ACC 3015: Comprehensive Financial Analysis of Food Industry Firms

This report provides a comprehensive financial analysis of three independent firms in the food industry: Green Core Group plc, Hilton Food Group plc, and Premier Food plc. The report is divided into two sections. Section A analyzes the goals, objectives, and financial performance of each company, including detailed ratio analysis such as ROE, profit margin, and current ratio over a three-year period. Section B discusses funding sources and financial support. The analysis includes non-financial ratios and interpretations of the data presented in graphs and tables, offering insights into each company's strengths, weaknesses, and investment potential. The conclusion summarizes the key findings and provides an overall assessment of the financial health of the companies.

ACC 3015

Contents
INTRODUCTION.......................................................................................................................................3
MAIN BODY..........................................................................................................................................3
Section A.................................................................................................................................................3
Question 1...............................................................................................................................................3
Section B...............................................................................................................................................14
Question 2.............................................................................................................................................14
CONCLUSION.........................................................................................................................................16
REFERENCES..........................................................................................................................................17

INTRODUCTION
Three independent firms, Green core group plc, Hilton food group plc and Premier food plc, are
also the basis of the study. All three businesses work in the food industry and every one of them
has unique priorities and targets. The report is divided into two sections, the first section of
which includes comprehensive details about each corporation's aims and priorities. Along with
financial results, different types of ratios are often measured in a systematic way. Details on
different kinds of funding sources and can be used for financial support is covered in the next
part of the study.
MAIN BODY
Section A
Question 1
1a. Analysis of goals and objectives of each company:
Green Core Group plc: Green Core Group plc is a major manufacturer of ready meals. They are
delighted to offer a large range of chilled, frozen and aromatic items to some very successful
retail and junk food customers in the UK.
Strategic goals-Corporate goals are the general image targets for the organization: they describe
what the corporation will do to try to fulfill its purpose (Brief and Peasnell, 2013). Usually,
strategic targets are a form of progress target, such as launching new products, boosting sales, or
attracting more customers of the company's producer. The organization below has such priorities
as continues to follow:
The corporation's plan to raise demand in a growing food industry concentrated on three major
components: extending its product proposal and encouraging buyers to purchase more. By
driving sales through a joint supply chain, growing value throughout their businesses, as well as
doing as much for consumers, the company's strategy is to further enhance our importance to our
consumers. The achievement of the business target of the company based on three key
capabilities: nutritional safety, core staff, integrity of Green core, and firm's performance. A

large and competent organization named Green Core, undergirded by a mutual commitment to
doing trade, is active in executing this strategy.
Hilton food group plc- The industry has been a dynamic business with strong principles for a
prolonged period of time. The skilled picture of accomplishment is what attracts its consumers.
And their trust in longer partnerships has propelled their development in corporations. The
interest of the organization is to make that the business partners of the business surpass their
rivals. Total Teamwork is the organization's focus as a business. The loyalty, determination and
willingness of company to do everything it can to have its employees succeed. One work, one
purpose, one goal exchanged. Organization workers are at the heart of all the organization does.
The fully understand legacy has always been distinctive and significant. The values of the
corporation discuss the ways in which they think about themselves as an organization and how
they act as citizens. Company employees serve as relationships associates, based on shared
values and existing tactics. Such views are at the centre of our culture.
Premier food plc- The aim of the group assures them the perfect food that business consumers
love, healthy food that is simple to process and accessible in multiple ways, what they are now
doing regardless. That's why consumers see the products in almost 94% of German homes as a
whole. The organization sells big brands and excellent goods, and its goal is to illustrate how the
nutrition company is at the centre of how this is achieved effectively by a partner (Hellmann,
2013). The company works on the design of a truly beautiful operating site. The shared values of
the company include a common choice mechanism for employees and help to inspire them in the
way they perform jobs, and also force each other to introduce them into daily operations.
Important progress has also been made in the last 3 months in the implementation of the
organization's values and goals throughout the company, increasing improvement of cooperation
and connectivity.
1 b
Performance analysis of three companies:
Green core group plc-

GREENCORE GROUP
PLC 3/28/2020 3/30/2019 3/31/2018
ROE using Net income
(%) 34.66 4.55 1.72
ROCE using Net income
(%) 19.12 4.8 2.58
Profit margin (%) 7.48 0.75 0.53
Gross margin (%) 33.84 30.23 31.12
EBIT margin (%) 6.73 2.04 1.84
Collection period (days) 26 34 30
Credit period (days) 54 50 47
Current ratio (x) 0.69 2.01 0.75
Gearing (%) 156.67 90.47 119.39
Net assets turnover (x) 2.06 1.81 1.49
Non-financial ratios 3/28/2020 3/30/2019 3/31/2018
Shareholders’ funds per
employee 26 64 58
Total assets per
employee 100 173 167
HILTON FOOD GROUP
PLC 3/28/2020 3/30/2019 3/31/2018
ROE using Net income (%) 17.23 17.95 15.2
ROCE using Net income
(%) 9.02 11.98 12.43
Profit margin (%) 2.38 2.63 2.52
Gross margin (%) 16.17 12.69 11.93
EBIT margin (%) 3.08 2.8 2.58

Collection period (days) 37 31 30
Credit period (days) 54 50 47
Current ratio (x) 1.05 1.23 1.2
Gearing (%) 175.87 66.57 36.16
Net assets turnover (x) 3.58 5.56 6.53
Non-financial ratios 3/28/2020 3/30/2019 3/31/2018
Shareholders’ funds per
employee ( 38 38 44
Total assets per
employee 181 121 116
PREMIER FOODS
PLC 3/28/2020 3/30/2019 3/31/2018
ROE using Net
income (%) 2.77 -3.51 0.76
ROCE using Net
income (%) 3.37 1.16 2.94
Profit margin (%) 6.33 -5.18 2.55
Gross margin (%) 40.94 44.12 40.42
EBIT margin (%) 11.25 0.55 8.48
Collection period
(days) 27 29 24
Credit period (days) 65 65 59
Current ratio (x) 0.98 0.78 0.78
Gearing (%) 64.91 105.83 106.9
Net assets turnover
(x) 0.32 0.42 0.42
Non-financial ratios 3/28/2020 3/30/2019 3/31/2018
Shareholders’ funds 404 230 234

per employee
Total assets per
employee 729 533 540
Interpretation:
ROE using Net income (%)-
1/1/2018 1/1/2019 1/1/2020
-10
-5
0
5
10
15
20
25
30
35
40
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC
Analyze-It can be claimed on the grounds from the above graph that Green Core Company relies
on profits grew in 2019 and 2020. This indicates that the productivity of producing return with
the above market is increasing dramatically. In another hand, the success of Hilton Business in
2019 and 2020 is stable, which indicates that they will achieve greater earnings per share. This
can be examined, in the sense of Premier food plc, how overall efficiency is too poor relative to
all other firms.
ROCE (%)

1/1/2018 1/1/2019 1/1/2020
0
5
10
15
20
25
2.58
4.8
19.12
12.43 11.98
9.02
2.94
1.16
3.37
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC
Analysis- On the grounds of the aforementioned table, it can be claimed that Green core group
plc has a 19.12 percent greater return mostly on costs incurred relative to other firms. Besides
this, it can be claimed that the proportion of Hilton food plc has been reduced by 2.96 percent in
2020. The efficiency of Premier food plc is low relative to all firms, close to the above figure,
and this is attributed to increased capital expenditures.
Net profit margin:
1/1/2018 1/1/2019 1/1/2020
-6
-4
-2
0
2
4
6
8
10
0.53 0.75
7.48
2.52 2.63 2.382.55
-5.18
6.33
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC

Analyze: With respect to Green core plc, it can be calculated that their quality is evaluated by a
large margin in 2020 relative to 2019. In addition to this, owing to increased prices, Premier food
plc suffered a poor operating profit of -5.18 percent. In all 3 years, and the success of Hilton food
group plc, it is a positive indication.
Gross margin-
1/1/2018 1/1/2019 1/1/2020
0
5
10
15
20
25
30
35
40
45
50
31.12 30.23
33.84
11.93 12.69
16.17
40.42
44.12
40.94
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC
Analyze: In all 3 years, Green core group plc and Premier food parent company have each had
the same operating profit. And Premier Food plc is better than most firms in a favorable manner.
But at the other hand, in contrast to the both, the efficiency of Hilton food group plc is low.
That's because of increased sales prices and reduced earnings (Guilding, 2014).
EBIT-

1/1/2018 1/1/2019 1/1/2020
0
2
4
6
8
10
12
1.84 2.04
6.73
2.58 2.8 3.08
8.48
0.55
11.25
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC
Analyze: In every year which demonstrates their efficacy, Hilton food group plc is prepared to
accommodate their operating income and tax constants. In another side, in 2019, Green core
group plc and Premier food plc experienced downward trend and their output was efficiently
improved in 2020.
Collection period:
1/1/2018 1/1/2019 1/1/2020
0
5
10
15
20
25
30
35
40
30
34
26
30 31
37
24
29 27
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC
Analyze- In the sense of the gradual process, it can be mentioned that, relative to both firms,
Premier food plc is sufficient to reimburse its debt in much less duration. In another hand, it
takes too long time for the Hilton food company to recoup its debt. Along with Green core plc, in

2020 relative to 2019, Green core plc continued to minimize time for recovering the debts in
much less period.
Credit period:
1/1/2018 1/1/2019 1/1/2020
0
10
20
30
40
50
60
70
47 50
54
59
65 65
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC
Analyze- Only Green core food plc and Hilton food plc get an equivalent trade credit, the latter
of which paid off their loans at the same rate. Although Hilton foodstuff plc takes some time to
settle its debts.
Current ratio:
1/1/2018 1/1/2019 1/1/2020
0
0.5
1
1.5
2
2.5
0.75
2.01
0.69
1.2 1.23
1.05
0.78 0.78
0.98
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC

Analyze: The optimum ratio is 2:1 and we can figure out of the preceding map that Green core
group plc is capable of handling this proportion in 2019. While other firms, leading to increasing
current obligations, are unable to do so.
Net assets turnover ratio
1/1/2018 1/1/2019 1/1/2020
0
1
2
3
4
5
6
7
1.49 1.81 2.06
6.53
5.56
3.58
0.42 0.42 0.32
GREENCORE GROUP PLC
HILTON FOOD GROUP PLC
PREMIER FOODS PLC
Analyze- On the grounds from the above chart, it can be claimed that since they are capable of
handling their properties with less trouble and costs, Hilton food group plc has a stronger
proportion. Although Premier Food plc has a better proportion, it notes that its investments
cannot be handled.
Non financial ratios:
Shareholder fund per employee-