coke vs pepsi

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Prepared by Natasha Razzaq

Presenters:

Presenters Zainab Jafri Ishrat bano Natasha Razzaq Asia Wajid Fayza bukhari

Presentation Plan:

Presentation Plan History of Pepsi and Coca Cola Ratio Analysis of Liquidity Ratio Solvency Ratio Working Capital Ratio Profitability Ratio Turnover Ratio Debt Coverage Ratio Conclusion Questions

Ratio Analysis of Pepsi & Coca cola company:

Ratio Analysis of Pepsi & Coca cola company Topic

History of Pepsi:

Pepsi has been bringing fun and refreshment to consumers for over 100 years. The drink was first made in the 1890s by pharmacist Caleb Bradham in New Bern, North Carolina . The brand was trademarked on June 16, 1903. There have been many Pepsi variants produced over the years since 1898. Pepsi can be found in nearly 200 countries around the globe. History of Pepsi

History of Pepsi:

Pepsi is a carbonated soft drink produced and manufactured by PepsiCo, and PepsiCo is the American Multinational Company and world leader in convenient snacks, foods and beverages with revenues of more than $43 billion and over 198,000 employees. History of Pepsi

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Presented by Ishrat History of

Company Overview History:

Company Overview History 1886: John Pemberton, an Atlanta pharmacist, stirred up a fragrant, caramel-colored liquid and carried it a few doors down to Jacobs' Pharmacy. Here, the mixture was combined with carbonated water and sampled by customers who all agreed -- this new drink was something special. So Jacobs' Pharmacy put it on sale for five cents a glass. 1920-1960s: Coke was introduced overseas and became a partner of the Olympic games. By the time WWII was over, Coke doubled their bottling plants across the country and overseas.

COMPANY OVERVIEW :

COMPANY OVERVIEW The Coca-Cola Company (Coca-Cola) is a leading manufacturer. The company owns or licenses more than 400 brands, including diet and light beverages, waters, juice and juice drinks, teas, coffees, and energy and sports drinks.

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Largest manufacturer, distributor and marketer in the world .

Operates in 200 Countries Worldwide:

Operates in 200 Countries Worldwide

1.5 billion people consume a Coca-Cola product each day:

1.5 billion people consume a Coca-Cola product each day

Coke vs. Pepsi for financial position:

Coke vs. Pepsi for financial position Presented by Natasha Razzaq

Tests of Liquidity:

Tests of Liquidity Pepsi Company 2009 Current Assts 12,571,000 Current Liabilities 8,756,000 Inventory 2,618,000 Coca cola Company 2009 Current assts 17,551,000 Current liabilities 13,721,000 Inventory 2,354,000

Tests of Liquidity:

Tests of Liquidity Test of liquidity Pepsi 2009 Coke 2009 Current ratio 1.43 1.27 Quick ratio 1.13 1.10

Tests of Solvency:

Tests of Solvency Pepsi Company 2009 Current assts 12,571,000 Current liabilities Total assts 8,756,000 39,848,000 Total debt 23,044,000 Share holder equity 16,908,000 Coca cola Company 2009 Current assts 17,551,000 Current liabilities 13,721,000 Total assts 48,671,000 Total debt 23,872,000 Shareholder equity 24,799,000

Tests of Solvency:

Tests of Solvency Test of solvency Pepsi 2009 Coke 2009 Working capital ratio 0.095 0.078 Solvency ratio 1.36 0.96

Presented by Asia Wajid:

Presented by Asia Wajid

Tests of Profitability:

Tests of Profitability Coca cola Company 2009 Operating income 1,780,000 Annual interest 84,000 Net income 1,715,000 Total Revenue 7,510,000 Sales 7,510,000 Pepsi Company 2009 Operating income 8,044,000 Annual interest 397,000 Net income 5,946,000 Total Revenue 43,232,000 Sales 43,232,000

Tests of Profitability:

Tests of Profitability Test of profitability Pepsi 2009 Coke 2009 Debt coverage ratio 20.26 21.19 Profitability ratio 0.13 0.22 Turnover ratio 1.08 0.15

who is Better in Position:

who is Better in Position Presented by Fayza

Overall Performance of Pepsi & Coke:

Overall Performance of Pepsi & Coke

Strong Points of Pepsi:

Strong Points of Pepsi Generate High Working Capital Better Debt Service Coverage High Turnover Ratio High Liquidity

Weak Points of Pepsi:

Weak Points of Pepsi High Solvency risk Low Profitability

Strong Points of Coca Cola:

Strong Points of Coca Cola Low Solvency Risk High Profitability Ratio

Weak Points of Coca Cola:

Weak Points of Coca Cola Low Liquidity Generate Low Working Capital Low Debt Service Coverage Low Turnover Ratio

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Any Question