Financial Analysis and CSR of Apple and Samsung

This report compares the financial performance of Apple and Samsung and evaluates their corporate social responsibility initiatives. It includes a background of both companies, financial analysis, and CSR programs and initiatives. The report concludes that Samsung is better than Apple from the perspective of solvency, while Apple is better in terms of profitability. Both companies are making efforts towards enhancing their image in society through various CSR initiatives.

Financial Analysis
Management &
Enterprise
2018
Apple and Samsung
7/23/2018

FINANCIAL ANALYSIS AND CSR 1
Table of Contents
Introduction................................................................................................................................2
Background of Apple.............................................................................................................2
Background of Samsung........................................................................................................3
Question 2 Corporate Social Responsibilities........................................................................3
Corporate Social Responsibilities of Apple.......................................................................4
Corporate Social Responsibility of Samsung.....................................................................5
Conclusion..................................................................................................................................7
References..................................................................................................................................8
Appendix..................................................................................................................................10
Question 1 Financial Analysis of Apple..............................................................................10
Financial Analysis of Samsung............................................................................................13
Comparative Chart...............................................................................................................17

FINANCIAL ANALYSIS AND CSR 2
Introduction
Financial analysis is one of the essential aspects of the whole finance function of the business
that is comprised of observing the past data to attain data or information of the present and
future financial position of the business (Birchall, 2014). The financial analysis could be
applied in a varied range of circumstances that offer the information to the managers of the
business, which is required to take important decisions. The capability to comprehend the
financial data is important for every manager of the business. Finance is considered the
language of the business. Objectives and goals of the business are framed in the financial
terms and their results are evaluated in the financial terms. The finance function in a business
comprises analysis of the economic trends, framing financial policies, and making long-term
plans for the activities of the business. It is comprised of applying internal control system for
managing cash, the sales recognition, inventory valuation, and disbursement of expenses
(Fridson and Alvarez, 2011). This report is being prepared in order to compare the financial
performance of two major companies i.e. Apple and Samsung who are the key players in the
consumer electronic appliance industry. Besides this, the report will evaluate corporate social
responsibility of both the companies in order to identify their image and contribution towards
the benefit of the society.
Background of Apple
Apple Inc. is multinational technology company of America with headquarter in Cupertino,
California. The company majorly deals in the designing, creating, and selling computer
software, online services, and consumer electronics. The hardware products of the company
comprise the iPad tablet computer, the Mac personal computer, the iPhone smartphone, the
iPod handy media player, the HomePad that is a smart speaker, the Apple Watch it is a
smartwatch, and the Apple TV digital media player (Rawlinson, 2017). The software range of

FINANCIAL ANALYSIS AND CSR 3
Apple is comprised of iOS and macOS operating systems, web browser the Safari, media
player the iTunes, and productivity and creativity suites the iWork, and iLife, along with this
it also comprises professional applications such as Logic Pro, Xcode, and Final Cut Pro.
Company’s online services comprise the Mac App Store, iCloud, iOS App Store, Apple
Music, and iTunes Store (Zang, 2018).
Background of Samsung
Samsung is a multinational conglomerate of South Korea with the headquarter in Samsung
Town, Seoul. It includes various connected businesses; maximum of them are integrated
under the same brand i.e. Samsung. The company is the biggest conglomerate in South
Korea. The company was established in 1938 under the supervision of Lee Byung-Chul as a
trading company. Over the subsequent three decades, the group expanded its business into
different areas comprising textiles, securities, retail, food processing, and insurance. In the
late 1960s, the company initiated its steps towards the electronics industry and in the mid of
1970s in the industry of shipbuilding and construction (Samsung profile, 2013). These
industries have offered a subsequent growth to the whole group. After the death of Lee in
1987, Samsung was detached into four groups i.e. Shinsegae Group, Hansol Group, Samsung
Group, and CJ Group. Since 1990, the company has gradually globalized its electronics and
business activities specifically its semiconductors and mobile phones have become the most
significant income source (Lifewire, 2018). As of 2017, Samsung Company possessed the
sixth highest brand value at the global level.
Question 2 Corporate Social Responsibilities
Corporate social responsibility or CSR is a self-regulating model of business that assists a
company to become socially responsible to the public, its stakeholders, and itself (Haynes,
Murray and Dillard, 2013). By performing corporate social responsibility, businesses can be

FINANCIAL ANALYSIS AND CSR 4
aware of the type of influence they are having on every part of the society comprising
environmental, economic, and social (Schwartz, 2011).
Corporate Social Responsibilities of Apple
Lisa Jackson is the Vice President of Environmental Initiatives, who is responsible to report
directly to CEO i.e. Tim Cook, leads corporate social responsibility programs of Apple. It
must be known that "Steve Jobs wasn't famous for charity. Some speculated that he does
charity; even criticized him for his less contribution towards society, and many defended him.
However, under the leadership of Tim Cook in 2011, the concentration of the company on
CSR aspects was increased to some extent.
CSR Programs and Initiatives
Apple Supporting Local Communities
In 2011, the Global Volunteer Program was established to influence workers to volunteer in
local societies. After the launch of this program around USD, 78 billion was given in the
charities and non-profits across the world.
In March 2015, this program was again reviewed to offer workers the right to select the
projects in their local societies to which they want to contribute (Apple, 2015).
Apple Empowering and Educating Workers
The development and education program of Apple is accessible free of charge by 18 factories
and in 2016, around 280,000 workforces acquired numerous courses.
Under the supervision of Denise Young Smith who is the vice president of HR department of
Apple, Company has successfully expanded its programs of employee benefits to a
significant level. For instance, “expectant mothers are allowed to take off for four weeks

FINANCIAL ANALYSIS AND CSR 5
before their baby’s delivery and around 14 weeks after a baby’s birth, whereas fathers and
other non-birth parents are allowed to take off to six weeks as the parental leave”
Human and Labour rights at Apple
Apple Company imposes the Supplier Code of Conduct, which is said to be the hardest in the
industry of electronics.
The company has attained an average 95% acquiescence among supplies.
The company has examined cases of misuses of overseas workforces and the company has
made it compulsory for the suppliers to compensate affected "overseas contract workforces
USD 3.9 million in extreme fees provided to the brokers of the labor, carrying company's
total compensations from 2008 to USD 16.9 million" (Dudovskiy, 2018)
Health and Safety of Employees at Apple
The business has established the Academy of Apple supplier EHS, it is a program for 18
months that works to enhance the health and safety of the employees in the whole industry
across the globe. 270,000 workers and 240 suppliers have joined this program.
Corporate Social Responsibility of Samsung
The programs of Corporate Social responsibility of Samsung are enabled through the Council
of Sustainability Management, which is comprised of 14 linked departments that manage
issues of 10 diverse areas, comprising the environment and society (Samsung, 2018).
The Global Code of Conduct of Samsung is dependent on the following ethics:
 Keeping clean and precise organizational structure
 Being socially accountable
 Valuing workers, shareholders, and customers

FINANCIAL ANALYSIS AND CSR 6
 Following all the laws and ethical standards
 Caring for the safety, health, and environment
Samsung Assisting Local Communities
The Samsung Tech Institute enforces individuality and self-sufficiency among adults through
organized vocational education. The ingenuity has 39,659 recipients at the end of 2015.
The SMART School of Samsung highlights an essential gap in the worldwide education by
enhancing the environment of education for the students living in underprivileged areas. In
the year 2015, around 224,753 students appeared in Samsung SMART School.
A program i.e. Samsung Solve for Tomorrow has an objective to handle essential issues of
the society. This program involved non-profit organizations and students in order to
recognize the most persistent social issues and to execute solutions for these issues.
Samsung care Drive provides a variety of healthcare programs. In 2014, the company has
near around 30 active programs mainly in Russia, Africa, and China.
Samsung Nunum Village wishes to target the origins of poverty through offering an operative
infrastructure to communally underprivileged parts of the population. In the range of this
program, partnerships are made with domestic and national governments to offer an wide-
ranging support for the infrastructure of education, clean water, building community centers,
and medical facilities (Continuum, 2018).
Samsung Empowering and Educating Employees or workers
Employee benefits are offered abroad and Korea in 2015 with the total amount of KRW
3.853 billion.
Training time is declared according to every employee in 2015

FINANCIAL ANALYSIS AND CSR 7
Around 5,500 people have utilized the Career Consulting Centre of Samsung.
The company in connotation with its EDP (Expertise Development Process) annually
conducts Samsung talent review sessions. A procedure of talent nurturing supports workers in
creating an individual path of their career and creating a strong vision with their manager. In
Korea, around 2000 employees appear for STAR sessions yearly.
Human and Labour Rights at Samsung
The company conducted inspections in China of 235 suppliers for the prevention of child
labor in 2015 (Dudovskiy, 2017).
Conclusion
The above report has presented the financial analysis of Apple and Samsung Company and it
can be concluded from the perspective of solvency Samsung is better than Apple as it is
utilizing its internal funds or reserves more than external funds which reduces the liability of
the company. Moreover, from the perspective of profitability Apple is better than Samsung
because it is able to generate more returns for its shareholders as compared to Samsung.
Besides this, in terms of Corporate Social Responsibility both the companies are making their
maximum efforts towards enhancing the view of society by offering various opportunities to
its employees as well as saving the natural resources by reducing the consumption of water.

FINANCIAL ANALYSIS AND CSR 8
References
Apple (2015) Corporate Social Responsibility Policy [online]. Available from
https://www.apple.com/in/legal/policies/Apple_India_2015_CSR.pdf [accessed 25 July 2018]
Birchall, A. (2014) Financial Analysis and Control: Financial Awareness for Students and
Managers 1ST ed. U.K: Butterworth-Heinemann.
Continuum (2018) SAMSUNG [online]. Available from
https://www.continuuminnovation.com/en/what-we-do/case-studies/tomorrow-solutions
[accessed 25 July 2018]
Dudovskiy, J. (2017) Samsung Corporate Social Responsibility [online]. Available from
https://research-methodology.net/samsung-corporate-social-responsibility/ [accessed 25 July
2018]
Dudovskiy, J. (2018) Apple Corporate Social Responsibility (CSR) [online]. Available from
https://research-methodology.net/apple-corporate-social-responsibility-csr/ [accessed 25 July
2018]
Fridson, M.S., and Alvarez, F. (2011) Financial Statement Analysis: A Practitioner's Guide
4th ed. U.S: John Wiley & Sons.
Haynes, K., Murray, A., and Dillard, J.F. (2013). Corporate Social Responsibility: A
Research Handbook 2nd ed. U.S: Routledge.
Lifewire (2018) The History of Samsung (1938-Present) [online]. Available from
https://www.lifewire.com/history-of-samsung-818809 [accessed 25 July 2018]

FINANCIAL ANALYSIS AND CSR 9
Rawlinson, N. (2017) History Of Apple [online]. Available from
https://www.macworld.co.uk/feature/apple/history-of-apple-steve-jobs-mac-3606104/
[accessed 25 July 2018]
Samsung (2018) Corporate Social Responsibility [online]. Available from
http://www.samsungengineering.com/sustainability/corporate/project/suView [accessed 25
July 2018]
Samsung profile (2013) Revision [online]. Available from
https://www.samsung.com/common/aboutsamsung/download/performance/Samsung_Profile
_2013.pdf [accessed 25 July 2018]
Schwartz, M.S. (2011). Corporate Social Responsibility: An Ethical Approach 2nd ed.
Canada: Broadview Press.
Zang, Q. (2018) Research on Apple Inc’s Current Developing Conditions. Open Journal of
Business and Management, 6(2018), 39-46.

FINANCIAL ANALYSIS AND CSR 10
Appendix
Question 1
Financial Analysis of Apple
Horizontal Analysis
2017 2016 2015 2014
Net sales
22923
4 25%
21563
9
18
%
23371
5
28
%
18279
5
Cost of sales
14104
8 26%
13137
6
17
%
14008
9
25
%
11225
8
Gross margin 88186 25% 84263
19
% 93626
33
% 70537
Operating expenses:
Research and development 11581 92% 10045
66
% 8067
34
% 6041
Selling, general and administrative 15261 27% 14194
18
% 14329
19
% 11993
Total operating expenses 26842 49% 24239
34
% 22396
24
% 18034
Operating income 61344 17% 60024
14
% 71230
36
% 52503
Other income/(expense), net 2745
180
% 1348
38
% 1285
31
% 980
Income before provision for income taxes 64089 20% 61372
15
% 72515
36
% 53483
Provision for income taxes 15738 13% 15685
12
% 19121
37
% 13973
Net income 48351 22% 45687
16
% 53394
35
% 39510
Vertical Analysis
Income Statement 2017 2016 2015 2014
Net sales
22923
4
100
%
21563
9
100
%
23371
5
100
%
18279
5
100
%
Cost of sales
14104
8 62%
13137
6 61%
14008
9 60%
11225
8 60%
Gross margin 88186 38% 84263 39% 93626 40% 70537 40%
Operating expenses:
Research and development 11581 5% 10045 5% 8067 3% 6041 3%
Selling, general and administrative 15261 7% 14194 7% 14329 6% 11993 6%

FINANCIAL ANALYSIS AND CSR 11
Total operating expenses 26842 12% 24239 11% 22396 10% 18034 10%
Operating income 61344 27% 60024 28% 71230 30% 52503 30%
Other income/(expense), net 2745 1% 1348 1% 1285 1% 980 1%
Income before provision for income
taxes 64089 28% 61372 28% 72515 31% 53483 31%
Provision for income taxes 15738 7% 15685 7% 19121 8% 13973 8%
Net income 48351 21% 45687 21% 53394 23% 39510 23%
Balance sheet
Current Assets 2017 2016 2015 2014
Cash and cash equivalents
2028
9 5.41%
2048
4 6.37%
2112
0 7.3%
1384
4 5.97%
Short-term marketable securities
5389
2
14.36
%
4667
1
14.51
%
2048
1 7.1%
1123
3 4.85%
Accounts receivable
1787
4 4.76%
1575
4 4.90%
1684
9 5.8%
1746
0 7.53%
Inventories 4855 1.29% 2132 0.66% 2349 0.8% 2111 0.91%
Deferred tax assets 0.00% 5546 1.9% 4318 1.86%
Vendor non-trade receivables
1779
9 4.74%
1354
5 4.21%
1349
4 4.6% 9759 4.21%
Other current assets
1393
6 3.71% 8283 2.57% 9539 3.3% 9806 4.23%
Total current assets
1286
45
34.28
%
1068
69
33.22
%
8937
8 30.8%
6853
1
29.56
%
0.00%
Long-term marketable securities
1947
14
51.88
%
1704
30
52.98
%
1640
65 56.5%
1301
62
56.14
%
Property, plant and equipment, net
3378
3 9.00%
2701
0 8.40%
2247
1 7.7%
2062
4 8.90%
Goodwill 5717 1.52% 5414 1.68% 5116 1.8% 4616 1.99%
Acquired intangible assets, net 2298 0.61% 3206 1.00% 3893 1.3% 4142 1.79%
Other non-current assets
1016
2 2.71% 8757 2.72% 5556 1.9% 3764 1.62%
Total assets
3753
19
100.0
0%
3216
86
100.0
0%
2904
79
100.0
%
2318
39
100.0
0%
Current liabilities:
Accounts payable
4904
9
13.07
%
3729
4
11.59
%
3549
0
12.22
%
3019
6
13.02
%
Accrued expenses
2574
4 6.86%
2202
7 6.85%
2518
1 8.67%
1845
3 7.96%
Deferred revenue 7548 2.01% 8080 2.51% 8940 3.08% 8491 3.66%
Commercial paper
1197
7 3.19% 8105 2.52% 8499 2.93% 6308 2.72%
Current portion of long-term debt 6496 1.73% 3500 1.09% 2500 0.86% 0

FINANCIAL ANALYSIS AND CSR 12
Total current liabilities
1008
14
26.86
%
7900
6
24.56
%
8061
0
27.75
%
6344
8
27.37
%
Deferred revenue, non-current 2836 0.76% 2930 0.91% 3624 1.25% 3031 1.31%
Long-term debt
9720
7
25.90
%
7542
7
23.45
%
5346
3
18.41
%
2898
7
12.50
%
Other non-current liabilities
4041
5
10.77
%
3607
4
11.21
%
3342
7
11.51
%
2482
6
10.71
%
Total liabilities
2412
72
64.28
%
1934
37
60.13
%
1711
24
58.91
%
1202
92
51.89
%
Shareholders’ equity:
Common stock and additional paid-
in capital,
3586
7 9.56%
3125
1 9.71%
2741
6 9.44%
2331
3
10.06
%
Retained earnings
9833
0
26.20
%
9636
4
29.96
%
9228
4
31.77
%
8715
2
37.59
%
Accumulated other comprehensive
income/(loss) -150
-
0.04% 634 0.20% -345
-
0.12% 1082 0.47%
Total shareholders’ equity
1340
47
35.72
%
1282
49
39.87
%
1193
55
41.09
%
1115
47
48.11
%
Total liabilities and shareholders’
equity
3753
19
100.0
0%
3216
86
100.0
0%
2904
79
100.0
0%
2318
39
100.0
0%
Ratio Analysis
Liquidity 2017
201
6
201
5
201
4
Current ratio= Current Assets/Current Liabilities 1.28 1.35 1.11 1.08
Quick ratio= Quick Assets/Current Liabilities 1.23 1.33 1.08 1.05
Efficiency 2017 2016 2015 2014
Inventory turnover ratio = cost of goods sold/average
inventory
40.3
7
58.6
4
62.8
2
57.9
4
Receivables turnover Ratio= net sales/average total
receivables
13.6
3
13.2
3
13.6
2
11.9
6
Fixed asset turnover = net sales/average fixed assets 0.99 1.04 1.28 1.12
Profitability
201
7
201
6
201
5
201
4
Gross profit Ratio= Gross Profit/ Net Sales 38.4 39.0 40.0 38.5

FINANCIAL ANALYSIS AND CSR 13
7% 8% 6% 9%
Net profit Ratio =Net Profit / Net Sales
21.0
9%
21.1
9%
22.8
5%
21.6
1%
Return on Equity= net icome after preference dividends/
average common stock holder's equity
36.0
7%
35.6
2%
44.7
4%
35.4
2%
Solvency 2017
201
6
201
5
201
4
Debt ratio = total Debt/ total assets 0.64 0.60 0.59 0.52
Debt to equity ratio = total Debt/ Total Equity 1.80 1.51 1.43 1.08
Equity ratio= Total Equity/ Total assets 0.36 0.40 0.41 0.48
Market Value
201
7
201
6
201
5
201
4
Earnings Per share =net income after preference dividends/
total common stock
9.2
7
8.3
5
9.2
8
6.4
9
Financial Analysis of Samsung
Horizontal Analysis 2017 2016 2015 2014
Net sales
21181
2 16%
17847
3 -2%
17736
5 -3%
18227
3
Cost of sales
11430
8 1%
10633
9 -6%
10915
1 -4%
11339
0
Gross profit 97504 42% 72134 5% 68214 -1% 68883
Selling and administrative expenses 50076 7% 46282 -1% 44867 -4% 46762
Operating profit 47428
114
% 25852 17% 23347 6% 22121
Other non-operating income 2662 -21% 2863
-
15% 1490 -56% 3360
Other non-operating expense 1255 -37% 2178 9% 3291 65% 1997
Share of profit of associates 178 -41% 17
-
94% 974
221
% 303
Financial income 8609 18% 10066 38% 9295 27% 7301
Financial expense 7938 23% 9466 47% 8867 38% 6447
Profit before income tax 49684
102
% 27154 10% 22948 -7% 24641
Income tax expense 12386
213
% 7062 78% 6100 54% 3961
Profit for the period 37298 80% 20092 -3% 16848 -19% 20680
Vertical Analysis

FINANCIAL ANALYSIS AND CSR 14
Income Statement 2017 2016 2015 2014
Net sales
21181
2
100.00
%
17847
3
100.00
%
17736
5
100.0
%
18227
3
100.00
%
Cost of sales
11430
8 53.97%
10633
9 59.58%
10915
1 61.5%
11339
0 62.21%
Gross profit 97504 46.03% 72134 40.42% 68214 38.5% 68883 37.79%
Selling and administrative
expenses 50076 23.64% 46282 25.93% 44867 25.3% 46762 25.65%
Operating profit 47428 22.39% 25852 14.49% 23347 13.2% 22121 12.14%
Other non-operating income 2662 1.26% 2863 1.60% 1490 0.8% 3360 1.84%
Other non-operating expense 1255 0.59% 2178 1.22% 3291 1.9% 1997 1.10%
Share of profit of associates 178 0.08% 17 0.01% 974 0.5% 303 0.17%
Financial income 8609 4.06% 10066 5.64% 9295 5.2% 7301 4.01%
Financial expense 7938 3.75% 9466 5.30% 8867 5.0% 6447 3.54%
Profit before income tax 49684 23.46% 27154 15.21% 22948 12.9% 24641 13.52%
Income tax expense 12386 5.85% 7062 3.96% 6100 3.4% 3961 2.17%
Profit for the period 37298 17.61% 20092 11.26% 16848 9.5% 20680 11.35%
Balance Sheet 2017 2016 2015 2014
Assets
Current asset
Cash and cash equivalents
2700
5
10.12
%
2839
0
12.25
%
2000
9 9.34%
1488
6 7.31%
Short-term financial
instruments
4371
7
16.39
%
4635
6
20.00
%
3909
6
18.24
%
3685
1
18.09
%
Short-term available 2821 1.06% 3216 1.39% 4090 1.91% 2905 1.43%
Trade receivables
2448
6 9.18%
2146
6 9.26%
2224
7
10.38
%
2182
9
10.72
%
Non-trade receivables 3632 1.36% 3113 1.34% 2964 1.38% 3129 1.54%
Advances 1550 0.58% 1273 0.55% 1508 0.70% 1759 0.86%
Prepaid expenses 3390 1.27% 3096 1.34% 2803 1.31% 2958 1.45%
Inventories
2208
8 8.28%
1622
7 7.00%
1662
8 7.76%
1530
8 7.52%
Other current assets 1256 0.47% 1163 0.50% 915 0.43% 1587 0.78%
Asset held for sale 739 0.32% 68 0.03% 571 0.28%
Total current assets
1299
45
48.71
%
1250
39
53.94
%
1103
28
51.47
%
1017
83
49.97
%
Non-current asset
Long-term available-for-sale 6854 2.57% 6016 2.60% 7635 3.56%
1119
7 5.50%
Held-to-maturity financial asset 94 0.04% 0.00% 0.00%
Investment in associates 6014 2.25% 5161 2.23% 4664 2.18% 4625 2.27%
Property, plant and equipment
9872
5
37.01
%
8087
3
34.89
%
7644
1
35.66
%
7148
7
35.10
%
Intangible assets
1305
0 4.89% 4723 2.04% 4770 2.23% 4230 2.08%
Long-term prepaid expenses 3036 1.14% 3390 1.46% 3796 1.77% 4293 2.11%
Net defined benefit assets 730 0.27% 493 0.21% 4940 2.30% 4001 1.96%

FINANCIAL ANALYSIS AND CSR 15
Deferred income tax assets 4475 1.68% 4705 2.03%
Other non-current assets 3855 1.45% 1390 0.60% 1767 0.82% 2064 1.01%
Total Assets
2667
78
100.0
0%
2317
90
100.0
0%
2143
41
100.0
0%
2036
80
100.0
0%
Liabilities and Equity
Current Liabilities
Trade and other payables 8031 3.01% 5734 2.47% 5469 2.55% 6996 3.43%
Short-term borrowing
1394
0 5.23%
1127
0 4.86% 9860 4.61% 7097 3.48%
Other payables
1228
9 4.61%
1019
0 4.40% 7836 3.66% 9121 4.48%
Advances received 1104 0.41% 1201 0.52% 1187 0.55% 1262 0.62%
Withholdings 701 0.26% 606 0.26% 877 0.41% 1027 0.50%
Accrued expenses
1237
4 4.64%
1107
6 4.78%
1027
9 4.80%
1138
2 5.59%
Income tax payable 6549 2.45% 2509 1.08% 3006 1.40% 1910 0.94%
Current portion of long-term 246 0.09% 1090 0.47% 195 0.09% 1572 0.77%
Provisions 3797 1.42% 4065 1.75% 5675 2.65% 5296 2.60%
Other current liabilities 356 0.13% 310 0.13% 254 0.12% 288 0.14%
Liabilities held-for-sale 315 0.14% 25 0.01%
Total Current Liabilities
5938
7
22.26
%
4836
6
20.87
%
4463
8
20.85
%
4597
6
22.57
%
Non- Current Liabilities
Debentures 843 0.32% 52 0.02% 1088 0.51% 1198 0.59%
Long-term borrowings 1604 0.60% 1100 0.47% 236 0.11% 90 0.04%
Long-term other payables 1808 0.68% 2933 1.27% 2688 1.26% 2265 1.11%
Net defined benefit liabilities 344 0.13% 154 0.07% 317 0.15% 178 0.09%
Deferred income tax liabilities
1035
4 3.88% 6448 2.78% 4557 2.13% 3622 1.78%
Provisions 411 0.15% 317 0.14% 462 0.22% 441 0.22%
Other non-current liabilities 2395 0.90% 1823 0.79% 1805 0.84% 1328 0.65%
7714
6
28.92
%
6119
3
26.40
%
5579
1
26.06
%
5509
8
27.05
%
Equity attributable to owners
of parent
Preferred stock 105 0.04% 105 0.05% 105 0.05% 105 0.05%
Common stock 688 0.26% 688 0.30% 688 0.32% 688 0.34%
Share premium 3893 1.46% 3893 1.68% 3893 1.82% 3893 1.91%
Retained earnings
1908
02
71.52
%
1707
10
73.65
%
1636
45
76.45
%
1498
54
73.57
%
Other components of equity
-
1228
8
-
4.61%
-
1055
2
-
4.55%
-
1554
0
-
7.26%
-
1125
2
-
5.52%
Accumulated other 0.00% -25 - 21 0.01% 71 0.03%

FINANCIAL ANALYSIS AND CSR 16
comprehensive income 0.01%
0.00%
Non-controlling interests 6435 2.41% 5781 2.49% 5465 2.55% 5221 2.56%
Total equity
1896
35
71.08
%
1706
00
73.60
%
1582
77
73.94
%
1485
80
72.95
%
Total liabilities and equity
2667
81
100.0
0%
2317
93
100.0
0%
2140
68
100.0
0%
2036
78
100.0
0%
Ratio Analysis
Liquidity 2017
201
6
201
5
201
4
Current ratio= Current Assets/Current Liabilities 2.19 2.59 2.47 2.21
Quick ratio= Quick Assets/Current Liabilities 1.80 2.23 2.08 1.85
Efficiency 2017 2016 2015 2014
Inventory turnover ratio = cost of goods sold/average
inventory 5.97 6.47 6.84 7.41
Receivables turnover Ratio= net sales/average total
receivables 9.22 8.17 8.05 8.35
Fixed asset turnover = net sales/average fixed assets
43.4
8
42.3
4
43.0
7
97.1
1
Profitability
201
7
201
6
201
5
201
4
Gross profit Ratio= Gross Profit/ Net Sales
46.0
3%
40.4
2%
38.4
6%
37.7
9%
Net profit Ratio =Net Profit / Net Sales
17.6
1%
11.2
6%
9.50
%
11.3
5%
Return on Equity= net icome after preference dividends/
average common stock holder's equity
19.6
8%
12.2
0%
11.0
3%
14.4
4%
Solvency 2017
201
6
201
5
201
4
Debt ratio = total Debt/ total assets 0.29 0.26 0.26 0.27

FINANCIAL ANALYSIS AND CSR 17
Debt to equity ratio = total Debt/ Total Equity 0.41 0.36 0.35 0.37
Equity ratio= Total Equity/ Total assets 0.71 0.74 0.74 0.73
Market Value 2017 2016 2015 2014
Earnings Per share =net income after preference dividends/
total common stock
300.
00
158.
00
126.
00
153.
00
Comparative Chart
Liquidity 2017 2016 2015 2014
A
Current ratio= Current Assets/Current
Liabilities 1.28 1.35 1.11 1.08
S 2.19 2.59 2.47 2.21
A Quick ratio= Quick Assets/Current Liabilities 1.23 1.33 1.08 1.05
S 1.80 2.23 2.08 1.85
Efficiency
201
7
201
6
201
5
201
4
A
Inventory turnover ratio = cost of goods sold/average
inventory
40.3
7
58.6
4
62.8
2
57.9
4
S 1.49 1.62 1.71 7.41
A
Receivables turnover Ratio= net sales/average total
receivables
13.6
3
13.2
3
13.6
2
20.9
4
S
15.7
0
14.6
8
14.5
5
58.2
5
A Fixed asset turnover = net sales/average fixed assets 0.99 1.04 1.28 1.20
S
43.4
8
42.3
4
43.0
7
97.1
1
Profitability
201
7
201
6
201
5
201
4
A Gross profit Ratio= Gross Profit/ Net Sales
38.4
7%
39.0
8%
40.0
6%
38.5
9%
S
46.0
3%
40.4
2%
38.4
6%
37.7
9%
A Net profit Ratio =Net Profit / Net Sales 21.0 21.1 22.8 21.6

FINANCIAL ANALYSIS AND CSR 18
9% 9% 5% 1%
S
17.6
1%
11.2
6%
9.50
%
11.3
5%
A
Return on Equity= net icome after preference dividends/
average common stock holder's equity
36.0
7%
35.6
2%
44.7
4%
35.4
2%
S
19.6
8%
12.2
0%
11.0
3%
14.4
4%
Solvency 2017 2016 2015 2014
A Debt ratio = total Debt/ total assets 0.64 0.60 0.59 0.52
S 0.29 0.26 0.26 0.27
A
Debt to equity ratio = total Debt/ Total
Equity 1.80 1.51 1.43 1.08
S 0.41 0.36 0.35 0.37
A Equity ratio= Total Equity/ Total assets 0.36 0.40 0.41 0.48
S 0.71 0.74 0.74 0.73
Market Value
20
17
201
6
201
5
201
4
A
Earnings Per share =net income after preference dividends/
total common stock
9.2
7
8.3
5
9.2
8
6.4
9
S
30
0 158 126 153
Note: Here A denotes Apple and S denotes Samsung