Analysis of Corporate Reporting for 21st Century Technology PLC

This report provides a comprehensive analysis of corporate reporting, focusing on 21st Century Technology PLC. It begins by explaining the importance of corporate reporting to a business organization, highlighting its significance to management, shareholders, investors, and government bodies. The report then introduces 21st Century Technology PLC, a company operating in the industrial goods and services sector, and discusses its market position. A critical analysis of the company's financial performance over the past five years is presented, utilizing key financial ratios and metrics to assess its stability, profitability, and efficiency. The analysis also considers the company's impression management strategies. The report concludes with a final recommendation based on the analysis.

CONTEMPORARY CORPORATE REPORT

Table of contents
Part 1................................................................................................................................................3
Explain the importance of corporate reporting to a business organisation......................................3
Part 2:...............................................................................................................................................5
Introduction of the business.............................................................................................................5
Present a critical analysis of the company’s performance. Based on analysis on the most recent
five years performance of the company...........................................................................................7
Include in brief strategies of impression management that the company has used.......................15
Presenting a final recommendation...............................................................................................17
References......................................................................................................................................19

Part 1
Explain the importance of corporate reporting to a business organisation
Corporate reporting is very important for an firm that is to be conducted. It is important because
through such reporting the company is able to report all of its operational activities to the
stakeholder of the firm (Botti, Boubaker, Hamrouni & Solonandrasana, 2014). Through the
usage of corporate reporting the company can effectively\ report financial and non financial data
to the stakeholders of the form. It is to be mentioned that through the use of effective corporate
reporting every operations and events which have occured within the company is reported by the
firm. It is to be mentioned that through the use of corporate reporting companies will be able to
create the a better reporting communication with their key stakeholder (Stubbs & Higgins,2014).
The importance of corporate reporting is discussed in the below points
Importance to the management of the firm: Through corporate reporting the management of the
firm is able to communicate with the stakeholders and report every financial transactions and
events which have occured within the firm. Corporate reports created by the firm are also used
by the management of the firm to analyze the non financial and financial position of the firm in
the market. In this way the management of the firm gets facilitated through the information
which is there in the corporate report to discuss about their future plans with the stakeholders as
well. Corporate report in this sense also acts as an evidence to the firm for showing the financial
and non financial strength of the company in the market (Welford, 2014). The information
required for future decision making is also acquired from this source of information which can
be used by the management to make decision in regards of the future operational activities of the
firm.
Importance to shareholders and investors: Investors and shareholders are one who invest their
funds within the operational activities of the firm. Hence they use corporate report in order to
know about the financial stability of the firm in the market. Corporate reporting includes report
which describe the current stability, size and profitability of the firm in the market (Crowther,
2018). Based on this information the shareholder or the investor takes decision on there further
investment. Hence it can be said that corporate reporting plays an very important role in
rendering data which is required by the inverter for making future investment activities.

Importance to government and other stakeholders: The corporate reporting is also needed by the
governing bodies and other stakeholders which are associated with the firm operational
activities. It is important to consider that government and other stakeholder use corporate
resources to gain knowledge and the standards which the company has used for its operations
and on whether the company is operating on legal ground or not (Amran, Lee & Devi, 2014).
Government body such tax department looks at the amount of revenue and other tax related
treatment which the company has conducted for its accounting of taxes. In this way It can be said
that corporate report also act a source of information to the government boys as well. Through
the use of corporate detailing the organization can effectively report budgetary and non monetary
information to the partners of the structure. It is to be referenced that using successful corporate
revealing each task and occasions which have occurred inside the organization is accounted for
by the firm (Tschopp & Nastanski, 2014). It is to be referenced that using corporate revealing
organizations will almost certainly make a superior detailing correspondence with their key
partner.
From the above analysis it can be said that there are various ways in which corporate reporting is
important to the company as well as to the stakeholder of the company. This is because corporate
reporting helps the firm in creating a effective share of information in regards of the company's
corporate position in the current situation.
Part 2:
Introduction of the business
21st Century Technology PLC is a industrial goods and service making company listed on the
London Exchange market. The company is based in Europe and operates in UK, France and
Italy. The company provides modern technologies and solutions for Automobile operations. The
company has been incorporated in the United Kingdom and has major operations within this
country only. The company also renders operations in respect of solutions for CCTV operations
within the UK market. Basically the current market capital which the firm has is valued at 2.47
million. The company is a medium sized company which is operating in the London Stock
Exchange market. In this section there will be evaluation of the company’s financial and
nonfinancial operations which will give information of the company current status in the market.

Undertake an in-depth research into the company by evaluating a range of financial and non-
financial information, taking into account impression management
Now keeping in mind that the company tries to create influence over invertors and customers by
managing and controlling Social interactions under impression management, 21st Century
Technology PLC has also had a good impression within the market. This can be said to as an
process of subconscious impression building by looking at the company's operational context.
The firm is seen as a prominent technology provider company with automobile operations,
CCTV and fleet operations activities. Hence there are diverse area of operation in which the
company is operating in. Diversity in the market has created effective influence of the firm
within the market as the company is in for rendering technology solution in different industry
there is higher chance the the shareholder or the investor in the market have a belief that the
company is to incur profitability in either of their operations if one fails. This has created a
effective impression over the investors of the firm. Creating a good impression of the company
in the minds of the investor is the focus of the firm by effectively diversifying the area of
operations in which the company is operating in (Parhankangas & Ehrlich, 2014). On the
financial grounds the company has 2.76 million capital in the market which is enough for a
medium sized company to show its financial stability. The impression which the company wants
to give out is that the firm is a strong medium size firm in the market which is developing and
diversifying its operational areas which will eventually lead to development in the non financial
and financial size of the company (Massingham, 2014). In this way there will be a positive
impression within the investors and there will good amount of investment which will be done in
the projects of the firm. Thus there are assorted zone of activity in which the organization is
working in . Decent variety in the market has made compelling impact of the firm inside the
market as the organization is in for rendering innovation arrangement in various industry there is
higher possibility the investor or the financial specialist in the market have a conviction that the
organization is to bring about gainfulness in both of their activities on the off chance that one
falls flat (Talbot & Boiral 2018). This has made a compelling impression over the speculators of
the firm. Making a decent impression of the organization in the brains of the financial specialist
is the focal point of the firm by viably broadening the zone of tasks where the organization is
working in.

Present a critical analysis of the company’s performance. Based on analysis
on the most recent five years performance of the company
Formulas 21st Century Technology PLC Inome
Year Year
2018 2017 2016 201
5
201
4
201
8
201
7
201
6
201
5
201
4
(Current Assets /
Current Liabilities)
3.55
9302
126
2.79
2528
971
3.18
1348
61
2.6
340
105
6
2.2
165
404
04
2.7
977
567
47
2.7
977
567
47
2.7
977
567
47
2.7
977
567
47
2.7
977
567
47
(Current Assets -
Inventories)/
Current Liabilities
2.59
5580
489
2.04
4060
06
2.43
3164
288
2.0
899
334
25
1.2
165
404
04
2.5
233
087
98
2.5
233
087
98
2.5
233
087
98
2.5
233
087
98
2.5
233
087
98
Cash and Cash
equivalent / Current
Liabilities
0.23
2198
703
0.19
2809
007
0.13
9306
286
0.0
878
099
17
0.0
899
621
21
0.1
261
829
65
0.1
261
829
65
0.1
261
829
65
0.1
261
829
65
0.1
261
829
65
Days
(Average
Receivables /Net
Revenue)x365
22 23 18 15 6 9 9 9 9 9

(Average
Inventory /Cost of
Sales)x365
17 17 16 16 41 10 10 10 10 10
(Average
Payables /Cost of
Sales)x365
9 12 12 15 22 24 24 24 24 24
DSO + DOI - DOP 30 28 23 15 25 -5 -5 -5 -5 -5
%
(Gross Profit /
Revenue)
21% 26% 27% 36
%
53
%
78
%
78
%
78
%
78
%
78
%
(Operating Profit /
Revenue)
21% 26% 27% 36
%
53
%
78
%
78
%
78
%
78
%
78
%
(Net Income /
Revenue)
2% 3% 3% 4% 5% 7% 7% 7% 7% 7%
(operating profit/
Average Total
Capital employed)
18% 18% 21% 18
%
18
%
18
%
18
%
18
%
18
%
18
%
(Net Income /
Average Equity)
3% 3% 3% 2% 2% 2% 2% 2% 2% 2%
(Net income /
Average total
assets)
98% 98% 82% 98
%
98
%
2% 2% 2% 2% 2%

(Total Debt / Total
Equity)
0.33 0.16 0.14 0.0
1
-
0.0
9
0.0
3
0.0
3
0.0
3
0.0
3
0.0
3
(Total Debt / Total
Assets)
0.19 0.10 0.09 0.0
1
-
0.0
7
0.0
2
0.0
2
0.0
2
0.0
2
0.0
2
(Total debt / (Total
debt+Total Equity)
0.25 0.13 0.12 0.0
1
-
0.1
0
0.0
3
0.0
3
0.0
3
0.0
3
0.0
3
(EBIT / Interest) 46.1
3
78.9
0
64.5
6
116
.34
338
.15
285
.43
285
.43
285
.43
285
.43
285
.43
Net profit
attributable to
ordinary
shareholders /
WANS
-0.57 0.97 0.79 1.7
5
2.4
2
2.2
3
2.2
3
2.2
3
2.2
3
2.2
3
Dividend per share /
share price
6.71 5.90 5.41 4.7
0
4.0
5
5.5
0
5.0
0
4.5
5
4.1
3
3.7
6
Dividend per share /
EPS
-
130.
69
66.9
5
75.7
8
29.
61
18.
40
30.
39
27.
62
25.
11
22.
83
20.
76
Share price / EPS - 11.3 14.0 6.3 4.5 5.5 5.5 5.5 5.5 5.5

19.4
7
5 1 0 4 2 2 2 2 2
Current Assets £
5,50
3.00
£
3,92
5.00
£
4,06
5.00
£
3,0
59.
67
£
2,3
40.
67
£
3,8
95.
48
£
3,5
41.
35
£
3,2
19.
41
£
2,9
26.
73
£
2,6
60.
67
Current Liabilities £
1,54
6.09
£
1,40
5.54
£
1,27
7.76
£
1,1
61.
60
£
1,0
56.
00
£
1,3
92.
36
£
1,2
65.
78
£
1,1
50.
71
£
1,0
46.
10
£
951
.00
Inventories £
1,49
0.00
£
1,05
2.00
£
956.
00
£
632
.00
£
1,0
56.
00
£
382
.13
£
347
.39
£
315
.81
£
287
.10
£
261
.00
Cash £
359.
00
£
271.
00
£
178.
00
£
102
.00
£
95.
00
£
175
.69
£
159
.72
£
145
.20
£
132
.00
£
120
.00
Accounts
Receivables
£ £ £ £ £ £ £ £ £ £

3,32
5.00
2,60
2.00
1,78
2.00
1,0
26.
67
255
.17
356
.02
323
.65
294
.23
267
.48
243
.17
Net Revenue £
54,6
95.0
0
£
40,4
41.0
0
£
35,6
98.0
0
£
24,
614
.33
£
15,
115
.83
£
14,
979
.21
£
13,
617
.46
£
12,
379
.51
£
11,
254
.10
£
10,
231
.00
Cost of Sales £
32,0
39.0
0
£
22,5
53.0
0
£
21,4
69.0
0
£
14,
783
.67
£
9,4
98.
67
£
14,
130
.03
£
12,
845
.48
£
11,
677
.71
£
10,
616
.10
£
9,6
51.
00
Accounts Payables £
827.
22
£
752.
02
£
683.
65
£
621
.50
£
565
.00
£
926
.78
£
842
.52
£
765
.93
£
696
.30
£
633
.00
Gross Profit £
11,7
17.1
9
£
10,6
51.9
9
£
9,68
3.63
£
8,8
03.
30
£
8,0
03.
00
£
11,
701
.09
£
10,
637
.35
£
9,6
70.
32
£
8,7
91.
20
£
7,9
92.
00
Net Profit £
1,17
1.28
£
1,06
4.80
£
968.
00
£
880
.00
£
800
.00
£
1,0
36.
58
£
942
.35
£
856
.68
£
778
.80
£
708
.00

Capital
Employed(Total
Assets - Current
Liabilities)
£
63,6
91.9
1
£
59,5
52.4
6
£
45,7
89.0
0
£
50,
051
.07
£
45,
432
.17
£
63,
271
.08
£
57,
519
.17
£
52,
290
.15
£
47,
536
.50
£
43,
215
.00
Equity £
37,6
32.0
0
£
38,6
48.0
0
£
36,5
48.0
0
£
36,
525
.33
£
35,
983
.33
£
49,
230
.36
£
44,
754
.88
£
40,
686
.25
£
36,
987
.50
£
33,
625
.00
Debt £
12,3
50.0
0
£
6,00
0.00
£
5,04
0.00
£
486
.67
-£
3,1
68.
33
£
1,5
56.
34
£
1,4
14.
85
£
1,2
86.
23
£
1,1
69.
30
£
1,0
63.
00
Total Assets £
65,2
38.0
0
£
60,9
58.0
0
£
55,7
89.0
0
£
51,
212
.67
£
46,
488
.17
£
63,
323
.79
£
57,
567
.08
£
52,
333
.71
£
47,
576
.10
£
43,
251
.00
Interest £
254.
00
£
135.
00
£
150.
00
£
75.
67
£
23.
67
£
40.
99
£
37.
27
£
33.
88
£
30.
80
£
28.
00
Distributable Profit -£
565.
00
£
969.
00
£
785.
00
£
1,7
46.
£
2,4
21.
£
3,1
40.
£
2,8
55.
£
2,5
95.
£
2,3
59.
£
2,1
45.

33 33 49 00 45 50 00
Shares £
1,00
0.00
£
1,00
0.00
£
1,00
0.00
£
1,0
00.
00
£
1,0
00.
00
£
1,4
09.
93
£
1,2
81.
75
£
1,1
65.
23
£
1,0
59.
30
£
963
.00
DPS £
73.8
4
£
64.8
7
£
59.4
9
£
51.
72
£
44.
54
£
67.
69
£
61.
53
£
55.
94
£
50.
85
£
46.
23
Share Price £
11.0
0
£
11.0
0
£
11.0
0
£
11.
00
£
11.
00
£
12.
30
£
12.
30
£
12.
30
£
12.
30
£
12.
30
Looking at the current moment it can be said that 21st Century Technology has done better than
its rival in the same market Icomera. In the initial year Icomera is better in all the aspect which
are Profitability, liquidity, leverage and other ratio but slowly the 21st Century Technology has
grown into through better impression within the investor and increase in operational areas. This
is the reaon why in the currentuatiosn the company is doing better than its competitors (Pandey,
2015).
Include in brief strategies of impression management that the company has
used
The process by which people within an organisation ensure that pay play an important role in
interpersonal behaviour is called impression management (Rosenfeld, Edwards & Thomas,
2015). In order to ensure that in society there is proper management of of work development one
must have knowledge regarding impression management to use those in their betterment for
future work pressure ratio. Considering every challenges within society one must understand the
importance of impression management since it is the basic of understanding the society and work