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Brett Feeney, Shane Whitman, Emily Benson 201001791, 201102398, 2011026522. R cky’s Bikes. Rocky’s Bikes Overview in 2018. Total Sales of 7,603,520 Shareholder value of 3.54 Profits of 391,787 Earnings Per Share of 0.43 Total units sold of 13,526 Total costs of goods sold of 3,225,013
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Brett Feeney, Shane Whitman, Emily Benson201001791, 201102398, 2011026522 R cky’s Bikes
Rocky’s Bikes Overview in 2018 • Total Sales of 7,603,520 • Shareholder value of 3.54 • Profits of 391,787 • Earnings Per Share of 0.43 • Total units sold of 13,526 • Total costs of goods sold of 3,225,013 Rocky’s bikes decided to manufacture and sell two bikes in the mountain bike market segment. We put one in the higher price category at $750 a unit and one in the lower price range at $650 a unit.
Income Statement Financial Analysis • Decrease of net income in 2018 of $1,173,735 which was a decrease of 75% for a total net income of $391,787. • Highest net income in 2017 of $1,565,522 which was a 1663.3% increase from the previous year. • Highest Expenses in year 2018 of $3,818,811 • Ending Inventory was extremely high contributing to our raised expenses • Negative net income in year 2015 of (724,529). • high cost of COGS at 74.9% majorly contributed to this.
Balance Sheet Financial Analysis • Highest total assets in year 2018 with $11,906,074 invested which was a 59.8% increase from the previous year • Finished goods contributed to this significantly with $9,819,493 invested into finished goods. • Highest total liabilities and Shareholder Equity in 2018 totaling $5,508,123 and $6,397,951 respectively. • Since 2015 our total assets have been increasing which is good because the company is growing, but because Assets=Equity+Debt, our equity and debt are growing as well.
Ratio Analysis • Rocky’s Bikes had a Current Ratio of 1.78 which means our firm is healthy. When your Current Ratio is below 1.00 your firm may be in trouble because they may not be able to meet upcoming/unexpected costs and expenses. • Using the Earnings Per Share ratio our firm had EPS of 0.43 in 2018. This was so low because we had low net income of $391,787. Our closest competitor had an EPS ratio of 0.76 followed by 3.05.
High price Bolt_2015 • Positioning Map Annihilater_15A Adv4 Adv1 Adv6 Adv3 Adv2 Youth Mountain Road Adv5 Rugged_2015 Cool_15A BlasterZ_2015 Digimonsta_2017A Low price