Financial Statement Analysis and Firm Performance

Lit. Guides
>
Free Essays
>
Business
>
Company Analysis
>
Dunkin Donuts: Financial Statement Analysis and Firm Performance
Cite
Print
Share
Dunkin Donuts: Financial Statement Analysis and Firm Performance Presentation
Exclusively available on IvyPanda
Updated: Jun 19th, 2022
Business Name
Chosen company: Dunkin Donuts.
Plans to expand its sales network and operations.
Strong brand reputation and international presence.
Target country: Australia.
The chosen company for the international business venture is Dunkin Donuts, which was founded in 1950. It is based in Canton, MA, USA and operates 11,000 stores worldwide including 9,200 stores in the US. It aims to expand its sales network and operations in other countries as well. The company manages its franchise-based outlets in 60 countries. The company has a strong brand reputation and experience of international partnerships. The target country selected for this plan is Australia. The company announced the decision to re-enter the country in 2013, but in 2014 the Global Chairman of the company, Nigel Travis withdrew from the decision to open its stores.

We will write a custom Presentation on Dunkin Donuts: Financial Statement Analysis and Firm Performance specifically for you
for only $16.05 $11/page

807 certified writers online
Business Name
Executive Summary
Operated in Australia from the 1980s till the late 2000s.
Exit reasons: Warm climate and preference for local brands.
Dunkin Brands Inc. announced a new name Dunkin for its stores in the US (Dunkin without the Donuts?, 2017).
Changes in the product line.
Dunkin can attract new customers.
Dunkin Donuts operated in Australia from the 1980s till the late 2000s. The reason for its exit from this market was the declining trend of donuts and hot coffees in the country due to its warm climate and preference for local brands.

Dunkin Brands Inc. has also announced its plan to try out a new name for its stores in the US. The new name will be Dunkin. The Australian market is proposed as the company has changed its product line and offers many other products other than donuts and coffee. Its aim is to deliver a new message about its product diversification (Dunkin without the Donuts?, 2017).

Executive Summary
Description of the Foreign Country
Australia is the 6th largest country and the 13th most developed country in the world.
Capital: Canberra.
Native language: English.
Religions: Christianity (54.6%), No religion (7.3%), Islam (2.6%) and others.
Highly literary rate (Australia Oceania: Australia, 2019).
Ease of Doing Business: 18th position in the World Banks listing.
Australia is the 6th largest country and the 13th most developed country in the world. Its capital is Canberra and the native language is English. Major religions include Christianity (54.6%), No religion (7.3%), Islam (2.6%) and others.

It has a democratic government. The people mainly follow Anglo-Celtic Western culture. Australia ranks at the 18th position in the World Banks listing for the ease of doing business and its best position was 9th in 2009.

Description of the Foreign Country
Business Description and Structure
Dunkin Donuts a global brand.
Sells 1.5 billion coffee cups annually.
Rebranding with a new brand name Dunkin.
Primary focus: Donuts and coffees.
Privately-owned franchised stores.
Standardized franchise structure.
Dunkin Donuts is a global brand which sells coffees and miscellaneous confectionaries. It sells 1.5 billion coffee cups annually. The company is rebranding itself as Dunkin which is a quick service restaurant and coffee house. It primarily focused on donuts and coffee until recently as it extended it menu and added new and healthy food items as well. It owns franchised stores in 60 countries and follows a standardized franchise structure.

Business Description and Structure
Market and Company Analysis
Major competitors: McDonalds, Donut King, Grumpy Donuts, and Starbucks, etc.
Australians prefer lattes and expressos.
Intense competition in the Australian market.
Strong standardized franchise structure.
Standardized product menu.
The major competitors in Australia are McDonalds, Donut King, Grumpy Donuts, and Starbucks, etc. Over the years, Australia has emerged to be one of the best coffee producers. The consumer preference is different from US as Australians like to have lattes and expressos. The competition in the market is intense as it is highly developed and many similar businesses operate in Australia. The company has a strong standardized franchise structure which is easy to replicate in all stores. Moreover, it has a standardized product menu which is easy to manage.

Get your 100% original paper on any topic done
in as little as 3 hours
Market and Company Analysis
Marketing and Sales Operational Plan
Offer master franchise.
Open multiple franchised stores.
Stores to be opened in major cities of Australia.
New branding strategy Dunkin.
and royalty.
Marketing activities approved by the company.
Four sources of revenue:
Royalty income and fees.
Rental income from restaurant leased-properties.
Sales of ice cream and other products.
Dunkin Donuts brand products (Dunkin Brands, Inc. Form 10-K 2017, 2017).
Dunkin Donuts will sell its master franchise to a Australian business. The franchise holder can open multiple stores according to the business requirements. It will require stores to be opened in major cities of Australia including Sydney, Melbourne, Brisbane, Perth, Adelaide, and Gold Coast. Dunkin Donuts will use its new branding strategy and use the new brand name Dunkin. The company will charge one-time franchise fee and earn royalty based on store sales. It requires franchise holders to carry out marketing activities.

There are four sources of revenue including:

royalty income and fees associated with franchised restaurants;
rental income from restaurant properties that the company leases or subleases to franchisees;
sales of ice cream and other products to franchisees in certain international markets;
other income including fees for the licensing of the Dunkin Donuts brand for products sold in certain retail channels (such as Dunkin K-Cup pods, retail packaged coffee, and ready-to-drink bottled iced coffee), refranchising gains, transfer fees from franchisees, and online training fees (Dunkin Brands, Inc. Form 10-K 2017, 2017).
Marketing and Sales Operational PlanMarketing and Sales Operational Plan
Investment Planning
Initial cash funding: $250,000
Single or multiple franchised stores.
Franchise fee: $40,000 $90,000.
Liquid capital requirement: $125,000.
Additional store investment: $250,000.
Applicants net worth: $500,000.
Training provided to franchisees.
Dunkin Donuts requires initial cash funding of $250,000 to acquire its franchise. The franchise holder can have single or multiple stores. The franchise fee is between $40,000 and $90,000. However, it is expected to be $40,000 in Australia. Liquid capital required to acquire the companys franchise is $125,000 and each additional store requires minimum investment of $250,000. The applicant must have a net worth of $500,000. The company provides training to franchisees to ensure that business standards are followed.

Investment Planning
Financial Statements Forecast
Assumptions:
Revenue per international outlet: $6,045 in 2017/18 (20.6 million / 3,397 stores).
Segment revenue and profit decreased by 10.20% and 27.80% respectively.
International sales: $2.1 billion in 2017/18
Royalty on sales: 5.9%.
Licensing earning: $42.3 million .
Sale growth: 2.8% growth in 2017/18 (Dunkin Brands reports third quarter 2018 results, 2018).
Operating income margin: 52%.
Net profit margin: 41%.
Expected sales growth: 6.0%.
Total assets growth: 11.47% per year (projected 3 years).
Dunkin Donuts revenue per international outlet was $6,045 in 2017/18 (20.6 million / 3,397 stores). Dunkin Donuts international franchises and ventures generated sales of $2.1 billion in 2017/18 and it earned 5.9% royalty on sales. It is equal to an average of $36,473 per international outlet. The company earned $42.3 million from other sources including licensing of the Dunkin Donuts brand for other products. It is equal to an average of $3,373 per outlet. It reported 2.8% growth in its sales in 2017/18. Its operating income margin was 52% and the net profit margin attributable to Dunkin brand was 41% in 2017/18.

Financial Statements Forecast
The forecasted income statement of the company is summarized on this slide. The companys revenue is expected to increase by 6.0% in 2018/19. Operating income and net profit attributable to Dunkin brands are expected to slightly decline.
The forecasted income statement of the company is summarized on this slide. The companys revenue is expected to increase by 6.0% in 2018/19. Operating income and net profit attributable to Dunkin brands are expected to slightly decline.
The forecasted balance sheet of the company is summarized on this slide. The companys total assets are expected to increase by 11.47% per year.
The forecasted balance sheet of the company is summarized on this slide. The companys total assets are expected to increase by 11.47% per year.
Business Health Assessment Liquidity Ratios
The companys liquidity position will remain strong as it will control its current liabilities by paying its suppliers on time. There is no change expected in the liquidity position because the company will maintain its cash position by generating sufficient cash flows from operating activities, It will manage its payables and receipts in the short term to ensure that there are no immediate financial problems.

Liquidity Ratios
Business Health Assessment Solvency Ratios
The companys solvency position will remain strong as its strategy is to repay high-interest loans and use its equity for business development and operating activities. The company will generate sufficient operating profit to meet its interest obligations. It will help the company to have the option of borrowing from banks when needed.

Solvency Ratios
Business Health Assessment Asset Management Ratios
The companys will remain efficient to manage its accounts receivable and accounts payable and keep a control over its cash position to avoid any liquidity issues. It is important for the company to manage its operating accounts efficiently to avoid any cash flow problems. Moreover, the company must have good relationships with its customers and suppliers for its business.

We will write a custom Presentation on Dunkin Donuts: Financial Statement Analysis and Firm Performance specifically for you!
Get your first paper with 15% OFF
Asset Management Ratios
Business Health Assessment Profitability Ratios
The companys profitability position will improve as the company will generate more sales and high profit margins.

Profitability Ratios
Business Health Assessment Market Value Ratios
The companys stock price is expected to increase in the next three years. It has been determined by analyzing its trend and also keeping in view the positive impact on its business decisions.

Market Value Ratios
References
Australia Oceania: Australia. (2019). Web.

Dunkin Brands, Inc. Form 10-K 2017. (2017). Web.

Dunkin Brands reports third quarter 2018 results. (2018). Web.

Dunkin without the Donuts? (2017). Web.

This presentation on Dunkin Donuts: Financial Statement Analysis and Firm Performance was written and submitted by your fellow student. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly.
Removal Request
If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda.
History of British Petroleum Company
Walmart: External and Internal Assessment
Find free essays, topics
Need a custom Presentation sample written from scratch by
professional specifically for you?

804 certified writers online

CITE THIS PAPER
Select a referencing style:

COPY TO CLIPBOARD
APA-7
APA-6
Chicago (N-B)
Chicago (A-D)
MLA-9
Harvard
Reference

IvyPanda. (2022, June 19). Dunkin Donuts: Financial Statement Analysis and Firm Performance. https://ivypanda.com/essays/dunkin-donuts-financial-statement-analysis-and-firm-performance/

Powered by CiteTotal, easy referencing machine
MORE RELATED PAPERS
Interview with the Chief Executive of Dunkin Donuts
Dunkin Brands Group Incorporation Expansion
Dunkin’ Donuts’ New Stores Organizational Plan
MGT 646 Project: Al Dahra Firm
New Brain Company: Investment Pitch
Etisalat: Innovations Overview
Adbri and Boral PPE Disclosure
Sustainable Sourcing and Procurement at Tesla
3 hours!
We’ll deliver a 100% original paper this fast
Learn More
Paper Details
Reading time 5 min
Type Presentation
Pages 16
Words 1430
Subjects Business Company Analysis
Language
English
Related Papers
Dunkin Donuts Organizations Distribution
Dunkin Donuts Companys Marketing Audit
Dunkin Donuts in Saudi Arabia
Starbucks vs. Dunkin Donuts: Marketing Strategy
Dunkin Donuts and Coffee Market Analysis
Walmart, Amazon and Dunkin Donuts Customer Relationship
Dunkin Donuts Products Competitive Advantage
Open support chat
Your privacy is extremely important to us. We utilize security vendors that protect and ensure the integrity of our platform while keeping your private information safe.
Contact Us
Phone
USA
+1 (866) 236-7979
Canada
+1 (800) 303-8389
Office
,
, . , , , , , .
Study Hub
Free Essays
Writing Tools
Lit. Guides
Donate a Paper
Q&A
Study Blog
Referencing Guides
Free Textbooks
Tongue Twisters
Company
About Us
Contact
Honor Code
Job Openings
Expert Application
Video Contest
Writing Scholarship
IvyPanda Shop
Legal
Terms and Conditions
Privacy Policy
Cookies Policy
Copyright Principles
DMCA Request
Service Notice
About
This is IvyPanda’s free database of academic paper samples. It contains thousands of paper examples on a wide variety of topics, all donated by helpful students. You can use them for inspiration, an insight into a particular topic, a handy source of reference, or even just as a template of a certain type of paper. The database is updated daily, so anyone can easily find a relevant essay example.

Get Professional Assignment Help Cheaply

Are you busy and do not have time to handle your assignment? Are you scared that your paper will not make the grade? Do you have responsibilities that may hinder you from turning in your assignment on time? Are you tired and can barely handle your assignment? Are your grades inconsistent?

Whichever your reason is, it is valid! You can get professional academic help from our service at affordable rates. We have a team of professional academic writers who can handle all your assignments.

Why Choose Our Academic Writing Service?

Plagiarism free papers
Timely delivery
Any deadline
Skilled, Experienced Native English Writers
Subject-relevant academic writer
Adherence to paper instructions
Ability to tackle bulk assignments
Reasonable prices
24/7 Customer Support
Get superb grades consistently

Online Academic Help With Different Subjects

Literature

Students barely have time to read. We got you! Have your literature essay or book review written without having the hassle of reading the book. You can get your literature paper custom-written for you by our literature specialists.

Finance

Do you struggle with finance? No need to torture yourself if finance is not your cup of tea. You can order your finance paper from our academic writing service and get 100% original work from competent finance experts.

Computer science

Computer science is a tough subject. Fortunately, our computer science experts are up to the match. No need to stress and have sleepless nights. Our academic writers will tackle all your computer science assignments and deliver them on time. Let us handle all your python, java, ruby, JavaScript, php , C+ assignments!

Psychology

While psychology may be an interesting subject, you may lack sufficient time to handle your assignments. Don’t despair; by using our academic writing service, you can be assured of perfect grades. Moreover, your grades will be consistent.

Engineering

Engineering is quite a demanding subject. Students face a lot of pressure and barely have enough time to do what they love to do. Our academic writing service got you covered! Our engineering specialists follow the paper instructions and ensure timely delivery of the paper.

Nursing

In the nursing course, you may have difficulties with literature reviews, annotated bibliographies, critical essays, and other assignments. Our nursing assignment writers will offer you professional nursing paper help at low prices.

Sociology

Truth be told, sociology papers can be quite exhausting. Our academic writing service relieves you of fatigue, pressure, and stress. You can relax and have peace of mind as our academic writers handle your sociology assignment.

Business

We take pride in having some of the best business writers in the industry. Our business writers have a lot of experience in the field. They are reliable, and you can be assured of a high-grade paper. They are able to handle business papers of any subject, length, deadline, and difficulty!

Statistics

We boast of having some of the most experienced statistics experts in the industry. Our statistics experts have diverse skills, expertise, and knowledge to handle any kind of assignment. They have access to all kinds of software to get your assignment done.

Law

Writing a law essay may prove to be an insurmountable obstacle, especially when you need to know the peculiarities of the legislative framework. Take advantage of our top-notch law specialists and get superb grades and 100% satisfaction.

What discipline/subjects do you deal in?

We have highlighted some of the most popular subjects we handle above. Those are just a tip of the iceberg. We deal in all academic disciplines since our writers are as diverse. They have been drawn from across all disciplines, and orders are assigned to those writers believed to be the best in the field. In a nutshell, there is no task we cannot handle; all you need to do is place your order with us. As long as your instructions are clear, just trust we shall deliver irrespective of the discipline.

Are your writers competent enough to handle my paper?

Our essay writers are graduates with bachelor's, masters, Ph.D., and doctorate degrees in various subjects. The minimum requirement to be an essay writer with our essay writing service is to have a college degree. All our academic writers have a minimum of two years of academic writing. We have a stringent recruitment process to ensure that we get only the most competent essay writers in the industry. We also ensure that the writers are handsomely compensated for their value. The majority of our writers are native English speakers. As such, the fluency of language and grammar is impeccable.

What if I don’t like the paper?

There is a very low likelihood that you won’t like the paper.

Reasons being:

When assigning your order, we match the paper’s discipline with the writer’s field/specialization. Since all our writers are graduates, we match the paper’s subject with the field the writer studied. For instance, if it’s a nursing paper, only a nursing graduate and writer will handle it. Furthermore, all our writers have academic writing experience and top-notch research skills.
We have a quality assurance that reviews the paper before it gets to you. As such, we ensure that you get a paper that meets the required standard and will most definitely make the grade.

In the event that you don’t like your paper:

The writer will revise the paper up to your pleasing. You have unlimited revisions. You simply need to highlight what specifically you don’t like about the paper, and the writer will make the amendments. The paper will be revised until you are satisfied. Revisions are free of charge
We will have a different writer write the paper from scratch.
Last resort, if the above does not work, we will refund your money.

Will the professor find out I didn’t write the paper myself?

Not at all. All papers are written from scratch. There is no way your tutor or instructor will realize that you did not write the paper yourself. In fact, we recommend using our assignment help services for consistent results.

What if the paper is plagiarized?

We check all papers for plagiarism before we submit them. We use powerful plagiarism checking software such as SafeAssign, LopesWrite, and Turnitin. We also upload the plagiarism report so that you can review it. We understand that plagiarism is academic suicide. We would not take the risk of submitting plagiarized work and jeopardize your academic journey. Furthermore, we do not sell or use prewritten papers, and each paper is written from scratch.

When will I get my paper?

You determine when you get the paper by setting the deadline when placing the order. All papers are delivered within the deadline. We are well aware that we operate in a time-sensitive industry. As such, we have laid out strategies to ensure that the client receives the paper on time and they never miss the deadline. We understand that papers that are submitted late have some points deducted. We do not want you to miss any points due to late submission. We work on beating deadlines by huge margins in order to ensure that you have ample time to review the paper before you submit it.

Will anyone find out that I used your services?

We have a privacy and confidentiality policy that guides our work. We NEVER share any customer information with third parties. Noone will ever know that you used our assignment help services. It’s only between you and us. We are bound by our policies to protect the customer’s identity and information. All your information, such as your names, phone number, email, order information, and so on, are protected. We have robust security systems that ensure that your data is protected. Hacking our systems is close to impossible, and it has never happened.

How our Assignment Help Service Works

1. Place an order

You fill all the paper instructions in the order form. Make sure you include all the helpful materials so that our academic writers can deliver the perfect paper. It will also help to eliminate unnecessary revisions.

2. Pay for the order

Proceed to pay for the paper so that it can be assigned to one of our expert academic writers. The paper subject is matched with the writer’s area of specialization.

3. Track the progress

You communicate with the writer and know about the progress of the paper. The client can ask the writer for drafts of the paper. The client can upload extra material and include additional instructions from the lecturer. Receive a paper.

4. Download the paper

The paper is sent to your email and uploaded to your personal account. You also get a plagiarism report attached to your paper.

smile and order essay PLACE THIS ORDER OR A SIMILAR ORDER WITH US TODAY AND GET A PERFECT SCORE!!!