Thales: Company Profile and SWOT Analysis - PDF

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Thales: Company Profile and SWOT Analysis - PDF
Thales



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Thales Financial Snapshot



Operating Performance

Fast Facts

45, rue de Villiers, Neuilly-sur-Seine, The company reported revenues of US$17,499.73

Headquarters Address

92200,France million during 2010, with a CARC of 8.07% during

2006–2010. Its revenue declined at an annual rate of

Telephone + 33 1 57778000

2.19% over the previous fiscal year. In 2010, the

company recorded an operating margin of -1.56%, as

Fax + 33 1 57778659 against -1.62% in 2009.



Website www.thalesgroup.com

Revenue and Margins

Ticker Symbol, Stock Exchange HO, Euronext Paris



Number of Employees 63,734



Fiscal Year End December



Revenue (in US$ million) 17,499.73



Revenue (in EUR million) 13,124.80









SWOT Analysis Return on Equity



Strengths Weaknesses The company recorded a return on equity (ROE) of -

2.93% for 2010, as compared to its peers, The Boeing

Global Operations High Debt to Equity Ratio Company (Ticker: BA), BAE Systems plc (Ticker: BA.)

and EADS N.V. (Ticker: EAD), which recorded ROEs

of 119.56%, 19.73% and 6.25% respectively. The

Inorganic Growth Program Overruns company reported an operating margin of -1.56% in

2010.

Strong Innovations Weak Operational Performance

Return on Equity

Strong Order Backlogs



Opportunities Threats



Expansion of Operations Political Influence



Growing Global Defense Market Regulatory Environment



Outlook for C2/C4ISR Systems Threat from Substitutes



Strategic Initiatives







Liquidity Position



The company reported a current ratio of 0.92 in 2010,

as compared to its peers, The Boeing Company, BAE

Systems plc and EADS N.V., which recorded current

ratios of 1.15, 0.65 and 0.96 respectively. As of

December 2010, the company recorded cash and

short-term investments of worth US$3,677.87 million,

against US$1,298.13 million current debt. The

company reported a debt to equity ratio of 0.73 in

2010 as compared to its peers, The Boeing Company,

BAE Systems plc and EADS N.V., which recorded

debt to equity ratios of 4.49, 0.57 and 0.48

respectively.









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Thales - SWOT Profile Page 1

Thales



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TABLE OF CONTENTS



1 Business Analysis ................................................................................................................................... 5

1.1 Company Overview .................................................................................................................................................5

1.2 Business Description ...............................................................................................................................................5

1.3 Major Products and Services ...................................................................................................................................6

2 Analysis of Key Performance Indicators ............................................................................................... 7

2.1 Five Year Snapshot: Overview of Financial and Operational Performance Indicators ...........................................7

2.2 Key Financial Performance Indicators ...................................................................................................................10

2.2.1 Revenue and Operating Profit .......................................................................................................................10

2.2.2 Asset, Liabilities and Capex ..........................................................................................................................11

2.2.3 Operational Efficiency ....................................................................................................................................12

2.2.4 Solvency ........................................................................................................................................................13

2.3 Competitive Benchmarking ....................................................................................................................................14

2.3.1 Efficiency .......................................................................................................................................................14

2.3.2 Capital Expenditure .......................................................................................................................................15

2.3.3 Turnover – Inventory and Asset ....................................................................................................................16

2.3.4 Liquidity ..........................................................................................................................................................17

3 Mergers & Acquisitions and Partnerships ........................................................................................... 18

3.1 M&A and Partnerships Strategy ............................................................................................................................18

4 Recent Developments ........................................................................................................................... 21

5 SWOT Analysis ...................................................................................................................................... 23

5.1 SWOT Analysis - Overview ...................................................................................................................................23

5.2 Strengths ...............................................................................................................................................................23

5.3 Weaknesses ..........................................................................................................................................................24

5.4 Opportunities .........................................................................................................................................................24

5.5 Threats ...................................................................................................................................................................25

6 Thales - Company Statement ....................................................................

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