Financial Overview Cara Operations is a pretty large company, with total dollar sales of $900.5 million (Cara Reports Q2 2016 Results, 2016). Market capitalization is equal to the current share price of the company multiplied by the number of outstanding shares of the company. Cara’s current stock price is $24.84 and their number of shares outstanding are 24.43M. Therefore, Cara’s market capitalization would be $24.84 x 24.43M = $606.8M. CHL will continue to hold 14,492,906 Multiple Voting Shares, representing approximately 29.5% of Cara 's total issued and outstanding shares. Fairfax Financial is also a shareholder of Cara Operations. Cara follows its history to 1883, when it sold daily papers and snacks along the Canadian Railroad (thus "CaRa"). Today, Cara’s goals for next 5 to 7 years is to grow their revenue between $2.5 and $3 Million. They plan on doing this by acquiring new brands and solidifying their well known title as Canada’s Largest Foodservice Company. five to seven years is to grow revenue to between $2.5 and $3 million, a
Is The Company Profitable?
Profitability ratios measure a company’s operating success for a certain time period. Generally, if a company has …show more content…
The working capital indicated whether a company has enough short term assets to cover its short-term debt. The formula to determine working capital is to subtract current assets by current liabilities; Cara’s 2014 working capital was -115,899 and 2015 ratio was -51,550. By having a negative working capital means that the company is overleveraged, struggling to maintain sales, paying bills too quickly, and receiving receivables slowly. On the other hand Restaurant Brand International has a working capital of 247.10, which is a lot more favorable than Cara. The industry average is 1.28, it is a positive number which indicates that Cara needs to improve company
Is The Company Profitable?
Profitability ratios measure a company’s operating success for a certain time period. Generally, if a company has …show more content…
The working capital indicated whether a company has enough short term assets to cover its short-term debt. The formula to determine working capital is to subtract current assets by current liabilities; Cara’s 2014 working capital was -115,899 and 2015 ratio was -51,550. By having a negative working capital means that the company is overleveraged, struggling to maintain sales, paying bills too quickly, and receiving receivables slowly. On the other hand Restaurant Brand International has a working capital of 247.10, which is a lot more favorable than Cara. The industry average is 1.28, it is a positive number which indicates that Cara needs to improve company