Financial Statement Review Home Depot

517 words - 3 pages

-------------------------------------------------
University of Phoenix Material

Financial Statement Review- Home Depot

The publicly traded US Corporation I chose was Home Depot, utilizing the most current fiscal year which ended February 2, 2014. “The world’s largest home improvement retailer most current On February 25, 2014, released its most current Fourth Quarter & Fiscal 2013 Results announcing a 21% increase in quarterly dividends and guidance for the 2014 Fiscal Year” (Home Depot Financial Reports, 2014).

What is the net income for the current fiscal year? Is it up or down from the prior year? Why would this information be important to stakeholders?

Based on the Home Depot financial statements, net income for the current fiscal year ...view middle of the document...

The ending balance in the stakeholders’ equity represents an outlook on a corporation’s success, an increases in a stakeholder’s equity and retained earnings propose a potential profit. Stakeholders would be potentially interested in this information since it would strengthen arguments for an increase in dividend payments.

What is the total value of assets? Why would this information be important to stakeholders?

The total value of assets, (as of February 2, 2014), for Home Depot is $40,518 million. This information would be important to stakeholders because assets of the company, offer a cushion from disastrous debt, should the market face a down turn in the economy or a significant blow to the company.

What is the total cash flow from operations? What does this represent and what financial statement user would be most interested in this information?

Based on the most recent financial statements from Home Depot financial statements, the total cash flow from operation for the (most) current fiscal year ending February 2, 2014, was $7,628 million.I believe this represents how the company is expanding, declining, or breaking even. It allows for project managers to identify weaknesses in the overall company, and to re-allocate assets from a stronger area to a weaker area to maintain positive momentum.
I believe this information would be important to the company owners and upper level managers for internal management and then to potential outside investors.

References

Home Depot Financial Reports. (2014). Retrieved on January 22, 2015 from,

http://ir.homedepot.com/phoenix.zhtml?c=63646&p=irol-reportscurrent

Kimmel, P., Weygandt, J., & Kieso, D. (2011). Accounting: Tools for business decision making. (4th ed.).

Other Papers Like Financial Statement Review- Home Depot

Value Publishing Essay

328 words - 2 pages his case follows the performance-review and financial-statement-forecasting decisions of a Value Line analyst for the retail-building-supply industry in October 2002. The case contrasts the strong operating performance of Home Depot with the strong stock-market performance of Lowe's. Students examine a financial-ratio analysis for Home Depot that acts as a template for generating a comparable ratio analysis for Lowe's. The student ratio analysis

Home Depot vs. Lowes Essay

1913 words - 8 pages Statement Ratio Analysis ------------------------------------------------- Home Depot Income Statement (2012, 2013, 2014) Home Depot ended the fiscal year February 2, 2014 ("fiscal 2013") and reported Net Earnings of approximately $5.4B, a continuous increase from 2013 and 2012. This net income shows that Home Depot is growing yearly in revenue. As stated early, I believe this could be the results of opening new stores domestically and

Home Depot Swot Analysis

1802 words - 8 pages Depot cuts growth forecast Retrieved on 11/13/2013 from: http://money.cnn.com/2003/01/17/news/companies/home_depot/ Company Profile (December 15,2009) Retrieved on 11/13/15 from: http://www.crocodyl.org/home_depot Home Depot (n.d) Retrieved on11/11/2013 from: http://www.forbes.com/search/?q=home+depot Farfan, Barbara (n.d) Home Depot Company Mission Statement - Values for a Customer-centric Culture Retrieved on November 12,2013 from http

The-Home-Depot-Inc

3424 words - 14 pages even through debt. So, the company has to have enough cash generating operations as well as net earnings. Moreover, it is not difficult for the rivals to imitate Home Depot core competencies. As a result, The Home Depot has to think of its business strategy for future success. May be, the company may pursue a mixed strategy for their long run business prosperity. 2. Analyze Home Depot¶s financial performance during the fiscal years 1983-1985

Home Depot

1523 words - 7 pages Home Depot A. Executive Summary * Introduction * The Home Depot Story - First Stage (1979-2000) * The Home Depot Story – Second Stage (2000 – 2006) * Problem Identification * Case Questions Introduction * Home Depot was founded in 1978 in Atlanta, Georgia by Bernie Marcus and Arthur Blank. * Both of them worked at Home Improvement Company in California and were fire by this company. * So instead of

Human Resource Processes in the Home Improvement Industry

2648 words - 11 pages have the benefit of medical, dental, and vision, along with long and short term disability insurance. Home Depot offers 401(k) options, employee stock purchasing plans, and incentive plans, but not all employees may benefit from these financial benefits as it says on the Home Depot Benefits webpage, although it doesn’t specify why these financial benefits aren’t available to all employees. Home Depot offers time- off benefits including vacation

Value Line Publishing

1722 words - 7 pages 2001, Home Depot use funds and assets much more reasonable and efficiency than Lowe’s, Home Depot earning more profit than Lowe’s in five years period time. The numbers of sales are stronger than Lowe’s. Comparison sales per transaction of Lowe’s and comparison sales per store of Lowe were increasing more rapidly than Home Depot, and Lowe’s had larger debt than Home Depot. Value Line Publishing is in the business of producing financial forecasts

Evironmental Scan

1542 words - 7 pages Rico, U.S. Virgin Islands, Guam, Canada, Mexico, and China (Annual Report, 2011, p. 7). The retailer sells approximately 40,000 products to consumers and its 321,000 associates are the key to the organization success who deeply believe in the values the organization. Instead of a mission statement, Home Depot has eight corporate values designed to guide the actions of all its employees. According to Home Depot, the corporate values are: “Taking

Strategic Management Analysis: the Home Depot

1348 words - 6 pages growth. This growth strategy, more specifically a horizontal growth strategy, was chosen by corporate management to improve the effectiveness of the corporation’s core competencies, and moreover, to better distribute and control financial risk. Operation within the home-improvement industry means that The Home Depot appeals to consumers as a both a service, and tangible good distributor. The company is solidly grounded in its business relationships

Finanical Statements Part 1

1092 words - 5 pages income are the major parts of the income statement. A financial statement user can view the Home Depot Statement of Earnings for the fiscal year ending February 1, 2009 for net sales is $71,288, which is down $6,061 from the previous year. The Cost of Sales for Home Depot is down from the previous year, from $51,352 to $47,298. The statement shows gross profit as $2,000 down from the previous year. The income statement for Home Depot show

Home Depot

574 words - 3 pages face obstacles for financing even through debt. So, the company has to have enough cash generating operations as well as net earnings. Moreover, it is not difficult for the rivals to imitate Home Depot core competencies. As a result, The Home Depot has to think of its business strategy for future success. Q2. Analyze Home Depot’s financial performance during the fiscal years 1983-1985. Compare Home Depot’s performance in this period with

Related Essays

The Financial Analysis Of Home Depot

2945 words - 12 pages The Financial Analysis of The Home Depot By: The CPT Consulting Group 10-3-11 CPT Consulting Group Table of Contents I. Introduction II. Board of Directors and Corporate Governance III. WACC and Capital Structure IV. Degree of Operating leverage V. Dividends VI. Conclusions VII. Appendix I. Introduction The Home Depot was founded in 1978 by Bernie Marcus and Arthur Blank. The home depot Inc

Predicting Financial Stress Home Depot/Lowes

2054 words - 9 pages , Inc. was founded in 1946 and is based in Mooresville, North Carolina. Below is a chart identifying Home Depot and Lowes key statistics taken from the period ending January 31st 2014 and February 2nd 2014. These statistics are important because they will aid in the predicting of each companies financial stress. 1st quarter Stats 2014 | Home Depot | Lowes Company | Current Share Price | 76.85 | 46.29 | Total Revenue | 79.38B

Financial Statement Review

775 words - 4 pages Financial Statement Review Team C HCS/405 September 15, 2014 Financial Statement Review Introduction This summary review provides insight in the Patton-Fuller Community Hospital financial statement. This paper will show the relationship between the two sources of revenue and expenses on the financial report, also review the annual reports from 2008-2009, along with the difference between the two statements audited and unaudited. In

Home Depot Book Review

1589 words - 7 pages Sean McDede 12/3/15 Professor Gallagher Strategic Management Built From Scratch by Bernie Marcus and Arthur Blank Built From Scratch: How a Couple of Regular Guys Grew the Home Depot from Nothing to $30 Billion, tells the story of Bernie Marcus and Arthur Blank, and how they are responsible for one of the biggest entrepreneur successes in recent history. This novel shows, first hand, how they became leaders within the home