No.

1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24

REE's total assets, liabilities and equity have all grown strongly in 5 most recent year. Th
asset structure, they have the current assets with average 38% and 62% average of non
mainly item such as : Cash, Account receivable which could soon be converted into sho
clean water and hydropower sectors. However, the total debt is one of the highest grow
change of rate because REE borrowed to focus on funding new project. Although this p
REE's total assets, liabilities and equity have all grown strongly in 5 most recent year. Th
asset structure, they have the current assets with average 38% and 62% average of non
mainly item such as : Cash, Account receivable which could soon be converted into sho
clean water and hydropower sectors. However, the total debt is one of the highest grow
change of rate because REE borrowed to focus on funding new project. Although this p

No.
1
2
3
4
5
6
7
8
9
10
11
12
13
14

The most recent 4-year business results of REE show positive growth of profitability. Th
this period due to the impact of a 20% decline in net income in 2015 because they lost
company created in this year accounted for 41.78% of total revenue. The mainly becaus
Revenues
(Cost of good sold)
Gross Profit
Operating income
(Financial expense)
(Sale expenses)
(General and administrative expenses)
Net operating profit
Other income
(Other expense)
Other profit
Profit before tax
(Tax)
Net income

Assuming 2014 is the base year. In general, it can be seen that from 2015 to 2018, busin
- In 2015, REE's net income was 19.17% lower than the previous year. There are 2 reaso
- From 2016 to 2018 the total profit increased rapidly. The good operation of the compa
by year.
Assuming 2014 is the base year. In general, it can be seen that from 2015 to 2018, busin
- In 2015, REE's net income was 19.17% lower than the previous year. There are 2 reaso
- From 2016 to 2018 the total profit increased rapidly. The good operation of the compa
by year.
 REE COMPANY
2014
2015
2016
2017
2018

According to the total debt ratio of Ree from 2014 to 2018, we can see that it's low and lower than
debt ratio.

From 2014 to 2017, the E/D decreases, which shows that the company's long term solvency is not b
2018. The highest E/D of the years is 2014.

REE COMPANY
2014
2015
2016
2017
2018

Accoding to the ROA of REE from 2014 to 2018, the ROA didn't change to much. 2014-2015, it decre

REE COMPANY
2014
 2015
2016
2017
2018

· Current ratio of REE is relatively stable but still quite low.

· REE's quick ratio did not change much and its current assets did not depend too much on inventor

· REE may repay all debts higher than SRF. However, this distance is not too different.
· The last 2 years of SRF are unlikely to repay short-term debts because the quick ratio is too low.

REE COMPANY
2014
2015
2016
2017
2018

REE COMPANY
2014
2015
2016
 2017
2018

· Its inventory turnover ratio gradually decreases from 2014 to 2017,showing that the number of inv
· Its total asset turnover ratio slightly reduces between 2014 and 2015. But has improved over time
· The receivables turnover ratio of the company has decrease from 2014 to 2015. And it increased d
· The payable turnover ratio is the highest in 2014 and has fluctuated during the remaining 4 years.

REECorpor

Price per share

EPS

Book Value

P/E

P/B

Analysis of the impact of indicators on REE.

· From 2014 to 2017, REE's P/E ratio increased, particularly from 7.14 to 9.34. This
· It can be seen that REE's P/B ratio changes year by year, but generally it
· Compared to REE Corporation, SPF company has a lower and more vola
The ratio of P/B is generally lower than ree. It can be seen that spf meets a strong oppon
 REE
BALANCE SHEET
2014
Amount
ASSETS
A.Current assets
Total cash 1,036,655,683,725.00
Prepaid expense 249,839,701,655.00
Account receivable 1,031,317,335,346.00
Inventories 598,432,151,160.00
Others assets 50,341,548,868.00
Total current assets 2,966,586,420,754.00
B.Non-current assets
Fixed assets 563,895,510,668.00
Property, plant,and equipment 635,021,928,112.00
Prepaid expense 4,117,399,245,546.00
Others assets 40,870,516,057.00
Commercial advangtage/ AR & unfinished property 79,412,761,129.00
Total non-current assets 5,436,599,961,512.00
Total assets 8,403,186,382,266.00
LIABILITIES AND STOCKHOLDERS' EQUITY
A.Liability
Short-term debt 1,551,093,148,779.00
Long-term debt 513,842,628,240.00
Total liabilities 2,064,935,777,019.00
B.Stockholders' equity
Total stockholders' equity 6,338,250,605,247.00
Total Liability and Stockholders' equity 8,403,186,382,266.00

quity have all grown strongly in 5 most recent year. The toatal assets of company increased from
rent assets with average 38% and 62% average of non-current assets.Short-term assets can be q
nt receivable which could soon be converted into short-term cash flow and increase solvency, a
ors. However, the total debt is one of the highest growth rate when increasing from 2,064 billio
owed to focus on funding new project. Although this problem lead to the total debt ratio and th
quity have all grown strongly in 5 most recent year. The toatal assets of company increased from
rent assets with average 38% and 62% average of non-current assets.Short-term assets can be q
nt receivable which could soon be converted into short-term cash flow and increase solvency, a
ors. However, the total debt is one of the highest growth rate when increasing from 2,064 billio
owed to focus on funding new project. Although this problem lead to the total debt ratio and th

INCOME STATEME
2014
REVENUES Amount
Revenues 2,629,386,474,378.00
(Cost of good sold) 1,826,827,161,061.00
Gross Profit 802,559,313,317.00
Operating income 459,521,649,291.00
(Financial expense) 42,150,610,779.00
(Sale expenses) 45,371,054,248.00
(General and administrative expenses) 131,322,486,521.00
Net operating profit 1,043,236,811,060.00
Other income 60,555,687,327.00
(Other expense) 7,864,058,022.00
Other profit 219,190,594,885.00
Profit before tax 1,262,427,405,945.00
(Tax) 163,773,900,389.00
Net income 1,098,653,505,556.00

results of REE show positive growth of profitability. The revenue increased from 2639 billion in 2
20% decline in net income in 2015 because they lost a lots from other profit and income. From
ounted for 41.78% of total revenue. The mainly because that COGS and the expenses of 2014 ha

REE CORPERATIO
INCOME STATEM
 Years Ended December 31,2014
Amount
2014 (Base Year) 2015
2,629,386,474,378 13,997,463,281
1,826,827,161,061 (74,701,689,806)
802,559,313,317 88,699,153,087
459,521,649,291 (31,984,615,085)
42,150,610,779 38,894,079,083
45,371,054,248 9,104,716,424
131,322,486,521 50,509,455,266
1,043,236,811,060 (4,452,523,922)
60,555,687,327 (50,904,165,161)
7,864,058,022 (5,104,419,016)
219,190,594,885 (212,298,711,725)
1,262,427,405,945 (216,751,235,647)
163,773,900,389 (6,184,543,776)
1,098,653,505,556 (210,566,691,871)

n general, it can be seen that from 2015 to 2018, business activities are highly volatile.
9.17% lower than the previous year. There are 2 reasons, Revenue is nearly equal to 2014 but th
fit increased rapidly. The good operation of the company makes the revenue high, the operating
n general, it can be seen that from 2015 to 2018, business activities are highly volatile.
9.17% lower than the previous year. There are 2 reasons, Revenue is nearly equal to 2014 but th
fit increased rapidly. The good operation of the company makes the revenue high, the operating
 Total debt ratio
EE COMPANY debt/total assets
2014 0.246
2015 0.304
2016 0.323
2017 0.392
2018 0.359

e from 2014 to 2018, we can see that it's low and lower than SRF but this distance is not too different , which

, which shows that the company's long term solvency is not better than previous years.In 2018, the E/D impr
014.

ROA = Net income/total

EE COMPANY assets
2014 0.131
2015 0.092
2016 0.103
2017 0.107
2018 0.122

4 to 2018, the ROA didn't change to much. 2014-2015, it decreased and from 2015-2018 the ROA increased.C

EE COMPANY Current ratio

2014 1.913
 2015 1.684
2016 1.568
2017 1.931
2018 1.959

e but still quite low.

h and its current assets did not depend too much on inventory.

SRF. However, this distance is not too different.

repay short-term debts because the quick ratio is too low.

EE COMPANY Total asset turnover

2014 0.342
2015 0.294
2016 0.348
2017 0.389
2018 0.342

Account receivable
EE COMPANY turnover
2014 3.901
2015 3.738
2016 5.295
 2017 7.046
2018 5.442

decreases from 2014 to 2017,showing that the number of inventory sold was less and less. However,by 2018
educes between 2014 and 2015. But has improved over time.
company has decrease from 2014 to 2015. And it increased dramatically until 2017.
hest in 2014 and has fluctuated during the remaining 4 years.

REECorporation
2014 2015

28,767 25,209

4,029 3,171

21,965 24,787

7.14 7.95

1.28 1.01

rs on REE.
P/E ratio increased, particularly from 7.14 to 9.34. This proves that the stock price of this enterpr
REE's P/B ratio changes year by year, but generally it decreases, from 1.28 to 0.96. The highest
Corporation, SPF company has a lower and more volatile P/E index for 5 years. The highest rate
r than ree. It can be seen that spf meets a strong opponent in the industry. If investors invest, mos
 REE COMPANY
BALANCE SHEET COMMON SIZE ANALYSIS
2014 2015
Percentage Amount Percentage

12.34% 1,419,715,236,964.00 14.77%

2.97% 381,491,325,362.00 3.97%
12.27% 1,368,936,569,867.00 14.25%
7.12% 547,093,860,649.00 5.69%
0.60% 30,168,992,774.00 0.31%
35.30% 3,747,405,985,616.00 39.00%

6.71% 483,507,065,078.00 5.03%

7.56% 584,938,280,334.00 6.09%
49.00% 4,369,132,998,280.00 45.47%
0.49% 73,935,379,621.00 0.77%
0.95% 350,003,748,498.00 3.64%
64.70% 5,861,517,471,811.00 61.00%
100.00% 9,608,923,457,427.00 100.00%
0.00%

18.46% 2,225,588,711,837.00 23.16%

6.11% 700,314,616,919.00 7.29%
24.57% 2,925,903,328,756.00 30.45%

75.43% 6,683,020,128,671.00 69.55%

100.00% 9,608,923,457,427.00 100.00%

assets of company increased from 8,403 billion in 2014 to 15,499 billion in 2018. 2017 achieved
assets.Short-term assets can be quickly converted into cash flow, which increases solvency, and
ash flow and increase solvency, and Inventory. Besides, the long-term assets focus on fixed asse
when increasing from 2,064 billion in 2014 to 5,571 billion in 2018 in which the short-term debt
ead to the total debt ratio and the D/E increase over the year, the company still remain at the s
COME STATEMENT COMMON SIZE ANALYS
2014 2015
Percentage Amount Percentage
100.00% 2,643,383,937,659.00 100.00%
69.48% 1,752,125,471,255.00 66.28%
30.52% 891,258,466,404.00 33.72%
17.48% 427,537,034,206.00 16.17%
1.60% 81,044,689,862.00 3.07%
1.73% 54,475,770,672.00 2.06%
4.99% 181,831,941,787.00 6.88%
39.68% 1,038,784,287,138.00 39.30%
2.30% 9,651,522,166.00 0.37%
0.30% 2,759,639,006.00 0.10%
8.34% 6,891,883,160.00 0.26%
48.01% 1,045,676,170,298.00 39.56%
6.23% 157,589,356,613.00 5.96%
41.78% 888,086,813,685.00 33.60%

e increased from 2639 billion in 2014 to 5100 billion in 2018 with 20% average income increase
om other profit and income. From 2016 to 2018, the net income improved with 28% average cha
OGS and the expenses of 2014 has lower percentage. In the last 1 year it's likely to improve with

REE CORPERATION, Inc.

INCOME STATEMENT
Ended December 31,2014 to December 31, 2018
Increase (decrease) from 2014 to 2018
Amount
2016 2017 2018
1,029,976,131,390 2,365,786,941,555 2,471,268,522,597
650,902,120,818 1,738,947,394,455 2,045,754,191,163
379,074,010,572 626,839,547,100 425,514,331,434
225,548,408,398 (284,981,708,058) (155,996,354,162)
25,518,763,239 232,628,713,816 69,320,637,407
43,653,122,871 49,223,075,601 53,213,083,546
88,970,926,392 110,502,381,741 83,387,192,599
325,311,065,530 668,435,030,061 1,062,421,057,973
(45,278,601,388) (41,947,654,150) (38,615,469,111)
207,000,945 83,464,803,608 1,720,959,283
(211,984,567,913) (209,715,448,338) (206,835,393,974)
113,326,497,617 458,719,581,723 855,585,663,999
38,320,799,371 34,547,906,526 69,480,538,871
75,005,698,246 424,171,675,197 786,105,125,128

vities are highly volatile.

nue is nearly equal to 2014 but the expenses are much higher. That directly caused the total Ne
es the revenue high, the operating costs also increase. But the revenue is higher than the cost, s
vities are highly volatile.
nue is nearly equal to 2014 but the expenses are much higher. That directly caused the total Ne
es the revenue high, the operating costs also increase. But the revenue is higher than the cost, s
 bt ratio = Total E/D = Equity/ Total debt
bt/total assets
0.246 3.069
0.304 2.284
0.323 2.101
0.392 1.552
0.359 1.782

his distance is not too different , which shows that the company has a good financial situation. However, from

n previous years.In 2018, the E/D improved but is still lower. However, the situation of company is good and t

Net income/total ROE= Net income/ equity

assets
0.131 0.173
0.092 0.133
0.103 0.152
0.107 0.175
0.122 0.190

from 2015-2018 the ROA increased.Comparing to their competitor, we can see that the ROA of REE are highe

Current ratio Quick ratio

1.913 1.527
 1.684 1.438
1.568 1.098
1.931 1.399
1.959 1.642

l asset turnover Inventory turnover

0.342 3.198
0.294 3.059
0.348 2.788
0.389 2.560
0.342 3.068

ount receivable Account payable turnover

turnover
3.901 10.026
3.738 8.332
5.295 7.860
 7.046 8.375
5.442 8.407

old was less and less. However,by 2018 it will increase to 3,067 times

ly until 2017.

MARKET RATIO

2016 2017 2018

26,058 41,479 30,784

3,728 4,441 5,754

24,903 28,038 32,022

6.99 9.34 5.35

0.99 1.48 0.96

that the stock price of this enterprise is very high. Investors expect that this business has higher in
es, from 1.28 to 0.96. The highest ratio is 1.48 in 2017, 1.5 times higher than 2018. Companies w
index for 5 years. The highest rate is 7.14 in 2017, and REE is 1.3 times higher than SPF.
e industry. If investors invest, most investors will choose REE. because the ratio of P/E and P/B i
NY
SIZE ANALYSIS
2016 2017
Amount Percentage Amount

960,027,120,496.00 8.42% 2,397,186,656,336.00

749,169,998,917.00 6.57% 516,561,743,653.00
1,148,403,790,279.00 10.08% 1,130,676,903,999.00
1,230,323,799,872.00 10.80% 1,555,629,874,625.00
17,305,145,779.00 0.15% 51,296,869,224.00
4,105,229,855,343.00 36.02% 5,651,352,047,837.00

528,638,925,974.00 4.64% 492,274,382,836.00

673,433,406,527.00 5.91% 624,011,258,648.00
5,377,448,671,155.00 47.18% 6,274,300,677,903.00
103,446,475,208.00 0.91% 88,858,198,404.00
608,437,842,366.00 5.34% 1,163,870,783,304.00
7,291,405,321,230.00 63.98% 8,643,315,301,095.00
11,396,635,176,573.00 100.00% 14,294,667,348,932.00

2,617,614,139,511.00 22.97% 2,926,952,955,507.00

1,057,879,819,131.00 9.28% 2,674,437,192,088.00
3,675,493,958,642.00 32.25% 5,601,390,147,595.00

7,721,141,217,931.00 67.75% 8,693,277,201,337.00

11,396,635,176,573.00 100.00% 14,294,667,348,932.00

,499 billion in 2018. 2017 achieved the highest growth rate (25%).REE has a high quality and a h
flow, which increases solvency, and long-term assets mainly investments that are good.Short-ter
ong-term assets focus on fixed assets : financial income and investments in associates operating
2018 in which the short-term debt tend to increase significantly and 2017 still achieved the high
r, the company still remain at the safe level.
ON SIZE ANALYSIS
2016 2017
Amount Percentage Amount
3,659,362,605,768.00 100.00% 4,995,173,415,933.00
2,477,729,281,879.00 67.71% 3,565,774,555,516.00
1,181,633,323,889.00 32.29% 1,429,398,860,417.00
685,070,057,689.00 18.72% 174,539,941,233.00
67,669,374,018.00 1.85% 274,779,324,595.00
89,024,177,119.00 2.43% 94,594,129,849.00
220,293,412,913.00 6.02% 241,824,868,262.00
1,368,547,876,590.00 37.40% 1,711,671,841,121.00
15,277,085,939.00 0.42% 18,608,033,177.00
8,071,058,967.00 0.22% 91,328,861,630.00
7,206,026,972.00 0.20% 9,475,146,547.00
1,375,753,903,562.00 37.60% 1,721,146,987,668.00
202,094,699,760.00 5.52% 198,321,806,915.00
1,173,659,203,802.00 32.07% 1,522,825,180,753.00

with 20% average income increased slower from 1098 billion in 2014 to 1884 billion in 2018. Th
me improved with 28% average change of rate. 2014 is known the successful year in recent 5-ye
ast 1 year it's likely to improve with lower expense but COGS still increased
decrease) from 2014 to 2018
Percentage
2015 2016 2017
0.53% 39.17% 89.97%
-4.09% 35.63% 95.19%
11.05% 47.23% 78.11%
-6.96% 49.08% -62.02%
92.27% 60.54% 551.90%
20.07% 96.21% 108.49%
38.46% 67.75% 84.15%
-0.43% 31.18% 64.07%
-84.06% -74.77% -69.27%
-64.91% 2.63% 1061.35%
-96.86% -96.71% -95.68%
-17.17% 8.98% 36.34%
-3.78% 23.40% 21.09%
-19.17% 6.83% 38.61%

r. That directly caused the total Net Income to drop sharply.

e revenue is higher than the cost, so the total after-tax profit is high and increases year

r. That directly caused the total Net Income to drop sharply.

e revenue is higher than the cost, so the total after-tax profit is high and increases year
 SRF COMPANY
2014
2015
2016
2017
2018

good financial situation. However, from 2014 to 2017, the debt ratio has increased gradually. 2014 is known t

the situation of company is good and the risk capability of REE is low. Comparing to SRF, we can see that that

SRF COMPANY
64,772,781,132.00
2014
65,339,493,604.00
2015
96,225,155,621.00
2016
84,598,957,336.00
2017
83,478,635,852.00
2018

we can see that the ROA of REE are higher .

SRF COMPANY
2014
2015
2016
2017
2018
TIO
SPF Company
2014

Price per share 19,232

EPS 3,117

Book Value 15,859

P/E 6.17

P/B 1.03

pect that this business has higher income growth in the future. But by 2018, the P/E ratio droppe
mes higher than 2018. Companies with higher market value than books are often a sign that the co
s 1.3 times higher than SPF.
. because the ratio of P/E and P/B is at a safe level, reducing the understanding of risks such as f
 2017 2018
Percentage Amount Percentage

16.77% 1,865,096,744,967.00 12.03%

3.61% 1,138,925,962,847.00 7.35%
7.91% 1,965,707,145,074.00 12.68%
10.88% 969,073,762,968.00 6.25%
0.36% 48,880,854,277.00 0.32%
39.53% 5,987,684,470,133.00 38.63%

3.44% 445,423,380,673.00 2.87%

4.37% 1,602,831,205,980.00 10.34%
43.89% 6,992,207,022,164.00 45.11%
0.62% 284,736,124,066.00 1.84%
8.14% 186,780,904,608.00 1.21%
60.47% 9,511,978,637,491.00 61.37%
100.00% 15,499,663,107,624.00 100.00%

20.48% 3,056,518,124,052.00 19.72%

18.71% 2,514,776,649,926.00 16.22%
39.19% 5,571,294,773,978.00 35.94%

60.81% 9,928,368,333,646.00 64.06%

100.00% 15,499,663,107,624.00 100.00%

(25%).REE has a high quality and a high payment ability. In the

investments that are good.Short-term asset inclucdes the following
investments in associates operating in the electric infrastructure,
ntly and 2017 still achieved the highest growth rate with 52%
 2017 2018
Percentage Amount Percentage
100.00% 5,100,654,996,975.00 100.00%
71.38% 3,872,581,352,224.00 75.92%
28.62% 1,228,073,644,751.00 24.08%
3.49% 303,525,295,129.00 5.95%
5.50% 111,471,248,186.00 2.19%
1.89% 98,584,137,794.00 1.93%
4.84% 214,709,679,120.00 4.21%
34.27% 2,105,657,869,033.00 41.28%
0.37% 21,940,218,216.00 0.43%
1.83% 9,585,017,305.00 0.19%
0.19% 12,355,200,911.00 0.24%
34.46% 2,118,013,069,944.00 41.52%
3.97% 233,254,439,260.00 4.57%
30.49% 1,884,758,630,684.00 36.95%

n in 2014 to 1884 billion in 2018. The slow growth of net income in

wn the successful year in recent 5-year which the net income which
S still increased
 2018
93.99%
111.98%
53.02%
-33.95%
164.46%
117.28%
63.50%
101.84%
-63.77%
21.88%
-94.36%
67.77%
42.42%
71.55%

is high and increases year

is high and increases year

 Total debt ratio = Total E/D = Equity/ Total
debt/total assets debt
0.583 0.716
0.624 0.603
0.665 0.505
0.717 0.395
0.690 0.450

has increased gradually. 2014 is known the most of successful year with 0.246 of the total

w. Comparing to SRF, we can see that that E/D of REE is clearly much better from 2014 to

ROA= Net income/total ROE= Net income/

assets equity
0.070 0.168
0.059 0.158
0.072 0.215
0.050 0.176
0.051 0.165

Current ratio Quick Ratio

1.413 1.055
1.334 1.090
1.244 1.030
1.183 0.966
1.215 0.963
 SPF Company
2015 2016 2017 2018

14,402 27,492 21,433 12,378

2,682 3,950 3,006 2,606

16,989 18,382 14,826 16,496

5.37 6.96 7.13 4.75

0.85 1.5 1.25 0.77

e. But by 2018, the P/E ratio dropped to 5.35, down 57.3% compared to 2017.
an books are often a sign that the company is doing well, earning high on assets.

the understanding of risks such as financial risks such as Debt, or business risk.
 926776302171 386559259059

1100661636004 414108829321

1335146629745 447818165758

1701454061973 481577522359

1633813718673 506667536007