Jollibee vs Pancake House Financial Analysis

TABLE OF CONTENTS

1 Preface 3

2 Jollibee Foods Corporation: Spreading the Joy of Eating to Everyone 3

2.1 Company Overview 3

2.2 Jollibee Foods Corporation Financial Statements 5

2.2.1 Income Statement 5

2.2.2 Balance Sheet 6

2.2.3 Cash Flow 7

3 Jollibee Foods Corporation Financial Analysis 8

3.1 Balance Statement Analysis 8

3.2 Income Statement Analysis 12

3.3 Trend Analysis 15

4 Pancake House Inc: We Grow Brands 17

4.1 Company Overview 17

4.2 Pancake House Inc. Financial Statements 18

4.2.1 Income Statement 18

4.2.2 Balance Sheet 19

4.2.3 Cash Flow 20

5 Pancake House Inc. Financial Analysis 21

5.1 Balance Statement Analysis 21

5.2 Income Statement Analysis 24

5.3 Trend Analysis 27

6 Financial Ratio Analysis 31

7 Conclusion 32

Preface

Filipinos love to eat. That is why it is not surprising how the Philippine food industry has flourished well over the past years. In this paper, we analyze two of the more popular group of restaurants in the country, Jollibee Food Corporation and Pancake House Inc. These two companies have contrasting styles when it comes to food service. Jollibee Food Corporation prides itself as the leader in the fast food chain category, specializing in quick-service restaurants. On the other hand, Pancake House Inc. builds restaurant brands known to serve casual dining.

Using financial statements comprising of balance sheets, income statement and cash flows, the group will investigate each of the company’s profit, sales, cash, debt trends and financial ratios for the past three years. With this analysis, the group aims to paint a picture of the financial health of Jollibee and Pancake House and concurrently determine which of them is the better company to invest in.

Jollibee Foods Corporation: Spreading the Joy of Eating to Everyone

1 Company Overview

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Figure 1. Jollibee Foods Corporation

Jollibee Foods...