Nobody downloaded yet

International operation and risk management of ICAP plc - Essay Example

Comments (0) Cite this document
Summary
International operation and risk management of ICAP plc Contents Contents 2 Introduction: ICAP plc 3 Performance - Financial Trend 3 Globalization strategies 8 Managing Risks 10 Foreign Exchange risk 10 Country and Political risk 11 Recommendation for the management of different types of Risks 13 Conclusion 14 References 15 Bibliography 18 Introduction: ICAP plc ICAP plc is an electronic and voice dealer broking company that is based in the UK…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER91% of users find it useful
International operation and risk management of ICAP plc
Read TextPreview

Extract of sample
"International operation and risk management of ICAP plc"

Download file to see previous pages The company is a public limited company and is listed on the London Stock Exchange. The company was founded in the year 1986 and has more than 5000 employees who provide the risk services in the company. The company focuses mainly on the key principles of leadership, Integrity, entrepreneurship as well as respect for control. Performance - Financial Trend A ratio analysis has been conducted for ICAP in order to understand the financial performance of the company. Ratio Analysis     2013 2012 2011 2010 2009 Liquidity Ratios Current Ratio 1.026 1.004 1.003 1.002 0.999     2013 2012 2011 2010 2009 Cash Ratio 0.089 0.017 0.016 0.025 0.014           Profitability Ratio Gross Profit Margin 0.990 0.989 0.984 0.765 -     2013 2012 2011 2010 2009 Operating Profit Margin 0.145 0.160 0.163 0.176 0.191     2013 2012 2011 2010 2009 Net profit Margin 0.030 0.083 0.109 0.074 0.117 Leverage Ratio Debt Ratio 0.939 0.985 0.984 0.981 0.966     2013 2012 2011 2010 2009 Debt Equity Ratio 15.31 66.19 60.37 48.89 28.68           Profitabilty Indicator Ratio Return on Assets 0.09% 0.17% 0.49% 0.24% 0.55%     2013 2012 2011 2010 2009 Return on Capital Employed 0.41% 0.33% 0.40% 0.58% 1.78% Liquidity The current ratio of the company has increased by 22% over the last one year from 1.004 in 2012 to 1.026 in the financial year 2013. The inventory of the company for all the years is equal to zero. This means that for ICAP the current ratio and the quick ratio are the same (Atrill and Mclaney, 2008, pp. 142-178). The increase in the current ratio means that the company has efficient cash management and that the company can meet its short term debt obligations quite comfortably (Kieso, Weygandt and Warfield, 2007, p. 738). Thus ICAP has sound liquidity position. Profitability The profitability levels of the company can be estimated from the profitability ratios as shown in the table above. The gross profit margin for the company has increasing steadily from 2011 to 2012 and then from 2012to 2013. The gross profit margin for the year 2013 is 0.939 which means that the company has been able to use the different resources that it has in the most appropriate way (Williams, Haka, Bettner and Carcello, 2008, p. 266). Source: ICAP 2013, p. 03 The operating profit margin for the company fell almost more than one percent in the year 2013. Thus it shows that the company has not been able to achieve economies of scale for the last one year but the steady figure over the years reflects the efficiency of the company in maintaining the scale of operations (Gallagher, 2003, pp. 94–95). The different compositions of the operating profit of ICAP as per the different businesses have been shown in the dough nut chart as above. This means that most of the operations of the company are equally prosperous and has been able to achieve the desired scale of operations for the long term (Weston and Brigham, 1990, p. 295). The return on assets for the company is 0.09% in 2013 as compared to 0.017% in 2012 and 0.27% in 2011. Looking at the steady level of net income of the company it shows that the company has increased its assets over the phase of 3 years which has resulted in a declining ROA (Tracy, 2004, p. 173). ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“International operation and risk management of ICAP plc Essay”, n.d.)
International operation and risk management of ICAP plc Essay. Retrieved from https://studentshare.org/finance-accounting/1497050-international-operation-and-risk-management-of
(International Operation and Risk Management of ICAP Plc Essay)
International Operation and Risk Management of ICAP Plc Essay. https://studentshare.org/finance-accounting/1497050-international-operation-and-risk-management-of.
“International Operation and Risk Management of ICAP Plc Essay”, n.d. https://studentshare.org/finance-accounting/1497050-international-operation-and-risk-management-of.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
International Management Decision Making:Tesco plc
...?International Management Decision Making: Tesco plc Nature of Competition in the Retail Grocery Industry in the UK 1 Market Structure The briefbackground information on Tesco plc indicated that the nature of competition in the retail grocery industry in the UK, within which Tesco plc dominates is an oligopoly, described as “a situation of competition between the few, where a few large firms dominate an industry” (Brief Background Information 2011, par. 3). This fact was corroborated by Fabe (2011) in his published article on the UK Retail Grocery that indicates that “the market environment of the UK grocery retailer industry is more patterned after oligopoly. For instance, the presence of a few major firms in the industry... be offset by...
15 Pages(3750 words)Essay
International running and risk management of AVEVA Group plc
...? INTERNATIONAL RUNNING AND RISK MANAGEMENT OF AVEVA GROUP PLC INTERNATIONAL RUNNING AND RISK MANAGEMENT OF AVEVA GROUP PLC Introduction Engaging in international business market is one that demands several strategies and models of operations to ensure and bring about successful competition. Mostly, organisations and for that matter multinational companies are set up with independent and individual vision and mission statements that guide the way and course of operations of the businesses. However, due to the fact that the organisations come to...
10 Pages(2500 words)Essay
Multi-national operation and risk management of Debenhams plc
...?Multi-national operation and risk management of Debenhams plc Introduction Once a company decides to operate as a multinational corporation, there are several forms of competition and risks that face it. In the interest of succeeding in the competition and surviving the risks, the companies respond by use of various international competitive strategies that aim to improve their financial performance (Gauthier, 2007). To withstand the risks that face the companies also, there is often the use of various risk management strategies that often target the...
10 Pages(2500 words)Essay
Risk Management - International Trade
...The Case for Using Australian Risk Management Standard on UK Construction Projects Introduction With the onset of the ever dynamic world, international trade could never have been more different. Growing opportunities give rise to increased challenges. The world is getting smaller by the hour, and more and more accessible markets are ever evolving. At the same time, variables increase in multitude that make this situation ever more complex. In such a time, any country wishing to formulate trade links within the domains on another country has to make a very thorough analysis. A market evaluation becomes imperative in order to ascertain the best course of actions for both countries in...
12 Pages(3000 words)Essay
International Risk Management
...International Risk Management - Will Facebook Survive the Next 10 Years? - Number and Number of Submission Number of Words: 2,532 Introduction In February 2004, Facebook was launched as a social networking site that allows its active users to get in touch with friends. By creating a personal profile, Facebook users could easily locate old and new acquaintances. Since Facebook was designed to be user-friendly, the company managed to become one of the most highly recognized social networking sites around the world. As of July 2010, the company managed to create more than 500 million active users worldwide (Zuckerberg, 2010). As part of determining...
10 Pages(2500 words)Essay
Multi-national operation and risk management of Renishaw plc
...); and Renishaw International BV (Netherlands). In addition, we have the Renishaw Metrology Systems Private Ltd (Bangalore); Renishaw SA (France); Renishaw Oceania Pty Ltd. (Australia); Renishaw SpA (Italy); Renishaw (Hong Kong) Ltd; Renishaw A.G (Switzerland); Renishaw Iberica S.A (Spain); Renishaw Latino Americana Ltd (Brazil); Renishaw (Ireland) Ltd. This is an indication that its global presence of Renishaw plc is quite extensive (Baum & Lampel 2010). Managing risks Given the existence of a variety of risks that exists in the business environment, running a business may be a very risky affair. This is because such risks have the...
10 Pages(2500 words)Essay
International Operations and Risk Management of Brewin Dolphin Plc
...International operations and risk management of Brewin Dolphin Plc Table of Contents Introduction 3 Business and key markets 3 Corporate and financial actions 4 Financial trends 5 Sales growth 6 Profitability 6 Operating profit margin 6 Net profit margin 6 Efficiency ratios 7 Return on equity 7 Return on capital invested 7 Dividend payout ratio 8 Risk management 8 Exchange rate risk management 8 Political risk management 10 Firm based 11 Country based 11 Conclusion and recommendation 12 Reference list 13 Introduction...
15 Pages(3750 words)Essay
International risk management
...education on the operations of the product. If the developers concentrate on ensuring that the sources of power for the switch button and that the potential users of the product are well educated, risk of the product not meeting its intended target will be minimised. Risk transfer This risk mitigation strategy involves the involvement of an independent party. It’s a strategy that involves transferring the risk either wholly or partly to an independent party referred to as the insurer. With insurance, the independent party -after being paid a consideration referred to as premiums -assumes the...
5 Pages(1250 words)Assignment
Global operation and risk management of Qinetiq Group plc 01303
...functionalities to only UK and US (QinetiQ, 2014). CONCLUSION AND RECOMMENDATIONS Meticulous analysis of the company’s overall environmental factors, financial performance and risk management strategies, it is concluded that company is operating with sound strategies to mitigate risks associated with the performance in international operating scenario. However, continuous decline in financial performance is contrary to the growth trend of the industry as presented above. Furthermore, the viability of the action of balancing debt and equity is plausible. Considering the overall health and concerns of the company some recommendations are...
10 Pages(2500 words)Essay
Global operation and risk management of Qinetiq Group plc 01303
...Global operation and risk management of Qinetiq Group plc INTRODUCTION QinetiQ is formed as a private company in 2001 after the decision of MinistryOf Defense (MOD) about the spilt of Defence evaluation and Research agency (DERA). Excluding Defence Science and Technology Laboratory unit, MOD separated all the other DERA’s functional units as a private business entity with the name of QinetiQ (QinetiQ, 2015a). The business headquartered in Farnborough, Hampshire, United Kingdom registered in London stock exchange as public private partnership in 2002 via appointing Carlyle group that is a US-based company as strategic partner. The company holds a business portfolio of...
10 Pages(2500 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Let us find you another Essay on topic International operation and risk management of ICAP plc for FREE!
logo footer
Contact us:
+16312120006
Contact Us Now
FREE Mobile Apps:
  • StudentShare App Store
  • StudentShare Google play
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • Miscellaneous
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us