Recent Question/Assignment

Part I (guide between 500-700 words)
Using the consolidated financial statements of Bellamy’s Australia Ltd, calculate comparing the 2015 and 2016 figures:
1. The percentage increase in Gross profit.
2. The percentage increase in net profit after tax.
3. Return on investment (assets) for 2015 & 16. (hint, use EBIT).
4. As a financial analyst, comment (two paragraphs) on the strength of the Consolidated Statement of Profit or Loss and Other Comprehensive Income for 2016.
5. As a financial analyst, comment (two paragraphs) on the strength of the Consolidated Statement of Financial Position for 2016.
6. As a financial analyst, comment (two paragraphs) on the strength of the Consolidated Statement of Cash Flows for 2016.
7. Based on your analysis, and BEFORE knowledge of the recent share price decline and share trading halt, would you have recommended to your clients to buy, hold or sell Bellamy’s shares? Why?