Documente Academic
Documente Profesional
Documente Cultură
Submitted TO:
Sir Ali Abbas
Submitted By:
Rukhshan Tariq
(12014854-005)
Zubair Raza
(12014854-011)
Saad Mehmood
(12014854-032)
Luqman Akram
(12014854-043)
Naveed Alam
(12014854-000)
B.Com(Hons.) 7th A
University Of Gujrat
2 | Page
Acknowledgement
Contents
Acknowledgement....................................................................................2
INTRODUCTION......................................................................................4
HISTORY.................................................................................................5
Vision:......................................................................................................6
3 | Page
Mission:....................................................................................................6
Company Profit &Loss Account and Balance Sheet................................7
Profit & Loss Account...............................................................................7
Balance Sheet..........................................................................................7
Income Statement:...................................................................................8
Financial Ratio Analysis.........................................................................10
Activity Ratios:........................................................................................10
Liquidity Ratios:......................................................................................11
Solvency Ratio:......................................................................................11
Profitability Ratios:.................................................................................12
Common Size Analysis:.........................................................................14
INTRODUCTION
Nestle is the world's leading nutrition, health and wellness
company today and was founded in 1866 by Henri Nestle.
Nestle have more than 280,000 employees
worldwide but however have more than 2500
employees in Nestle Pakistan and has factories or
operations in almost every country in the world. More
Nestle 5th largest company in the world.
4 | Page
Being the world's leading bottled water company is based on a firm
economic model strong brands, global presence, innovation capacity,
environmental stewardship and passionate people.
Henri Nestle chose his own coat of arms to represent the company's
philosophy: a bird's nest, with a mother feeding her young. The image
represents our core values: care, family values, nutrition, healthy growth,
safety and comfort. It is a guarantee of quality and a commitment to our
responsibilities as a food company and experts in nutrition.
Over the years we have reaffirmed our commitment to wellness, helping
our consumers to live longer, healthier, and more productive lives, no
matter their age, gender or socioeconomic status.
Executive Name
Designation
Chairman
ROLAND DECORVET
CEO
JAN H. SASSEN
Director
ROGER STETTLER
Director
Director
A. CANTACUZENE
Director
RAYMOND FRANKE
Director
HISTORY
The history begins back in 1866, when the first European condensed
milk factory was opened in Cham, Switzerland, by the Anglo-Swiss
Condensed Milk Company.H e n r i N e st l e , a p ha r m a c i s t ,
d e v e l o p e d a f o o d f o r b a b i e s wh o we r e unable to breastfeed.
His first success was a premature infant who could not tolerate his
mother's milk or any of the usual substitutes which eventually
became the first Nestles customer.
After Nestle's new formula saved the child's life and
soon,farmine was being sold in 1874,Jules Monnerat purchased
5 | Page
Nestle and collectively tye launched the condensed milk. In 1905
Nestle merged with A n g l o - S wi s s wh i c h wa s an c o n d en s e d m i l k
c o m p a n y.
S o o n a f t e r N e s t l e established its roots all over Europe to
cater the need of the customers of Europe,as Nestle fame was
on the top so Nestle thought to start the production function all over
the world to increase the customer demand and meet or capture more
markets. Decision to go multinational was a fruitful idea, so as
now nestle has operations in America, India, England, Brazil, Australia,
Pakistan, Hungary, France, Belgium, Italy, Spain and various other
countries around the globe. Nestle are now in all seven continents &
having more than 522 factories in83 countries.
1867 In Vevey, Switzerland, the founder Henri Nestl, a German
pharmacist, launched his Farine lactee a combination of cows milk,
wheat flour and sugar, saving the life of a neighbors child. Nutrition has
been the cornerstone of our company ever since.
6 | Page
Vision:
Nestls vision is to be the globally recognized leading Nutrition, Health
and Wellness (NHW) Company. Nestl Pakistan subscribes fully to this
vision and the values that come with it. In particular, we envision:
Leading a dynamic, passionate and professional workforce which is
proud of our heritage and positive about the future Meeting the
nutritional needs of consumers of all ages from infancy to old age,
from nutrition to pleasure, through an innovative portfolio of branded
food and beverage products of the highest quality Delivering
shareholder value through profitable long-term growth, while continuing
to play a significant and responsible role in the social, economic, and
environmental sectors of Pakistan
Mission:
To positively enhance the quality of life of people of Pakistan by all that
we do through our people, our brands, products and our Creating
Shared Value (CSV) initiatives.
Year
2014
2013
2012
2011
2010
Sales
96,457,743
86,226,869
79,087,696
64,824,364
51,487,302
Cost Of Sales
69,133,753
62,066,072
57,564,265
48,099,046
37,608,733
Gross Profit
27,323,990
24,160,797
21,523,431
16,725,318
13,878,569
Operating Profit
14,113,463
11,471,270
10,966,120
8,457,907
6,857,854
7 | Page
Other Income
523,892
194,565
160,142
159,545
170,491
Finance Cost
2,155,637
2,113,096
1,827,969
1,050,355
513,081
110,009,168
8,112,962
7,977,974
6,502,864
5,696,180
Taxation
3,079,897
2,246,199
2,113,463
1,834,507
1,583,331
7,929,271
5,866,763
5,864,511
4,668,357
4,112,849
Balance Sheet
000
Year
2014
2013
2012
2011
2010
226,143
720,065
760,831
702,025
505,516
9,763,987
7,925,132
8,025,653
7,064,170
4,602,019
18,405,780
17,936,483
16,905,484
13,395,017
8,352,923
Investments
N/A
N/A
21,970,957
N/A
N/A
Fixed Asset
33,324,915
33,828,996
33,967,233
21,601,089
14,447,083
Total Assets
51,730,695
51,765,479
50,872,717
34,996,106
22,800,006
Current Liability
27,777,240
18,000,989
20,003,413
16,788,455
9,806,572
Fixed Liability
11,325,830
22,429,375
19,309,040
10,778,988
7,563,787
Total Liabilities
39,103,070
40,430,364
39,312,453
27,567,443
17,370,359
453,496
453,496
453,496
453,496
453,496
12,627,625
11,859,157
11,560,264
7,612,416
5,581,873
Cash
Inventory
Current Asset
Paid Up Capital
Total Equity
Income Statement:
Fiscal year is
January-December.
All values PKR
millions.
Sales/Revenue
2010
2011
2012
2013
5-year
trend
2014
51.49B
64.82B
79.09B
86.23B
96.46B
37.85B
48.38B
58.36B
62.99B
70.24B
COGS
excluding D&A
36.57B
46.76B
56.23B
59.99B
67B
1.28B
1.62B
2.13B
2.99B
3.24B
Depreciation &
Amortization
8 | Page
Fiscal year is
January-December.
All values PKR
millions.
2010
2011
2012
2013
5-year
trend
2014
Expense
Depreciatio
n
1.27B
1.61
B
2.12
B
2.99
B
3.23
B
Amortizatio
n of
Intangibles
9.5M
4.78
M
4.78
M
4.78
M
2.39
M
13.64B
16.45B
20.73B
23.24B
26.22B
Gross Income
2010
SG&A Expense
2011
2012
2013
5year
trend
2014
6.94B
8.17B
10.26B
12.29B
12.92B
6.94B
8.17B
10.26B
12.29B
12.92B
19.2M
75.57M
166.77M
59.4M
253.95M
106.55M
149.64M
75.35M
448.44M
(253.95
M)
(106.55M)
(149.64M)
(75.35M)
(448.44M)
Non Operating
Income/Expense
(470.68
M)
(688.6M)
(573.7M)
(28.02M)
356.14M
Non-Operating
Interest Income
18.26M
18.98M
Equity in Affiliates
(Pretax)
264.98M
903.47M
1.77B
2.59B
2.16B
264.98M
903.47
M
2.12B
2.59B
2.16B
350.17
M
5.7B
6.5B
7.98B
8.11B
11.01B
1.58B
1.83B
2.11B
2.25B
3.08B
Research &
Development
Other SG&A
Other Operating
Expense
Unusual Expense
Interest Expense
Gross Interest
Expense
Interest
Capitalized
Pretax Income
Income Tax
9 | Page
2010
2011
2012
2013
5year
trend
2014
1.41B
1.78B
1.29B
1.45B
3.91B
173.56M
52.35M
827.22
M
798.07
M
(831.25
M)
Income Tax
Credits
Equity in Affiliates
4.11B
4.67B
5.86B
5.87B
7.93B
4.11B
4.67B
5.86B
5.87B
7.93B
Extraordinaries
& Discontinued
Operations
Extra Items
& Gain/Loss
Sale Of
Assets
Cumulati
ve Effect
Accounti
ng Chg
4.11B
4.67B
5.86B
5.87B
7.93B
Consolidated Net
Income
Minority Interest
Expense
Net Income
Discontinued
Operations
Net Income After
Extraordinaries
10 | P a g e
2010
Preferred Dividends
2013
5year
trend
2014
4.11B
4.67B
5.86B
5.87B
7.93B
90.69
102.94
129.32
129.37
174.85
45.35M
45.35M
45.35M
45.35M
45.35M
90.69
102.94
129.32
129.37
174.85
45.35M
45.35M
45.35M
45.35M
45.35M
7.96B
9.82B
12.6B
13.78B
16.47B
EPS (Basic)
EPS (Diluted)
Diluted Shares
Outstanding
2012
Basic Shares
Outstanding
2011
EBITDA
2014
9.88
2013
10.88
2012
9.85
2011
9.18
2010
11.19
186.46
166.57
155.46
185.23
225.82
Liquidity Ratios:
Quick Ratio = Quick Assets / C. Liabilities
Solved: (2014)= 8641813/ 27777240 =0.31
Solved: (2013)= 10011351/ 18000989 =0.55
Solved: (2012) = 8879831\20003413 =0.44
11 | P a g e
Solved: (2011)= 6330847/ 16788455 =0.38
Solved: (2010)= 3750904/ 9806572 =0.38
Current Ratio = Current Assets/ Current Liabilities.
Solved: (2014)= 18405780/27777240 =0.66
Solved: (2013)= 17936483/18000989 =1.00
Solved: (2012)= 16905484/20003413 =0.85
Solved: (2011)= 13395017/16788455 =0.80
Solved: (2010)= 8352923/9806572 =0.85
Year
Quick
Ratio
Current
Ratio
2014
0.31
2013
0.56
2012
0.44
2011
0.38
2010
0.38
0.66
1.00
0.85
0.80
0.85
Solvency Ratio:
Total Debt to Equity = Total debt\ Total share holders Equity
Solved: (2014)= 39103070/12627625 = 309.66
Solved: (2013)= 40430364/11859157 = 340.92
Solved: (2012)= 39312453/11560264 = 340.07
Solved: (2011)= 27567443/7612416 = 362.14
Solved: (2010)= 17370359/5581873 = 311.19
12 | P a g e
Solved: (2010)= 17370359/22800006 = 76.19
Interest Coverage Ratio = EBIT\ Interest Payments
Year
Total
Debt to
Equity
Ratio
Total
Debt to
Asset
Ratio
Interest
Cover
2014
309.66
2013
340.92
2012
340.07
2011
362.14
2010
311.19
75.59
78.10
77.28
78.77
76.19
52.03
4.84
5.36
7.19
12.10
Profitability Ratios:
Net Profit margin = Net income\ Revenue
Solved: (2014)= 7929271/96457743 =8.22
Solved: (2013)= 5866763/86226869 =6.80
Solved: (2012)= 5864511/79087696 =7.42
Solved: (2011)= 4668357/64824364 =7.20
Solved: (2010)= 4112849/51487302 =7.99
13 | P a g e
Solved: (2010)= 13878569/51487302 =26.96
Operating Profit Margin = EBIT\ Revenue
Solved: (2014)= 14113463/96457743 =14.63
Solved: (2013)= 11471270/86226869 =13.30
Solved: (2012)= 10966120/79087696 =13.87
Solved: (2011)= 8457907/64824364 =13.05
Solved: (2010)= 6857854/51487302 =13.32
ROA = EBIT\ Average Total Assets
ROE = Net Income\ Share Holders Equity
Solved: (2014)= 7,929,271/12627625 =62.79
Solved: (2013)= 5,866,763/11859157 =49.47
Solved: (2012)= 5,864,511/11560264 =50.73
Solved: (2011)= 4,668,357/7612416 =61.33
Solved: (2010)= 4,112,849/5581873 =73.68'
Year
Net Profit
Margin
Gross
Profit
Margin
Operating
Profit
2014
8.22
2013
6.80
2012
7.42
2011
7.20
2010
7.99
28.33
28.02
27.21
25.80
26.96
14.63
13.30
13..87
13.05
13.32
14 | P a g e
Margin
ROA
ROE
15.33`
62.79
11.33
49.47
11.53
50.73
13.34
61.33
18.04
73.68
Percentage
Amount
2013
Percentage
96.46B
11.87%
86.23B
9.03%
2.39M
11.52%
4.78M
7.93%
26.22B
12.80%
23.24B
12.11%
SG&A
Interest
Expense
Pretax
income
12.92B
5.12%
12.29B
2.16B
-16.69%
11.01B
Net Income
7.93B
Particulars
Operating
Revenue
COGS
Gross
Income
Amount
2012
79.09
B
Percentage
22.00%
20.63%
19.77%
4.78M
20.73
B
10.26
B
2.59B
46.33%
1.77B
35.70%
8.11B
1.69%
35.16%
5.87B
0.04%
Amount
2011
64.82
B
Precentage
25.90%
Amount
2010
51.49
B
4.78M
16.45
B
27.83%
17.78%
95.71%
8.17B
903.47
B
240.96%
6.94B
264.9
8B
7.98B
22.68%
6.5B
14.16%
5.7B
5.86B
25.62%
4.67B
13.51%
4.11B
26.05%
25.60%
20.57%
9.5M
16.64
B