Fred's, Inc. (FRED) - Financial and Strategic SWOT Analysis Review
Reference Code: GDRT29435FSA Publication Date: SEP 2012
4300 New Getwell Road Phone +1 901 3658880 Revenue 1,879.1 (million USD)
Memphis, TN Fax +1 901 3658865 Net Profit 33.43 (million USD)
38118 Website www.fredsinc.com Employees 5,135
United States Exchange FRED [NASDAQ] Industry Retailing
Company Overview
Fred's, Inc. (Fred’s) is a discount store chain operator in the US. The company sells general merchandise products. Fred's
product portfolio include household goods, food and tobacco products, paper and cleaning supplies, apparels and linen, health
and beauty aids, disposable diapers, pet foods and beverages. In addition, the company facilitates pharmacy stores. The
company sells its products through its stores and 21 franchised 'Fred’s' stores. As of January 29, 2012, the company had 679
retail stores and 325 full service pharmacies located in 15 states mainly in the Southeastern United States. The company is
headquartered in Memphis, Tennessee, the US.
Key Executives SWOT Analysis
Name Title Fred's, Inc., SWOT Analysis
Bruce A. Efird Chief Executive Officer Strengths Weaknesses
Michael J. Hayes Chairman
Overdependence on Few
Roger T. Knox Director Strong Distribution System
Vendors for Supplies
B. Mary McNabb Director Business Strategy
Lack of geographical Presence
Michael T. McMillan Director
Source: Annual Report, Company Website, Primary and Secondary
Research, GlobalData Opportunities Threats
Share Data Changing Demographics & Rising Competitive
Fred's, Inc. Medical Expenditure Environment
Share Price (USD) as on 17-Sep- 14.37 Private Brands Reduced Consumer Spending
2012
EPS (USD) 0.87
Source: Annual Report, Company Website, Primary and Secondary Research,
Market Cap (million USD) 527 GlobalData
Enterprise Value (million USD) 511
Shares Outstanding (million) 37
Source: Annual Report, Company Website, Primary and Secondary
Research, GlobalData
Financial Performance
Source: Annual Report, Company Website, Primary and Secondary
Research, GlobalData
Fred's, Inc. (FRED) - Financial and Strategic SWOT Analysis Reference Code: GDRT29435FSA
Review
Source : www.globalcompanyintelligence.com Page 1
© GlobalData. This report is a licensed product and is not to be copied, reproduced, shared or resold in any form
Table of Contents
Table of Contents ............................................................................................................................................................................... 2
List of Tables .................................................................................................................................................................................. 3
List of Figures ................................................................................................................................................................................. 3
Section 1 - About the Company.......................................................................................................................................................... 4
Fred's, Inc. - Key Facts....................................................................................................................................................................... 4
Fred's, Inc. - Key Employees .............................................................................................................................................................. 5
Fred's, Inc. - Key Employee Biographies ............................................................................................................................................ 6
Fred's, Inc. - Major Products and Services ......................................................................................................................................... 7
Fred's, Inc. - History ........................................................................................................................................................................... 8
Fred's, Inc. - Company Statement ...................................................................................................................................................... 9
Fred's, Inc. - Locations And Subsidiaries ......................................................................................................................................... 11
Head Office ................................................................................................................................................................................... 11
Other Locations & Subsidiaries ..................................................................................................................................................... 11
Section 2 – Company Analysis ......................................................................................................................................................... 12
Fred's, Inc. - Business Description ................................................................................................................................................... 12
Fred's, Inc. - SWOT Analysis............................................................................................................................................................ 13
SWOT Analysis - Overview........................................................................................................................................................... 13
Fred's, Inc. - Strengths .................................................................................................................................................................. 13
Strength - Strong Distribution System ....................................................................................................................................... 13
Strength - Business Strategy..................................................................................................................................................... 13
Strength - Operational Efficiency ............................................................................................................................................... 13
Fred's, Inc. - Weaknesses ............................................................................................................................................................ 13
Weakness - Overdependence on Few Vendors for Supplies .................................................................................................... 13
Weakness - Lack of geographical Presence ............................................................................................................................. 14
Fred's, Inc. - Opportunities ............................................................................................................................................................ 14
Opportunity - Changing Demographics & Medical Expenditure ................................................................................................ 14
Opportunity - Private Brands ..................................................................................................................................................... 14
Opportunity - Positive Outlook for Online Retailing Market ....................................................................................................... 14
Fred's, Inc. - Threats ..................................................................................................................................................................... 15
Threat - Rising Competitive Environment .................................................................................................................................. 15
Threat - Reduced Consumer Spending ..................................................................................................................................... 15
Threat - Global Economic Scenario........................................................................................................................................... 15
Fred's, Inc. - Key Competitors .......................................................................................................................................................... 16
Section 3 – Company Financial Ratios ............................................................................................................................................. 17
Financial Ratios - Capital Market Ratios........................................................................................................................................... 17
Financial Ratios - Annual Ratios ...................................................................................................................................................... 17
Performance Chart ........................................................................................................................................................................... 19
Financial Performance...................................................................................................................................................................... 19
Financial Ratios - Interim Ratios................