Thursday, March 22, 2012

Comment on revenue, profit and loss of key industry players


Revenue
Procter & Gamble is the company with the greatest revenue compared to its closed competitors. This company is generating significant revenues through licensing some of its brands and technologies to other firms. Procter & Gamble net revenue was of $9.8 billion over its trailing twelve months. Kimberly-Clark revenue over its trailing twelve months was of $ 1.5 billion. Johnson and Johnson revenue over its trailing twelve months was of $9.6 billion. The last company operates mainly in the health sector but has an assortment of family care, grooming and hygiene products to challenge Procter & Gamble and Kimberly-Clark.

Unilever has well balance sources of revenue. One third of its revenue comes from Europe. The second third comes from North and South America. The other third comes from Africa and Asia including Russia. 46% of Unilever’s revenue comes from developed countries and 56% comes from developing and emerging nations.

Profit
The gross profit margin for Johnson & Johnson is really high at 72.40%. Regardless of this company high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, Johnson and Johnson net profit margin of 1.30% is significantly lower than the same period one-year prior.

Unilever’s operating profit in 2011 was 6.4 billion Euros ($8.4 billion), up from 6.3 billion Euros ($8.3 billion) in 2010. Unilever's underlying operating margin for 2011 was 14.9 percent, down slightly from 15 percent in 2010. This decrease can be caused in part by inflation and the depressed consumer demand seen in developed countries.

Loss
Unilever shares fell 1.9 per cent to £20.50 being the number four company in the list of biggest fallers.

Avon’s North American sales fell 20 percent to $2.11 billion last year from 2007. The decline pushed the North American unit to an operating loss in 2011. The company is worth only  $8 billion today, down from $21.8 billion in June 2004. People say that the caused of this can be Avon’s direct sales model because in these days most Americans buy their cosmetics in stores.

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