Hershey's Financial Statement Comparison

HERSHEY'S COMPANY

http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9ODQ3MzR8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1

1) Hershey's 2010:

Total Revenue: $5,671,009

Total Expenses: $5,161,210

Tax Provision: $299,065

Net Income: $509,799

2) Hershey's Component Percentages: (dividing by net sales)

Total Expenses: $5,161,210 / $5,671,009=91%

Net Income: $509,799 / $5,671,009=9%

3) Compare Hershey's to...Nike: 

Total Revenue: 6,696 (millions)

Total Expenses: 3,364.2 (millions)  

Net Income: 1,906.7 (millions)

Nike's Component Percentages:

Total Expenses: 17%

Net Income: 10%

Total Sales: 19,014

link: http://alexnicolet2011.blogspot.com/

*Nike has a better component percentage than Hershey's. Nike has fewer expenses are a larger net income.

Balance Sheet:

Total Assets: $4,272,732

Total Liabilities: $3,335,131
Total Owner's Equity: $937,601

Based on the information above I would say that the Hershey's Company is financially strong. They have net income and overall more assets than liabilities. After looking at a chart that dates back to 2005, Hershey's has been steadily increasing their numbers over the years-another sign of financial strength.

Hershey's Fiscal Period

1) Hershey's is the largest chocolate manufacturer in North America. I chose to research Hershey's because it is one of the most succesful companies in the country and I enjoy thinking about chocolate, of course! Hershey's has been extremely successful since it's founding in 1894 and has continued to sustain it's business even during recent times of economic struggle.

2) http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9ODQ3MzR8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1

3) Hershey's fiscal period is from January 1 to December 31. The company files their financial statements on February 18.

4) It seems that Hershey's chose to have their fiscal period built around their highest times of sales; the holidays. Hershey's sales increase during Thanksgiving, Christmastime, and Valentines day. Putting the end of the fiscal period a little after the end of the holidays gives the company suficient time to produce its end of the year statements.