1. ) What is the primary focal point of SIPEF’s operations? How does the company make value? What are its cardinal success and hazard factors?
SIPEF was a diversified international agro-industrial pudding stone. It produced and traded agricultural merchandises in five sections: thenar. gum elastic. tea. tropical fruits and workss. and insurance.
It produced most of its grosss in Indonesia through palm oil production. Its merchandises were exported worldwide to a extremely concentrated client base: its 10 largest clients provided 90 % of the three nucleus products’ grosss.
SIPEF had significant growing and high profitableness. which were reflected on its fiscal public presentation and increased portion monetary value. However. since SIPEF had international range and trade goods focus. it had significant exposure to fluctuations in market monetary values of its nucleus merchandises. which made it choose non to use significant trade good monetary value hedges.
2 ) How has SIPEF performed in the last three old ages. peculiarly gross revenues growing. net income border. plus turnover. and return on equity ( ROE ) ?
Based on the fiscal ratios we calculated. SIPEF had a great fiscal public presentation in the last three old ages. We assume SIPEF and Ledesma used the same method to fix the fiscal statement before IAS 41. Therefore. we adjusted the figures of SIPEF to the 1s before IAS 41. The followers are some fiscal ratios of SIPEF.