Accounting for Management - Syndicate Project

Table of Contents

1 Introduction................................................................................................................... 1

2 Background ................................................................................................................... 2

2.1 Giordano Holdings International Limited (0709.HK) ...................................................................... 2

2.2 Esprit Holdings Limited (0330.HK) .................................................................................................... 2

3 Industry Factors ..........................................................................................................3-4

3.1 Distributions ......................................................................................................................................... 3

3.2 Fashions and Product Mix ................................................................................................................... 3

3.3 Technology ............................................................................................................................................ 4

3.4 Seasonaility and Weather ..................................................................................................................... 4

4 Economic Factors.......................................................................................................5-6

4.1 Current Economic Conditions ............................................................................................................. 5

4.1.1 Income / Output ............................................................................................................................... 5

4.1.2 Unemployment................................................................................................................................. 5

4.1.3 Inflation.............................................................................................................................................. 5

4.1.4 Interest Rate ...................................................................................................................................... 5

4.2 Expected Economic Conditions ........................................................................................................... 6

5 Financial Ratios Analysis .........................................................................................7-11

5.1 Profitability ............................................................................................................................................ 7

5.2 Liquidity ................................................................................................................................................ 8

5.3 Risk.......................................................................................................................................................... 8

5.4 Leverage and Capital Structure.......................................................................................................9-11

5.4.1 Leverage............................................................................................................................................. 9

5.4.2 Capitalization Raio........................................................................................................................... 9

5.4.3 Equity Ratio..................................................................................................................................... 10

5.4.4 Debt Ratio........................................................................................................................................ 10

5.4.5 Asset Turnover ............................................................................................................................... 11

5.4.6 Times Interest Earned..................................................................................................................... 11

6 SWOT Analysis.........................................................................................................12-13

6.1 Giordano Holdings International Limited (0709.HK) .................................................................... 12

6.2