Financial Performance Analysis of Tesco Company

mentioned on brief Tesco
Table of Contents

INTRODUCTION.................................................................................................................................3
MAIN BODY........................................................................................................................................3
Financial statement analysis..............................................................................................................3
CONCLUSION.....................................................................................................................................5
REFERENCES......................................................................................................................................6
INTRODUCTION
Financial management is defined as managing the financial resources associated with
the organisation along with controlling the respective resources of the organisation. This

report is based on the case study of the Tesco Company in respect to the assessment about the
financial performance of organisation. The organisation was established in the year 1919 by
the founder Jack Cohen. Company has been associated with the retail sector at the global
level as the organisation is delivering its operations at approximately 6000 business locations
at the global level. Company deals in supermarket, hypermarket, super store and convenience
store. All these business ventures allow the company to serve the retail customers associated
with the respective market. In this project financial performance of the Tesco Company
would be evaluated. Henceforth, this report will emphasis over the performance of the
company in the last three financial year. This project would also address the liquidity
situation of the organisation in the last three financial years associated with the performance
of the company. Furthermore, this project will also emphasis over the financial structure of
the organisation based on the financial records and statistics of company of last three
financial years.
MAIN BODY
Financial statement analysis
Financial records comprises with the trading account, income statement and balance
sheet of the company. Tesco Company has been among the major organisation associated
with the retail sector at the global level. Assessment in respect to the financial performance
and presence of the organisation are based on the reflection of the information by the
financial records of the organisation. Performance of the organisation is reflected from the
gross profit and net profitability of the company. The statement of the financial records of the
Tesco Company reflect that company could generate the net profit of 2.03% in the latest
financial year which was more than the other three earlier financial year in which Tesco
Company could generate profit margins such as 2.62%, 2.26% and .26% (Hussain, Rigoni
and Cavezzali, 2018). Except the previous financial year company entertained ore significant
growth in it profit margins. Net profit ratio indicates the net performance of the company. On
the basis of the net profit ratio of company overall performance of the organisation is
analysed and assessed. The financial records of the organisation indicate about the positive
image in respect to the financial performance of the organisation. Except the year 2019 in
which Tesco Company entertained more amount of profit margin the current performance of
the organisation is much effective than compare to other financial year. It indicate about the