JUST CAR CLINICS

Financial Analysis

Financial Analysis

Introduction

Just Car Clinics Group is engaged in the collision damage repairs to all makers of cars, vans and motorcycles, principally in the United Kingdom. Just Car Clinics Group is an operator of a chain of collision repair centers that provide motor collision repair and accident damage rectification services for cars, vans and motorbikes. The group operates its collision repair centers throughout the North, East and central parts of the UK. The company is headquartered in Goole, the UK and employs around 628 people.

The group recorded revenues of £ 46.5 million (approximately $72 million) in the fiscal year ended December 2010, an increase of 8.6 % over 2009. The group's operating profit was £ 1.1 million (approximately $ 1.7 million) in fiscal 2010, a decrease of 6.6 % compared to 2009. The net profit of Just Car Clinics was £ 0.8 million (approximately $ 1.2 million) in fiscal 2010, a decrease of 2.5 % compared to 2009.

Overview

The financial performance of Just Car Clinics shows that the major portion of the assets is comprised of liabilities; which is a good indication for the company as the company's short term and the long-term debts are stable. In addition to this, the company's equity seems good or satisfactory, and it is high as compare to the liabilities. Moreover, the total assets per share and net assets per share reflect that the Just Car Clinics 's assets structure is in good shape which shows that the company can meet its financial obligations that is liabilities, if some sort of financial loss occur. In addition to this, past studies states that the financial analysis are to determine whether there are liquidity problems, the study of profitability determines the evolution of the company and return on invested capital, management and analysis of related variables involved in the short-term financing, obtaining rotations and time of collection and payment means.

Key Financials

(In GBP as of 12/31/2010) 

Income Statement

Revenue

47m

Net Income

1m

EPS - Net Income - Diluted

0.05

Revenue per Share

3.20

Balance Sheet

Total Assets

12m

Total Liabilities

8m

Shareholders' Equity

4m

Total Assets per Share

0.95

Net Assets per Share

0.31

Cash Flows

Cash from Operations

0m

Cash from Investing

-1m

Cash from Financing

-1m

Cash Flow per Share

0.01

Ratios

As it is known that the most important factors in the well being of a business, is to see how the company operates at a profit and to organize it in order to be able to meet its liabilities at appropriate times. If either of these points is not covered efficiently it could mean that the business might have to be closed down. This is the reason why we choose to calculate profitability, liquidity, asset management, debt ratios and per share which are the most important and reliable guides. In addition, various past studies states that we decide to calculate activity ratios in order to see how efficiently the company like Just Car Clinics has managed its debt management ratios, asset management ratios and per share values to commend upon the Just Car Clinics's sources of finance and whether a risk arises from increased debt.Calculation Of Ratios For Just Car Clinics

12/31/2010

12/31/2009

Gearing Ratios

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Total ...