Btc Company Analysis

Figure 6 projects the horizontal analysis and the trend shows that the growth of revenue for each year is negative. In the income statement, there exists no distinction of revenues where sales grow quickly. Thus, the revenue obtained shows fluctuation and it tends to decrease every passing year. From figure 2, foreign currency fluctuation is obtained against revenue. Revenue from foreign currency projects a declining trend for every year and this indicates that the managers of the group are not hedging properly.

In case of accounts receivables, the sales are not primarily on credit. Thus, it can be stated that cash transaction gains emphasis in the group by taking into consideration the industry in which it is operating (tele-communication industry). From figure 2, the relative size of accounts receivables over the years can be obtained and it has been seen that the percentage of the same against total assets is showing a declining trend. The group did not record any expenses related to bad-debt. Accounts receivables turnover of the group cannot be obtained due to unavailability of net credit sales and the day sales outstanding projects a fluctuating trend over the years.

From Figure 2, it can be stated that the group has not been recently engaged in research and developmental programs. The profit for each year fluctuates and projects an unstable scenario of the operating activities of the group.

The inventory for the company stands at 4347 thousand BD in 2016, 4607 thousand BD in 2015 and 4296 thousand BD in 2014 that exhibits an overall increasing trend. The inventories in the financial statements are stated at a lower value that is in between the cost and the net realizable value.