related retailing an financial services business. The study is primarily to do financial assessment of this company and its performance relative to its peers and industry. Seeing the last 5 years report, it is evident that company was in a bad share 3 years ago, and now its in the stage of recovery. Starting 2004, there has been a major change in the board, as well as management. Since then company has taken several large…

Words 2945 - Pages 12

Examples Of Economies Of Scale In Business

managerial, financial, marketing and technological (Sloman, J., & Garratt, D., (2010)). For satisfying the demand on a larger scale, firms should be purchased a considerable of raw materials or products for resale in larger quantities. In accordance of Tesco financial report, ‘’they are using the size of the Tesco business to benefit their customers by lowering prices, improving quality, and sourcing new and different products from the best suppliers around the world’’ (Tesco plc, (2012)). The…

Words 2028 - Pages 9

Sustainable Strategy- a Business Report on Marks & Spencers Plc. Essay

Marks & Spencers Plc. By IRFAN BASHIR STUDENT ID: 3583591 Submission Date: 20 June 2011 Word Count: 2096(Without References & Appendix) Executive Summary | This document/report throws light on the business environment of Marks and Spencers and the analysis of strategic position, strategic direction, success criteria and backed up by future recommendations for the company based on all the mentioned aspects. The frameworks used to analyse the company are: PESTEL Analysis. Porter’s Five…

Words 3681 - Pages 15

Organisaiontal structures and culture, business environment Essay

1 Project Plan 8 2.2 Issues being considered for research 9 2.3 Methods to be used for carrying out research 10 2.4 Details of information gathered to date 10 3. Evaluation 11 3.1 Criteria for evaluation 11 3.1.1Fundamental Analysis 12 3.1.2 Technical Analysis 14 3.2Market Performance 14 3.3 Sector performance and Share performance and reasons for price variances 16 3.3.1Life insurance sector and AVIVA 16 3.3.2 Bank Industry sector and HSBC 22 3.3.3 Food and Drugs Retailer Sector and…

Words 9715 - Pages 39

Active Portfolio Essay

The stocks chosen were: ARM Holdings (ARM:LN); Associated British Foods (ABF:LN); BAE Systems (BA:LN); Barclays (BARC:LN); BHP Billiton (BLT:LN); British Petroleum (BP:LN); GlaxoSmithKline (GSK:LN); Rolls Royce (RR:LN); SAB Miller (SAB:LN); J Sainsbury (SBRY:LN). MEAN-VARIANCE OPTIMIZATION From the chosen stocks we collected historic monthly share prices for the last 10 years, (please see excel file for details) and from these historic prices we calculated the: mean return; variance;…

Words 4051 - Pages 17

Tesco Marketing Strategies Essay

Tesco: expanding at the highest rate in the global market Abstract: In today’s world most of the companies depend on its global strategies as it plays a crucial role to succeed in the throat-cutting competition between the companies. This report of international strategic management explains how Tesco introduce, devise and implement its international strategy to strive against the other companies in this rapidly changing market conditions. In this report we are also going to illustrate…

Words 4039 - Pages 17

What Is The Relationship Between Organisational Structure And Culture

Task 1: Understand the relationship between organizational structure and culture. P1.1: Compare and contrast different organisational structure and culture. According to Buchanan and Huczynski, an organisation is a ‘social arrangement for the controlled performance of collective goals’. Chester Barnard described an organisation as ‘a system of co-operative human activities’. Organisation are can be define as; ‘A deliberately formed group of human being with known boundaries and common goal’. Or…

Words 8523 - Pages 35

Stock Market and Shares Essay

fundamental and technical analysis One College Square South, Anchor Road, Bristol, BS1 5HL www.hl.co.uk Contents pg 3 Introduction Why pick shares? What this guide will tell you pg 4 Part A. Get the idea Method 1: Economic cycle Method 2: Big Themes Method 3: Scuttlebutt Method 4: Directors’ dealings Method 5: Newspapers and magazines Method 6: Excessive falls Get the idea - Summary pg 12 Part B. Analyse the Company Fundamental Analysis 1. Performance (Profit…

Words 6648 - Pages 27

Ratio Analysis of Domino's Pizza Essay

2009 – 2010 | | Masters in Business Administration |By- Tesar Singh Chauhan [DOMINO’s PIZZA UK & IRL FINANCIAL PERFORMANCE ANALYSIS] | Submitted as a part of module assessment for Accounting and Control | CONTENTS: Page Number 1. INTRODUCTION 2 1.1 DOMINO’s at LONDON STOCK EXCHANGE And Trading Information 2 2. FINANCIAL RATIO ANALYSIS ON DOMINO’s PIZZA UK & IRL PLC’s PERFORMANCE 3 3.1 PROFITABILITY RATIOS 3-4 3.2 LIQUIDITY…

Words 5037 - Pages 21