1) What 3 items of important information does the income statement reveal about the financial performance of Kraft Foods Inc. over the last three years?
Kraft Foods, Inc. (NYS: KFT)
Income Statement
06/30/2011
12/31/2010
12/31/2009
Item
USD
% of Revenues
USD
% of Revenues
USD
% of Revenues
Revenues
13,878,000,000
100.00%
49,207,000,000
100.00%
40,386,000,000
100.00%
Direct Costs
9,007,000,000
64.90%
31,305,000,000
63.62%
25,786,000,000
63.85%
Gross Profit
4,871,000,000
35.10%
17,902,000,000
36.38%
14,600,000,000
36.15%
Taxation
389,000,000
2.80%
1,147,000,000
2.33%
1,259,000,000
3.12%
Net Income
976,000,000
7.03%
4,114,000,000
8.36%
3,021,000,000
7.48%
Kraft Foods, Inc. (NYS: KFT)
Profitability Ratios
12/31/2010
12/31/2009
12/31/2008
12/31/2007
12/31/2006
ROA % (Net)
5.08
4.66
4.41
4.19
5.41
ROE % (Net)
13.33
12.57
11.69
9.27
10.52
ROI % (Operating)
10.37
12.67
8.59
9.91
10.54
EBITDA Margin %
13.97
16.04
11.46
14.01
15.77
Calculated Tax Rate %
31.49
29.37
28.25
30.51
23.68
Revenue per Employee
387,457
416,351
429,446
361,563
381,733
Profit Margins %
Company
Industry
Gross Margin
35.8
12.1
Pre-Tax Margin
8.4
12.3
Net Profit Margin
5.9
9.1
5Yr Gross Margin (5-Year Avg.)
35.1
42.5
5Yr PreTax Margin (5-Year Avg.)
8.7
12.0
5Yr Net Profit Margin (5-Year Avg.)
6.2
8.9
There is an increasing trend in revenues of Kraft Foods Inc. every year. The ...