Volcom Research Report 3

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Unformatted text preview: opyright(c) 2006-2010. All rights reserved. Report Date: June 27, 2010 PAGE 3 June 27, 2010 NASDAQ: VLCM VOLCOM INC Sector: Consumer Goods & Svcs Apparel, Accessories & Luxury Goods Source: GICS Annual Dividend Rate NA Annual Dividend Yield NA Consensus EPS Estimates² ($) IBES consensus estimates are provided by Thomson Financial 0.05 1.10 E 1.24 E Q2 FY10 2010(E) 2011(E) Beta 1.83 Market Capitalization $483.1 Million 52-Week Range $11.10-$24.79 Price as of 6/24/2010 $19.82 FINANCIAL ANALYSIS VOLCOM INC's gross profit margin for the first quarter of its fiscal year 2010 has increased when compared to the same period a year ago. The company managed to grow both sales and net income at a faster pace than the average competitor in its industry this quarter as compared to the same quarter a year ago. VOLCOM INC is extremely liquid. Currently, the Quick Ratio is 7.19 which clearly shows the ability to cover any short-term cash needs. The company's liquidity has decreased from the same period last year, indicating deteriorating cash flow. During the same period, stockholders' equity ("net worth") has increased by 14.97% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is very unlikely to face financial difficulties in the near future. INCOME STATEMENT Net Sales ($mil) EBITDA ($mil) EBIT ($mil) Net Income ($mil) Q1 FY10 77.42 12.50 10.99 7.53 Q1 FY09 68.32 8.11 6.35 4.22 Q1 FY10 108.99 249.14 0.02 224.41 Q1 FY09 84.89 214.54 0.08 195.19 Q1 FY10 56.20% 16.15% 14.19% 1.16 10.06% 11.17% Q1 FY09 52.91% 11.88% 9.29% 1.50 7.73% 8.50% Q1 FY10 8.87 0.00 NA NA Q1 FY09 9.13 0.00 NA NA Q1 FY10 24 0.00 0.31 9.21 NA 191,739 Q1 FY09 24 0.00 0.17 8.01 NA 164,172 BALANCE SHEET Cash & Equiv. ($mil) Total Assets ($mil) Total Debt ($mil) Equity ($mil) PROFITABILITY Gross Profit Margin EBITDA Margin Operating Margin Sales Turnover Return on Assets Return on Equity DEBT Current Ratio Debt/Capital Interest Expense Interest Coverage SHARE DATA Shares outstanding (mil) Div / share EPS Book value / share Institutional Own % Avg Daily Volume 2 Sum of quarterly figures may not match annual estimates due to use of median consensus estimates. This report is for information purposes only and should not be considered a solicitation to buy or sell any security. Neither TheStreet.com Ratings nor any other party guarantees its accuracy or makes warranties regarding...
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