The improved results were driven mainly by unit cost reduction and by a first contribution from LCC Vueling after its acquisition on 26-Apr-2013. British Airways more than doubled its operating profit to reach EUR762 million, contributing EUR415 million out of the total EUR793 million improvement in the group’s operating result. Iberia also reduced its pre-exceptional operating loss from EUR351 million to EUR166 million. IAG acquired Vueling on 26 Apr-2013, from which date it contributed EUR168 million to the group operating result . Now let’s see whether IAG brought about real cost reduction.
The global marketplace for biosimilars is estimated to be approximately $20 billion in 2020. Since both sterile injectables and biosimilars are large but growing categories, theoretically this deal should be a success. In this report, we also have done valuation to evaluate this deal better. Pfizer financed the transaction through a combination of existing cash and new debt, with approximately two-thirds of the value financed from cash and one-third from debt. This way, Pfizer put to use the huge cash it was sitting upon.
Such strong revenue visibility should allow the firm to adjust production rates and ride out economic downturns (Boeing website 2012). The current ratio takes Boeing’s current assets and divides it by their current liabilities. Boeing has seen an increase in their current ratio over the last three years. In 2009, Boeing’s current ratio was 1.07. Essentially
The receivables turnover ratio is an activity ratio measuring how successfully a In collecting its AR during the year, if the company has AR turnover 2 that means the AR turned over two times during the year. Accounts Receivable Turnover= Credit sales AR average (assume that 75% sales are credit) AVON= 9.1 ULTA= 41.1 REVLON= 4.12 • Fixed Asset Turnover, Reflecting how efficiently a company has used its assets to generate revenue, a higher ratio indicate of greater efficiency in managing and investing fixed-asset. Fixed Asset Turnover= Net sales/ net
As of 2015 this would be 118.85 / 2551.71 ie., 4.66% Hence WACC would be as follows: 1. As a team we can after careful analysis observe that Tesla’s present business strategy is concentrating upon the upper middle and the affluent class of the society. A huge market that lies untapped is the developing countries wherein an economic version of the battery cars with few modifications to create economy can benefit the company with a huge market share. This may in turn result in the increase in volume and hence gross revenue of the company. 2.
These premium locations are able to generate strong returns in a low commodity price environment. The shale player expects these wells to generate after-tax rates of return of 30% or better at $40 oil and more than 100% after-tax rates return at $60 oil. Therefore, these premium locations should enormously improve its performance when oil price starts improving and create value for its shareholders. This becomes evident as the company has identified about 3200 locations with approximately 2 billion barrels of oil equivalent of inventory at its premium locations for the next 12 years. The snapshot below shows its premium locations and rate of return at oil price in the bracket of $40 and $50 per
For below RM 1 IPO listings, upper limit was set at 400% or 30 sen (cents), whichever is achieved first, and lower limit is 30 sen (cents). On 15 May, 2006 Bursa Malaysia’s circuit breaker rules were amended to facilitate more liquid trading of ABF Malaysia Bond Index Fund. Bursa Malaysia justifies this practice through claims of internal study of index movements over a period of time including instances of sudden and sustained deceleration of index as well as a comparative studies of international best practices (Asmar & Ahmad
Increase brand awareness Janmar could increase brand awareness by adding an extra $350,000 to the traditional advertising budget. 3. Cut prices In an attempt to compete with the lower cost brands of paint, Janmar could cut its prices by 20%. 4. Hire a new sales representative Janmar Coatings, Inc. could add in a new sales representative whose sole job is to generate new leads in retail and professional accounts.
The exports of paracetamol during 1992-93 from India were estimated to be about 2400 MT. Exports of paracetamol is estimated to rise at an average annual growth rate of 15% considering the huge scope that exists for export of paracetamol. However, this will be possible only if Indian producers continue to compete with large international producers of paracetamol regarding the price and quality. Adoption of nitrobenzene route by few manufacture producing paracetamol by phenol/PNCB routed, as the former route has been proved to be most cost-effective. The domestic industry must evaluate the strategic implications of the new technology and take necessary actions to meet such competition
Corrected total unit cost Monthly production: 6-inch model: 1,920 units 10-inch model: 1,280 units Total: 3,200 units Direct and indirect variable costs Depreciations General Expenses Financial costs Overcapacity costs Corrected total unit cost Question 3 Calculate the monthly average operating income for the last 18 months. Operating Income Question 4 Which measures could we recommend to the company in order to improve the profit levels obtained in the income statement? QUESTION 4 Observation: Both models create losses when they are sold in quantities greater than 99 pieces per order. Propositions: Increase production level (Better use of the capacity), Increase the selling prices for big quantities Question 5 Société Générale received an exceptional order for 1’060 units of 6-inch tubes for a month, in addition to its regular production. Because he is running out of time, the client is ready to pay a unit price of € 88.