Sei sulla pagina 1di 39

APRISA BUSINESS PROCESS SOLUTIONS INC.

I. Corporate Information

Aprisa Business Process Solutions, Inc., a wholly owned subsidiary of


Ayala Land, Inc. (ALI), was incorporated and formed in 2010 mainly to serve
ALIs more than 50 subsidiaries on payment processing, shopping center and
office leasing billings, tax administration, procurement processing, information
technology support, bookkeeping and financial reporting.

While APRISAs head office is located at the 6th Floor of Vertex One
Building, at the corner of F. Huertas and F. Yuseco Streets, the Company has
site offices in the major business locations of Ayala Lands developments.
Nature of Business
-

Services

Accounting Method
-

Accrual

II. Trend Line and Analysis of Sale

The trend line of Aprisa Business Process Solution, Incorporated in terms of its
sales is on uptrend direction, which means that the graph has a positive slope. As
shown above, year 2013 and 2014's performance were close to each other as the line
was neutral, but rose on year 2015. This means that year 2015 is the company's best
performance on its sales, followed by years 2013 & 2014, 2012 and 2011.

III. Vertical Computation and Analysis


A. FINANCIAL POSITION (VERTICAL ANALYSIS)

2011

APRISA BUSINESS PROCESS SOLUTIONS, INC.


FINANCIAL POSITION (VERTICAL ANALYSIS)
%
2012
%
2013
%

2014

2015

42,613,942
.00
7,413,634.
00
4,122,609.
00
54,150,18
5.00

57
%
10
%

30,909,27
4.00
29,445,32
2.00
10,451,01
3.00
70,805,6
09.00

ASSETS
CURRENT
ASSETS
Cash
Trade & Other
Receivable
Other Current
Assets
Total Current
Assets
NONCURRENT
ASSETS
Property &
Equipment
Deferred tax
assets
Recoverable
and other
deposit
other
noncurrent
assets
Total NonCurrent
Assets

7,250,867
.00
30,665,56
2.00
1,562,085
.00
39,478,5
14.00

27,913,59
4.00

10%
43%
2%
55%

39%

16,371,81
8.00
38,726,55
3.00
5,306,437.
00
60,404,8
08.00

21,162,98
3.00

20%
47%
6%
73
%

26%

30,531,32
4.00
9,001,536
.00
7,048,432
.00
46,581,2
92.00

16,350,67
0.00

48%
14%
11%
73
%

25%

15,244,509
.00
2,432,763.
00

5%
72
%

20
%
3%

8,378,334.
00
6,459,634.
00

36%
34%
12%
82%

10%
8%

2,437,596
.00

3%

1,947,700
.00

3%

1,246,262.
00

2%

1,298,295
.00

2%

3,298,431.
00

4%

263,388.0
0

0%

32,298,8
90.00

45%

22,409,2
45.00

27
%

17,648,9
65.00

27
%

20,975,70
3.00

28
%

15,101,3
56.00

18%

TOTAL
ASSETS
LIABILITIES
AND EQUITY
CURRENT
LIABILITIES
Accounts and
other payables
Income Tax
payable
Due to related
parties
Total Current
Liabilities
NON-CURRENT
LIABILITIES
Deferred tax
liabilities - net
Pension
Liability
Total
Liabilities
EQUITY
Capital Stock

71,777,4
04.00

100
%

82,814,0
53.00

100
%

64,230,2
57.00

100
%

75,125,88
8.00

100
%

85,906,9
65.00

6,072,466
.00

8%

56,765,38
0.00

69%

19,627,62
3.00

31%

24,806,993
.00

33
%

26,465,17
0.00
2,658,485.
00

40,373,15
8.00
46,445,6
24.00
1,186,408
.00

65%

56,765,3
80.00

69
%

19,627,6
23.00

31
%

24,806,99
3.00

Total Equity

3%

2,899,600.
00
27,706,59
3.00

33
%

29,123,6
55.00

34%

2%

47,632,0
32.00

66%

56,765,3
80.00

69
%

19,627,6
23.00

31
%

25,000,00
0.00

35%

25,000,00
0.00

30%

40,000,00
0.00

62%

(854,628.
00)
24,145,3
72.00

31%

56%

Retained
Earnings
Remeasurable
loss on defined
benefit
obligation
Deficit

100
%

-1%
34%

1,048,673.
00
26,048,6
73.00

1%
31
%

4,602,634
.00
44,602,6
34.00

40,000,000
.00
7,419,295.
00

37
%

4,918,863.
00
34,042,5
18.00

53
%
10
%

40,000,00
0.00
11,979,44
4.00

4%

6%
40%

47%
14%

(114,997.0
0)

0%

51,864,4
47.00

60%

7%
69
%

47,419,29
5.00

63
%

TOTAL
LIABILITIES
AND EQUITY

71,777,4
04.00

100
%

8281405
3

100
%

64,230,2
57.00

100
%

75,125,88
8.00

100
%

85,906,9
65.00

100
%

FINANCIAL POSITION (VERTICAL ANALYSIS)


For the year 2011, Trade and other Receivable 42.72% regained at ranked first,
followed by cash 10.10% and other current assets 2.18%. Meanwhile, in the non-current
assets, property & equipment 38.89% ranked first followed by recoverable and other
deposit 3.40% and other non-current assets 2.71%. Then, for the current liabilities, Due
to related parties 56.25% ranked first, followed by Accounts and other Payable
8.46%.Then, for the non-current liabilities deferred tax liabilities-net 1.65% ranked first.
For total equity, by Capital Stock 34.83% ranked first, followed by deficit -1.19%.
It shows that the total Liabilities of Aprisa Company composed of 66.36%
exceeded their total equity of 33.64% which do not manifest any improvement. In the
perspective of the owners of the company it is favourable because they are able to use
the money of their people in order to gain profit while in the perspective of the potential
investors.
For the year 2012, Trade and other Receivable 46.76% regained at ranked first,
followed by cash 19.77% and other current assets 6.41%. Meanwhile, in the non-current
assets, property & equipment 25.55% ranked first followed by recoverable and other
deposit 1.50%. Then, for the current liabilities, Accounts and other Payable 68.55%
ranked first. For total equity, by Capital Stock 30.19%. Ranked first, followed by deficit
1.27%.
It shows that the total Liabilities of Aprisa Company composed of 68.55%
exceeded their total equity of 31.45% which do not manifest any improvement. In the
perspective of the owners of the company it is favourable because they are able to use
the money of their people in order to gain profit while in the perspective of the potential
investors.
For the year 2013, Cash 47.53% regained at ranked first, followed by Trade and
other Receivable 14.01% and other current assets 10.97%. Meanwhile, in the noncurrent assets, property & equipment 25.46% ranked first followed by other non-current
assets 2.02% then, for the current liabilities, Accounts and other Payable 30.56%

ranked first. For total equity, by Capital Stock 62.28%. Ranked first, followed by deficit
7.17%.
It shows that the total Equity of Aprisa Company composed of 69.44% exceeded
their total Liabilities of 30.56% which do not manifest any improvement. In the
perspective of the owners of the company it is favourable because they are able to use
the money of their people in order to gain profit while in the perspective of the potential
investors.
For the year 2014, Cash 56.72% regained at ranked first, followed by Trade and
other Receivable 9.87% and other current assets 5.49%. Meanwhile, in the non-current
assets, property & equipment 20.29% ranked first followed by other non-current assets
4.39% and deferred tax assets 3.24%. Then, for the current liabilities, Accounts and
other Payable 33.02% ranked first. In the non-current liabilities Persion Liabilities 3.86%
ranked first for total equity, by Capital Stock 53.24%. Ranked first, followed by Retained
Earnings 9.88%.
It shows that the total Equity of Aprisa Company composed of 63.12% exceeded
their total Liabilities of 36.88% which do not manifest any improvement. In the
perspective of the owners of the company it is favourable because they are able to use
the money of their people in order to gain profit while in the perspective of the potential
investors.
Lastly For the year 2015, Cash 56.72%, Trade and other Receivable 9.87% and
other current assets 5.49% regained its position which was last observed in 2014. This
was followed by Cash 35.98%, Accounts Receivable 34.28% and other current assets
12.17%. For non-current assets, property and equipment 9.75% ranked, followed by
deferred tax assets 7.52% and Other Non-Current Assets 0.31%. Meanwhile, for the
current liabilities, Accounts and other Payable 30.81% ranked first, followed by Income
Payable 3.09%. In the non-current liabilities Persion Liabilities 5.73% ranked first. In
Total Equity. Capital Stocks 46.56% ranked first, followed by Retained Earnings 13.94%
and Remeasurable loss on defines benefits obligations -0.13%.

It shows that the total Equity of Aprisa Company composed of 60.37% exceeded
their total Liabilities of 39.63% which do not manifest any improvement. In the
perspective of the owners of the company it is favourable because they are able to use
the money of their people in order to gain profit while in the perspective of the potential
investors.

B. INCOME STATEMENTS (VERTICAL ANALYSIS)


APRISA BUSINESS PROCESS SOLUTIONS, INC.
INCOME STATEMENT (VERTICAL ANALYSIS)
2012
%
2013
%

2011

2014

2015

76,246,095.
00
81,461.00
1,400.00
76,328,956
.00

100
%
0%
0%
100
%

92,628,847.
00
68,786.00
766.00
92,698,399
.00

100
%
0%
0%
100
%

107,406,676
.00
111,613.00
15,298.00
107,533,58
7.00

65,152,603.
00

85%

84,200,101.
00

91%

73,766,163.
00

97%

7,376,163.0
0

8%

2,100

0%

1,730.00

0%

72,292,802
.00

95
%

91,578,014
.00

99%

4,036,154

5%

1,120,385

1%

-782,916

-1%

1,202,300

1%

1,507,182

1%

1,903,301

2%

2,833,454

3%

3,553,961

1,903,301

2%

2,833,454

3%

3,553,961

100
%
0%
0%
100
%

119,080,555
.00
95,603.00
4,578.00
119,180,73
6.00

100
%
0%
0%
100
%

140,384,071.
00
315,460.00
4,449.00
140,703,98
0.00

96,449,392.
00

90%

102,713,246
.00

86%

125,127,778.
00

89%

6,023,052.0
0

6%

7,452,975.0
0

6%

8,890,741.00

6%

92%

134,018,51
9.00

95%

8%

6,685,461

5%

2,697,854

2%

2,125,312

2%

3%

6,316,661

5%

4,560,149

3%

3%

6,316,661

5%

4,445,152

3%

REVENUE
Services
Interest Income
Other Income

EXPENSES
Direct Operating
expenses
General and
Administrative
expenses
Interest Expense and
other financing
charges
INCOME BEFORE
INCOME TAX
PROVISON FOR
(BENEFIT FROM)
INCOME TAX
NET INCOME
OTHER
COMPREHENSIVE
INCOME
TOTAL
COMPREHENSIVE

102,472,44
4.00
5,061,143.
00

95%
5%

110,166,22
1
9,014,515.
00

100%
0%
0%
100%

INCOME

INCOME STATEMENTS (VERTICAL ANALYSIS)

During 2011, the expenses of the firm are 95% of its total revenue. It contains
direct operating expenses of about 85% and 97% of General Administrative expenses
used to operate their daily activities. In 2012, they reached 99% of expenses to its total
revenue which means they incurred net loss in said year. From year 2013 to 2015
expenses of the company remains roughly 95%.

C. STAETEMENT OF CASHFLOW (VERTICAL ANALYSIS)


APRISA BUSINESS PROCESS SOLUTIONS, INC.
STATEMENT OF CASH FLOW (VERTICAL ANALYSIS)

CASH FLOWS
FROM OPERATING
ACTIVITY
Income before income
tax
Adjusted for:
Depreciation
Operating income
before changes in
working Capital

2011

2012

2013

2014

2015

4,036,154

56%

1,120,385

7%

5,061,143

17%

9,014,515

21%

6,685,461

22%

5,116,249

71%

5,067,520

31%

6,807,692

22%

7,412,109
2,899,600

17%
7%

7,965,680
1,854,982

26%
6%

(81,461)

-1%

(68,786)

0%

(111,613)

0%

(95,063)

0%

(315,460)

-1%

9,070,942

125%

6,119,129

37%

11,757,222

39%

19,230,621

45%

1,690,663

5%

(8,040,991)

-49%

29,725,017

97%

1,587,902

4%

(6,990,617)

-23%

(1,696,491)

-10%

(1,741,995)
(52,033)

-6%
0%

2,925,823
(2,000,136)

7%
-5%

(6,328,404)
3,035,043

-20%
10%

Decrease (increase) in
Accounts Receivables
Furniture and Fixture
Office Equipment
Transportation
Tools
Other Assets
Current Liabilities
Net cash provided by
(Used in Operations)
Cash flows from
investing companies
Increase in
Investments
Acquisition of
property and

(1,219,745)

423%
-17%

2,443,611
40,373,158

34%
557%

13,659,756

83%

4,038,315

13%

5,179,370

12%

1,658,177

5%

20,002,404

276%

10,021,403

61%

43,726,526

143%

26,923,580

63%

7,564,862

24%

81,461

1%

68,786

0%

111,613

0%

95,603

0%

274,389

1%

(16,292)

0%

(13,757)

0%

(1,507,182)

-5%

(5,130,617)

-12%

(3,444,414)

-11%

20,067,573

277%

10,076,432

62%

42,330,957

139%

21,888,566

51%

4,394,837

14%

(30,665,562)

equipment

NET INCREASE IN
CASH
Cash at beginning of
the year
Cash at the end of the
year

(33,029,843)

456%

(1,656,919)

-10%

(4,385,296)

-60%

701,438

4%

(37,415,139)

516%

(955,481)

(17,347,566)

239%

9,120,951

24,598,433

339%

7,250,867

7,250,567

100%

16,371,518

-7%

(6,305,918)

-15%

-6%

CASH FLOWS
FROM FINANCING
ACTIVITIES
Proceeds from
issuance of shares of
stocks
Payments of
Intercompany payable
Payment of cash
dividends
Net Cash used in
financing activities
NET INCREASE
(DECREASE) IN
CASH
Cash at beginning of
the year
Cash at the end of the
year

(1,995,379)

56%

44%
100
%

15,000,000

49%

(41,176,072)

135%

(3,500,000)

-8%

(26,176,072)

-86%

(3,500,000)

-8%

14,119,506

46%

12,082,618

28%

16,371,818

54%

30,531,324

30,531,324

100%

42,613,942

72%
100
%

(1,099,405)

-4%

(15,000,000)

-49%

(16,099,405)

-52%

(11,704,668)

-38%

42,613,942

138%

30,909,274

100%

STAETEMENT OF CASHFLOW (VERTICAL ANALYSIS

IV. Horizontal Computation and Analysis


A. FINANCIAL POSITION (HORIZONTAL ANALYSIS)

ASSETS
Current Asset
Cash

2010

24,598,433
.00

-71%

Accounts
Receivable
Other Current
Assets
TOTAL
CURRENT
ASSETS

APRISA BUSINESS PROCESS SOLUTIONS, INC.


FINANCIAL POSITION (HORIZONTAL ANALYSIS)
2011
%
2012
%
2013
7,250,867.
00

131
%

16,731,818.
00

30,665,562
.00

26
%

38,553,726.
00

342,340.00

356
%

1,562,085.
00

240
%

5,306,437.0
0

24,940,77
3.00

57%

39,178,51
4.00

54
%

60,404,808
.00

82
%
77
%
33
%
23
%

2014

2015

30,531,324.0
0

40%

42,613,942
.00

27
%

30,909,274
.00

9,001,536.00

-18%

7,413,634.
00

297
%

29,445,322
.00

7,048,432.00

-42%

4,122,609.
00

154
%

10,451,013
.00

46,581,292.
00

16%

54,150,18
5.00

31
%

70,805,60
9.00

Non-Current
Assets
Property &
Equipment

27,913,594
.00

Other Noncurrent Asset

4,385,296.
00

Deferred Tax
Asset
Total NonCurrent
Asset
TOTAL
ASSETS

24,940,77
3.00

30%

24
%
72
%

21,162,983.
00

23
%

16,350,670.0
0

-7%

15,244,509
.00

1,246,262.0
0

4%

1,298,295.00

154%

3,298,431.
00

#DIV/
0!

2,432,763.
00

17,648,965.
00

19%

20,975,70
3

64,230,257.
00

17%

75,125,88
8.00

32,298,89
0.00

31
%

22,409,245
.00

71,777,40
4.00

15
%

82,814,053
.00

21
%
22
%

45
%
92
%
166
%
28
%
14
%

8,378,334.
00
263,388.00
6,459,634.
00
15,101,35
6.00
85,906,96
5.00

LIABILITIES
AND
STOCKHOLD
ERS EQUITY
Current
Liabilities
Accounts and
Other
Payables

3,628,855.
00

1180
%

Non-Current
Liabilities
Pension
Liability
TOTAL
LIABILITIES

46,445,624

22
%

56,765,380.
00

65
%

19,627,623.0
0

26%

1,186,408.
00
3,628,855
.00

121
3%

47,632,03
2

24,806,993
.00

7%

26,465,170
.00

2,899,600.
00

70
%

4,918,863.
00

19
%

56,765,380
.00

65
%

19,627,623.
00

41%

27,706,59
3.00

23
%

34,042,51
8.00

0%

25,000,000.
00

60
%

40,000,000.0
0

0%

40,000,000
.00

0%

40,000,000
.00

1,048,673.0
0
26,048,673
.00

339
%
71
%

4,602,634.00

61%

44,602,634.
00

6%

82,814,053
.00

22
%

64,230,257.
00

17%

EQUITY
Capital Stocks
Deficit

25,000,000
.00
(3,688,082.
00)

0%
-77%

25,000,000
.00
854,628.00

Retained
Earnings
Total Equity

21,311,91
8.00

13%

24,145,37
2.00

8%

TOTAL
LIABILITIES
AND
STOCKHOLD
ERS EQUITY

24,940,77
3.00

188
%

71,777,40
4.00

15
%

FINANCIAL POSITION (HORIZONTAL ANALYSIS)

7,419,295.
00
47,419,29
5.00
75,125,88
8.00

61
%
9%
14
%

11,979,444
.00
51,864,44
7.00
85,906,96
5.00

For the year 2015,it is a bad year in the company because most of its assets had a negative results because of the
downfall of assets, liabilities and equity due to the selling sharing of stocks, raising the company's revenue etc. Also the
cash decreased due to the liability payments.
During 2014 & 2013, there is a decline of retained earnings because of the loss in its operations . However,2013 is the
best performance because of their high receivables amounted to P 11,351,735.66 which means that their company
collects faster that the current year and has better financial efficiency.
On year 2012, firms equity increases which is favorable for the company because its investors funded for the company's
operation because of its good impression during 2011.

B. INCOME STATEMENTS (HORIZONTAL ANALYSIS)

2010
REVENUE
Service
Income
Interest
Income

Aprisa Business Process Solutions, Inc.


Statements of Comprehensive Income (HORIZONTAL ANALYSIS)
%
2011
%
2012
%
2013
%
2014
76,246,095
.00

23,867.00

241%

Other Income
EXPENSES
Direct
Operating
Expenses
General and
Administrativ
e Expenses

1,400.00

16%
45%

92,628,84
7

16%

68,786

107,406,676
.00

11%

2015

119,080,555
.00

18%

140,384,07
1.00

95,603.00

230%

315,460.00

766

16468
%

126,911.00

96%

4,578.00

-3%

4,449.00

2,736,005.
00

2222
%

63,540,046
.00

33%

84,200,10
1

15%

96,449,392.
00

6%

102,713,246
.00

22%

125,127,77
8.00

971,170.00

801%

8,752,756.
00

16%

7,376,163

-18%

6,023,052.0
0

24%

7,452,975.0
0

19%

8,890,741.
00

Interest Expenses
and Other
Financing Charges
Income (Loss)
Before Income
Tax
Provision For
(Benefit From)
Income Tax
Net Income
(Loss)
Other
Comprehensive
Income
Total
Comprehensive
Income (Loss)

81,461.00

21%

(3,683,3
08.00)

210%

4,036,154.
00

4,774.00

2509
3%

1,202,700.
00

(3,688,0
82.00)

177%

2,833,454.
00

1,750
72%
165
%
33%

1,120,385

352%

5,061,143.0
0

78%

9,014,515.0
0

-26%

6,685,461.
00

(782,916)

-293%

1,507,182.0
0

79%

2,697,854.0
0

-21%

2,125,312.
00

1,903,301

87%

3,553,961.0
0

78%

6,316,661.0
0

-28%

4,560,149.
00

(3,688,0
82.00)

177%

2,833,454.
00

(114,997.0
0)

33%

1,903,301

87%

3,553,961.0
0

0%

3,553,961.0
0

25%

4,442,152.
00

INCOME STATEMENTS (HORIZONTAL ANALYSIS)

For the year 2011, the companys total revenue is higher than its total revenue.
After deducting expenses, they still have a positive and better total comprehensive
income than in previous year.
In 2012, net income lowered by -11% as their direct operating expenses increase
by 33%. Upon seeing the financial statements and as direct operating expenses are
concerned, half of it only goes to Constracted services. This services occurred 2 years
ago when they entered into an agreement with the Business process Outsourcing
International, Inc. (BPOI) regarding in processing of accounting transactions.
In 2013, even though the company had bigger expenses, they still gain profit.
They recorded 16 percent increase for their revenue as compared last year. Their Php
5,061,143 income before tax was deducted by Php 1,507,182 provision for income tax.
Hence, they got an 87% in net income.
During 2014, the company continue to raise its revenue by 11%, from Php
107,406,676 last year up to Php 119,080,555 this year. Direct Operating Expenses are
considered again as a problem in terms of deduction to get their net income.
For the year 2015, the company have the biggest direct operating and general &
administrative expenses with the total of Php 134,018,519.00 or 41% compared to 31%
last year. In accordance with the financial statements, Manpower costs have the biggest
portion in the two expenses. Despite its highest expenses, this year, the company also
accumulated their biggest revenue. Their total comprehensive income increases by
25%.

C. STATEMENT OF CASHFLOW (HORIZONTAL ANALYSIS)


APRISA BUSINESS PROCESS SOLUTIONS, INC.
STATEMENT OF CASH FLOW (HORIZONTAL ANALYSIS)

CASH FLOWS
FROM
OPERATING
ACTIVITY
Income before
income tax
Adjusted for:
Depreciation
Interest Income
Operating
income before
changes in
working Capital
Decrease
(increase) in
Trade and other
receivables
Other current
assets

2010

2011

2012

2013

2014

2015

(3,683,308.00
)

4,036,154

-210%

1,120,385

-72%

5,061,143

352%

9,014,515

78%

6,685,461

-26%

-57%
-15%

7,965,680
1,854,982
(315,460)

7%
-36%
232%
-91%

(23,867.00)
(3,707,555.00
)

5,116,249
(81,461)
9,070,942

241%

5,067,520
(68,786)

-1%
-16%

6,807,692
(111,613)

34%
62%

7,412,109
2,899,600
(95,063)

-345%

6,119,129

-33%

11,757,222

92%

19,230,621

64%

1,690,663

(8,040,991)

-74%

29,725,017

-470%

1,587,902

-95%

(6,990,617)

(1,696,491)

39%

(1,741,995)

3%

2,925,823

-268%

(6,328,404)

(2,000,136
)

3744
%

3,035,043

(30,665,562)
(342,340.00)

(1,219,745)

256%

(52,033)
Increase in:
Accounts and
other payables
Due to related
parties
Net cash
provided by

3,628,855.00

2,443,611

540%
316%
252%

-33%

13,659,756

459%

4,038,315

-70%

5,179,370

28%

1,658,177

-68%

4855%

10,021,403

-50%

43,726,526

336%

26,923,580

-38%

7,564,862

-72%

40,373,158
(420,660.00)

20,002,404

(used in)
operations
Interest received
Income taxes
paid
Net cash
provided by
(used in
operating
activities)

23,867.00

81,461

241%

68,786

-16%

111,613

(4,774.00)

(16,292)

241%

(13,757)

-16%

(1,507,182)

(401,567.00)

20,067,573

5097%

10,076,432

-50%

(33,029,843)

(1,656,919)

-95%

(4,385,296)

701,438

(37,415,139)

(955,481)

CASH FLOWS
FROM
INVESTING
ACTIVITIES
Additions to:
Property and
equipment
Recoverable
deposits and
other noncurrent
assets
Net cash used in
investing
activities
CASH FLOWS
FROM
FINANCING
ACTIVITIES
Proceeds from
issuance of
shares of stocks
Payments of
Intercompany

25,000,000.00

38%
10856
%

95,603
(5,130,617
)

42,330,957

320%

(1,995,379)

20%

-97%

-14%

274,389

187%

240%

(3,444,414)

-33%

21,888,566

-48%

4,394,837

-80%

(6,305,918
)

216%

(1,099,405)

-83%

(16,099,405)

15,000,000
(41,176,072
)

payable
Payment of cash
dividends
Net Cash used in
financing
activities
NET
INCREASE
(DECREASE)
IN CASH
Cash at
beginning of the
year
Cash at the end
of the year

(3,500,000
)
(26,176,072
)

24,598,433.00

(17,347,566)

-171%

24,598,433
24,598,433.00

7,250,567

-71%

(3,500,000
)

9,120,951

153%

14,119,506

55%

12,082,618

-14%

(11,704,668)

197%

7,250,867

-71%

16,371,818

126%

30,531,324

86%

42,613,942

40%

16,371,518

126%

30,531,324

86%

42,613,942

40%

30,909,274

-27%

STATEMENT OF CASHFLOW (HORIZONTAL ANALYSIS)

Aprisa Business Process Solutions Inc. has increasing net cash from 2011 to 2014 but
drop down in 2015. The net cash in 2011 to 2012 increased by 126%, 86% from 2012 to
2013, 40% from 2013 to 2014 but decreased by 27% from 2014 to 2015. The 27% drop down
was caused by the large amount of cash used in investing activity in 2015
.

V. Financial Ratios with Trend Line and Analysis


A. FINANCIAL RATIOS

Current Assets
Current Liabilities
Cash and Cash
Equivalent
Receivables
Current Ratio
Quick Ratio
Cash Ratio

2011
39,478,514.0
0
47,632,032.0
0
7,250,867.00
30,665,562.0
0
0.83
UF
0.80
F
0.15
UF

2011
Net Income
Net Sales
Total Equity
Total Assets
Gross Profit
Operating
Income

2,833,454.00
76,328,956.0
0
24,145,372.0
0
71,777,404.0
0
76,328,956.0
0
72,292,802.0
0

Liquidity Ratio
2012
2013
60,404,808. 46,581,292
00
.00
56,765,380. 19,627,623
00
.00
16,371,818. 30,531,324
00
.00
38,726,553. 9,001,536.
00
00
1.06
2.37
UF
F
0.97
2.01
F
UF
0.29
1.56
UF

UF

Profitability Ratio
2012
2013
1,903,301.0 3,553,961.
0
00
92,628,847. 107,533,58
00
7.00
26,048,673. 44,602,634
00
.00
82,814,053. 64,230,257
00
.00
92,698,399. 102,472,44
00
4.00
1,120,385.0 5,061,143.
0
00

2014
54,150,185
.00
24,806,993
.00
42,613,942
.00
7,413,634.
00
2.18
F
2.02
UF
1.72

2015
70,805,609
.00
29,123,655
.00
30,909,274
.00
29,445,322
.00
2.43
F
2.07
UF
1.06

UF

UF

2014
6,316,661.
00
119,080,55
5.00
47,419,295
.00
75,125,888
.00
119,180,73
6.00

2015
4,445,152.
00
140,703,98
0.00
51,864,447
.00
85,906,965
.00
140,703,98
0.00
6,685,461.
00

Service: 1.29

CreditGuru.com

General: >1

Retailabout.com

Service: 0.30
-1

Acctngcourse.co
m

Return on Equity
Return on Total
Assets
Operating Profit
Margin
Net Profit Margin

Gross Profit
Margin

Total Assets
Total Liabilities
Total Equity
Debt Ratio

Equity Ratio

Debt-to-Equity
Ratio

0.23

0.08

0.1

0.14

0.09

UF

UF

UF

UF

UF

0.08

0.02

0.05

0.09

0.06

UF

UF

UF

UF

UF

0.95

0.01

0.05

0.00

0.05

UF

UF

UF

UF

UF

0.04

0.02

0.03

0.05

0.03

UF

UF

UF

UF

8.82

10.18

6.26

4.2

4.3

2014
75,125,888
.00
27,706,593
.00
47,419,295
.00

2015
85,906,965
.00
34,042,518
.00
51,864,447
.00

2011
71,777,404.0
0
47,632,032.0
0
24,145,372.0
0

Solvency Ratio
2012
2013
82,814,053. 64,230,257
00
.00
56,765,380. 19,627,623
00
.00
26,048,673. 44,602,634
00
.00

0.66

0.69

0.31

0.37

0.40

0.34

0.31

0.69

0.63

0.60

UF

UF

UF

UF

UF

1.97

2.18

0.44

0.58

0.66

UF

UF

UF

GENERAL:
15% - 20%

myacctngcourse
.com

GENERAL:
10% - 15%

myacctngcourse
.com

GENERAL: 9%
and above

acctngexplained
.com

SERVICES: 5%
and above

quora.com

SERVICES:
70.5% and
above

quora.com

GENERAL: 0.7
and lower

readyratios.com

GENERAL:
0.30 and
lower

readyratios.com

SERVICES: as
low as 0.50

en.tradimo.com

Accounts
Receivable

2011
71,777,404.0
0
30,665,562.0
0

Accounts Payable

6,072,466.00

Sales

76,328,956.0
0

Net Income

2,833,454.00

Assets

Accounts
Receivable
Turnover (DSO)
Accounts
Receivables
Turnover in Days

Efficiency Ratio
2012
2013
82,814,053. 64,230,257
00
.00
38,726,553. 9,001,536.
00
00
56,765,380. 19,627,623
00
.00
92,698,399. 107,533,58
00
7.00
1,903,301.0 3,553,961.
0
00

2014
75,125,888
.00
7,413,634.
00
24,806,993
.00
119,180,73
6.00
6,316,661.
00

2015
85,906,965
.00
29,445,322
.00
29,123,655
.00
140,703,98
0.00
4,445,152.
00

4.98

2.67

16.71

3.63

1.91

73.29

136.70

21.84

100.55

191.10

UF

UF

UF

UF

1.58

1.2

1.46

1.71

1.75

231.01

304.17

250.00

213.45

208.57

UF

UF

UF

UF

UF

Accounts Payable
Turnover (DPO)

16.34

2.95

2.82

5.36

5.22

Accounts Payable
Turnover in Days

22.34

123.73

129.43

68.10

69.92

UF

Total Asset
Turnover
Total Asset
Turnover in Days

SERVICE:
Average of 15
days

creditguru.com

SERVICE:
Average of 15
days

creditguru.com

SERVICE: 30
to 60 days

www.accountin
gsimplified.com

B. TREND LINE

Aprisas's Solvency

Aprisa's Liquidity
3.5

2.5

1.5

0.5

1
0
2011

0
2011
2012
Current Ratio

2013
Quick Ratio

2014
Cash Ratio

2015

2012

2013

Debt Ratio
Debt-to-Equity Ratio

2014
Equity Ratio

2015

Aprisa's Profitability

Aprisas's Effi ciency

12.00
10.00
8.00
6.00
4.00
2.00
0.00
2011

2012

2013

2014

Return on Equity

Return on Total Assets

Operating Profit Margin

Net Profit Margin

Gross Profit Margin

2015

180
160
140
120
100
80
60
40
20
0
2011

2012

2013

Accounts Receivable Turnover


Accounts Payable Turnover

2014
Total Asset Turnover

2015

TREND LINE ANALYSIS


The trends line of Aprisa Business Process Solutions Inc. in terms of liquidity shows a
sharp upward direction, which indicates that the graph has a positive slope. As shown on the
chart, on the years 2012 and 2013 the current ratio, quick ratio, and cash ratio rose up
dramatically.
The trend lines of Aprisa Business Process Solutions Inc. in terms of profitability shows a
downward direction, which indicates that the graph has a negative slope. As shown on the chart,
the firms return on assets, return on equity, operating profit margin, and net profit margin were on
a neutral state for the past five years while gross profit margin dropped by year 2012.
The trend lines of Aprisa Business Process Solutions Inc. in terms of solvency shows a
downward direction, which indicates that the graph has a negative slope. As shown on the chart,
the firms equity ratio was on a neutral state for the past five years while debt-to-equity ratio and
debt ratio dropped by year 2012.
The trends line of Aprisa Business Process Solutions Inc. in terms of efficiency shows a
downward direction, which indicates that the graph has a negative slope. As shown on the chart,
the firms total asset turnover and accounts receivable turnover ratio were on a neutral state for
the past five years while accounts payable turnover ratio dropped by year 2012.

VI. Z score
Aprisa Business Process Solution Inc.

2011

Factors

Weig
ht
3.25

Constant Factor
Working Capital to
Ratio A for
6.56
X1
Total Assets
Retained Earnings to
Ratio B for
3.26
X2
Total Assets
Earnings Before Interest & Tax
Ratio C for
to
6.72
X3
Total Assets
Total
Equity to
Ratio D for
1.05
X4
Total Liabilities
Z"-SCORE
Interpretation: Z">5.85: Safe, >4.35/<5.85:Grey,
<4.35: Distressed

Aprisa Business Process Solution Inc.


Weig
Factors
ht
Constant Factor
3.25
Working Capital to
Ratio A for
6.56
X1
Total Assets
Retained Earnings to
Ratio B for
3.26
X2
Total Assets
Earnings Before Interest & Tax
Ratio C for
to
6.72
X3
Total Assets
Total Equity to
Ratio D for
1.05
X4
Total Liabilities
Z"-SCORE
Interpretation: Z">5.85: Safe, >4.35/<5.85:Grey,
<4.35: Distressed

Aprisa Business Process Solution Inc.


Weig
Factors
ht
Constant Factor
3.25
Working
Capital
to
Ratio A for
6.56
X1
Total Assets
Retained Earnings to
Ratio B for
3.26
X2
Total Assets

Amount

-8,153,518
71,777,404
0
71,777,404
4,036,154

Ratio

Z"-Score

-0.11

-0.75

0.06

0.38

0.52

0.55

71,777,404
25,000,000
47,632,032

0.18

Distressed

2012
Amount

Ratio

Score

0.04

0.29

0.01

0.04

0.01

0.09

0.46

0.48

3,639,428
82,814,053
1,048,673
82,814,053
1,120,385
82,814,053
26,048,678
56,765,380

0.9
Distressed

2013
Rati
Amount
o
26,953,669
64,230,257
4,602,634
64,230,257

Scor
e

0.42

2.75

0.07

0.23

Earnings Before Interest & Tax


to
6.72
Total Assets
Total Equity to
Ratio D for
1.05
X4
Total Liabilities
Z"-SCORE
Interpretation: Z">5.85: Safe, >4.35/<5.85:Grey,
<4.35: Distressed
Ratio C for
X3

Aprisa Business Process Solution Inc.


Weig
Factors
ht
Constant Factor
3.25
Working Capital to
Ratio A for
6.56
X1
Total Assets
Retained Earnings to
Ratio B for
3.26
X2
Total Assets
Earnings Before Interest & Tax
Ratio C for
to
6.72
X3
Total Assets
Total Equity to
Ratio D for
1.05
X4
Total Liabilities
Z"-SCORE
Interpretation: Z">5.85: Safe, >4.35/<5.85:Grey,
<4.35: Distressed

Aprisa Business Process Solution Inc.


Weig
Factors
ht
Constant Factor
3.25
Working Capital to
Ratio A for
6.56
X1
Total Assets
Retained Earnings to
Ratio B for
3.26
X2
Total Assets
Earnings Before Interest & Tax
Ratio C for
to
6.72
X3
Total Assets
Total Equity to
Ratio D for
1.05
X4
Total Liabilities
Z"-SCORE
Interpretation: Z">5.85: Safe, >4.35/<5.85:Grey,
<4.35: Distressed

5,061,143

0.08

0.53

2.27

2.39

64,230,257
44,602,634
19,627,623

5.9
Safe

2014
Amount

Ratio

Score

0.39

2.56

0.1

0.32

0.12

0.81

1.71

1.8

29,343,192
75,125,888
7,419,295
75,125,888
9,014,515
75,125,888
47,419,295
27,706,593

5.49
Grey

2015
Rati
o

Scor
e

0.49

3.18

0.14

0.45

0.08
85,906,965.00
51,864,447.00
1.52
34,042,518.00
5.76

0.52

Amount
41,681,954.00
85,906,965.00
11,979,448.00
85,906,965.00
6,685,461.00

Grey

1.6

VII. DuPont Analysis

2011

DuPont Analysis
2012
2013
NET PROFIT MARGIN
3,553,961.00

2014

2015

6,316,661.00

4,445,152.00

t Income

2,833,454.00

1,903,301.00

Sales
Ratio
ndings

76,246,095.00
0.04
UF

119,080,555.00
0.05
F

140,384,071.00
0.03
UF

Sales

76,246,095.00

92,628,847.00
107,406,676.00
0.02
0.03
UF
UF
ASSET TURNOVER
92,628,847.00
107,406,676.00

119,080,555.00

140,384,071.00

tal Asset

71,777,404.00

82,814,053.00

75,125,888.00

85,906,965.00

Ratio
ndings

1.06
UF

1.71
UF

1.74
UF

64,230,257.00

1.2
1.46
UF
UF
FINANCIAL LEVERAGE

al Assets

71,777,404.00

82,814,053.00

64,230,257.00

75,125,888.00

85,906,965.00

Total
reholder'
Equity

24,145,372.00

26,048,673.00

44,602,634.00

47,419,295.00

51,864,447.00

2.97
UF

3.3
UF

1.82
UF

1.63
UF

1.73
UF

0.1
UF

0.14
UF

0.09
UF

Ratio
ndings

Ratio
ndings

ROE
0.12
UF

0.08
UF

The table above shows the entity's DuPont analysis of Aprisa Business Process Solutions
Inc. from 2011 to 2015. Their Net Profit Margin, Asset Turnover and Financial Leverage are
unfavorable. This means that the three performances is the main factor that leads to an
unfavourable return on equity. Also, the entity is in the poor management performance and on a
highly conservative business approach.

VIII. Growth Potential


Metalcon Exclusive Group Inc.
2011
2012
2013

2010
Retaine
d
Earning
s
Dividen
d
declare
d
Net
Income
Total
Equity
Retenti
on Rate
Return
on
Equity
Growth
Potenti
al Ratio

4,658,350
.62

2014

2015

6,658,350.
62

7,609,783
.01

10,322,188
.20

11,839,63
6.43

1,616,724.
23

(1,562,268.
86)

(437,731.
14)

(2,000,000.
00)

3,600.00

12,001,600
.00

12,322,188
.20

1,521,048.
23
14,839,63
6.43

1,778,687.
80
4,616,724.
23

8,658,350.
62

513,701.2
5
9,609,783
.01

457%

185%

381%

100%

-575%

5%

5%

6%

10%

39%

23%

10%

22%

10%

-221%

437,731.14

712,405.19

IX. Statement of the Problem


Main Problem:
Aprisa Business Process Solutions, Inc. has a poor expense management.
Specific Problems:

The company has low cash and cash equivalents on hand for years 2011 and

2012 and too much idle cash on hand for years 2013 to 2015.
The company's quick ratio was unfavorable for years 2013 to 2015.
The firm is insufficient in managing its return on assets ratio for the past five

years.
The company has a low net income after tax.
The company is highly leveraged and a large portion of the firms total capital is

contributed by creditors and lenders.


The company has an unfavourable accounts payable turnover ratio.
An obscene portion of firms revenue goes to operating expenses.

The shareholders equity is insufficient to generate income because of high

operating expense of the firm.


The companys accounts and other payables is a large portion of the total

liabilities and equity.


The company has an unfavorable operating profit margin ratio.

X. SOP map
Symptoms

Cause

Cause of the identified problem

The company has an


unfavorable cash ratio
for five years straight.

The company has a low cash


and cash equivalents on hand
for years 2011 and 2012 and
too much idle cash on hand for
years 2013 to 2015.

Although the company had


managed to collect their
receivables for a shorter period of
time, which in return, increases
their cash on hand, much of its
cash were still spent on the firm's
direct operating expenses.

Too much cash is still left for


use after sustaining for its
current liabilities, therefore
causing the ratio to rise than
the average acceptable ratio.

The company, after realizing the


need for cash because of its
expenses, found a way to collect its
receivables much sooner. This
caused the cash to increase than
the required to sustain for its
current liabilities, given that it has
also increased its sales.

The firm has an


unfavorable return on
assets ratio for five
years straight.

The company's net income is


too low

The company is not making enough


profits at the end of the period
because its operating expenses are
too high.

The firm, compared to


its sales, is not making
enough profits at the
end of each period.

The company has a low net


income after tax.

The firm has an obscene amount of


operating expenses.

The company's quick


ratio were unfavorable
for years 2013 to 2015.

Main Cause

Aprisa Business
Process
Solutions, Inc.
has a poor
expense
management.

The debt-to-equity ratio


of the firm is higher
than normal for years
2011, 2012, and 2015
which means that the
firm is highly leveraged
and that a large portion
of the firms total capital
is contributed by
creditors and lenders.

A significant portion of the


total liabilities and equity are
accounts and other payables
which caused the firm to be
highly leveraged.

The firm is not making enough net


income to pay its obligations
because of high operating
expenses.

The company has an


unfavourable accounts
payable turnover ratio.

The company has insufficient


cash and cash equivalents for
the years 2011 and 2012.

The company has a high level of


receivables during the years 2011
and 2012. In addition to that, cash
is allocated more on its operating
expenses.

The firm has


unfavourable ROE for
the past five years
which means that
shareholders equity is
not sufficient to
generate income.

Shareholders equity is
insufficient to generate income
because of high operating
expense of the firm.

A significant portion of the


operating expense is composed of
manpower costs.

For the years 2012 to


2015 the firms
operating profit margin
is lower than the
normal.

An obscene portion of revenue


goes to operating expenses.

High operating expenses of the


firm is not only caused by
manpower costs, but also due to
other related operating expenses.

For the past five years,


the accounts payable
turnover of the firm is
unfavourable.

Accounts and other payables is


a large portion of the total
liabilities and equity.

During the year 2011, the firm


makes an improvement toward its
furniture and fixtures. This caused
the firm to borrow money to
finance its improvements.

The company has an


unfavorable operating
profit margin ratio.

The company is earning a low


operating income.

The firm had increased their


salaries and wages and their
manpower services.