toyota motor corporation (tmc) fy2011. tmc group companies are toyota lexus scion daihatsu hino...
TRANSCRIPT
TOYOTA MOTOR CORPORATION (TMC) FY2011
TMC group companies are
• Toyota• Lexus• Scion• Daihatsu• Hino Motors, Ltd• DENSO• Toyota Industries• Fuji Heavy Industries (16.5%)• Toyota Financial Service
Overview
• Founded: August 28, 1937• Headquarters: Toyota city Aichi, Japan• One of the largest automobile manufacturers• No.1 global automaker 2010• 8,557,351 Units sold in 2010• Held 11% share of the total global auto market
Headquarters, Toyota City
Consolidated Financial Statements
Liquidity analysis
Liquidity ratios measure the company's ability to meet its short-term obligations.
• Current ratio• Quick ratio• Cash ratio
Current ratio
2011
= Current assets / Current liabilities=11829755/10790990=1.10
2010
= Current assets / Current liabilities=13073604/10686214=1.22
Quick ratio
2011
= Total quick assets / Current liabilities=9402175/10790990=0.871
2010
= Total quick assets / Current liabilities=10507783/10686214=0.98
Cash ratio
2011
= Total cash assets / Current liabilities=3510018/10790990 =0.33
2010
= Total cash assets / Current liabilities=4051635/10686212=0.38
Net working capital
2011
= Current assets - Current liabilities=11829755 - 10790990 =1038765
2010
= Current assets - Current liabilities=13073604 - 10686214=2387390
Activity Analysis
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.• Inventory turnover• Inventory turnover in days• Debtors turnover ratio• Average collection period
• Creditors turnover ratio• Average payment period• Working capital turnover ratio
Inventory turnover ratio
2011
= Net revenues / Inventories=18993688/1304242=14.56
2010
= Net revenues / Inventories=18950973/1422373=13.32
Inventory turnover in days
2011
= 365 / Inventory turnover=365/14.56=25
2010
= 365 / Inventory turnover=365/13.32=27
Debtors turnover ratio
2011
= Net revenues ÷ Trade accounts and notes receivable, less allowance for doubtful accounts=18993688/1449151=13.11
2010
= Net revenues ÷ Trade accounts and notes receivable, less allowance for doubtful accounts=18950973/1886273=10.05
Average collection period
2011
= 365 / Debtors turnover=365/13.11=28
2010
= 365 / Debtors turnover=365/10.05=36
Creditors turnover ratio
2011
= Net revenues / Accounts payable=18993688/1503072=12.64
2010
= Net revenues / Accounts payable=18950973/1956505 =9.69
Average payment period
2011
= 365 / Payables turnover=365/12.64=29
2010
= 365 / Payables turnover=365/9.69 =38
Working capital turnover ratio
2011
= Net revenues / Net working capital =18993688/1038765=18.28
2010
= Net revenues / Net working capital =18950973/2387390 =7.93
Profitability analysis
Profitability ratios measure the company's ability to generate profitable sales from its resources (assets).• Gross Profit Margin• Operating Profit Margin• Net Profit Margin• Return on Equity (ROE)• Return on Assets (ROA)
Gross profit margin
2011
= 100 × Gross profit / Net revenues= 100 x 3637448 / 18993688= 19.15%
2010
= 100 × Gross profit / Net revenues= 100 x 3691778 / 18950973= 19.48%
Operating profit margin
2011
= 100 × Operating income (loss) / Net revenues= 100 x 468279 / 18993688= 2.46%
2010
= 100 × Operating income (loss) / Net revenues= 100 x 147516 / 18950973= .78%
Net profit margin
2011
= 100 × Net income (loss) / Net revenues= 100 x 408183 / 18993688= 2.14%
2010
= 100 × Net income (loss) / Net revenues= 100 x 209456 / 18950973= 1.11%
Return on equity
2011
= 100 × Net income (loss) / shareholders’ equity= 100 x 408183 / 10332371= 3.95%
2010
= 100 × Net income (loss) / shareholders’ equity= 100 x 209456 / 10359723= 2.02%
Return on assets
2011
= 100 × Net income (loss) / Total assets= 100 x 408183 / 29818166= 1.37%
2010
= 100 × Net income (loss) / Total assets= 100 x 209456 / 30349287= 0.69%
The BIG THREE comparison
Comparisonwith major competitors
Profitability analysis Toyota GM Volkswagen AG
Gross Profit Margin 19.15% 17.2% 17.11%
Operating Profit Margin 2.47% 8.7% 11.4%
Net Profit Margin 2.15% 7.2% 10.7%
Return on Equity 3.95% 28.7% 32.10%
Return on Assets 1.37% 6.6% 3.08%
Comparisonwith major competitors
Activity analysis Toyota GM Volkswagen
Inventory Turnover 14.56 8.7 5.6
Inventory Turnover in Days 25 xx xx
Debtors Turnover Ratio 13.11 15.5 12.4
Average Collection Period 28 xx xx
Creditors Turnover Ratio 12.64 xx xx
Average Payment Period 29 xx xx
Working Capital Turnover Ratio 15.19 18.0 5.77
Comparisonwith major competitors
Liquidity Analysis Toyota GM Volkswagen
Current Ratio 1.10 1.3 1.2
Quick Ratio 0.87 0.8 0.9
Cash Ratio 0.33 xx xx