Sales Data Analysis

1. Honda

Honda is one of the recognized American companies that are successful in its operations of manufacture and sales of vehicles. The company operates in two divisions, namely Acura. In the second quarter of 2021, the company managed to sell 486,419, which represented an addition of 65% to their previous sales. Out of these totals, 189,356 were cars representing an additional 54.4%, while trucks were 297063, which meant an addition of 73.9%—the Acura cars topped with the highest sales increase in the first quarter.

The robust growth can be attributed to the high demand for Acura SUV and its new MDX. However, in the same quarter, the total sales of the tractor were higher than those of cars. As a result of solid product inventories, Honda emerged the best in its 2^nd quarter sales record. The sale of trucks occurred the second during the second quarter. In June, Honda proved its ability by selling over 137238 units comprised of pilot, passport, CR-V, and HR-V, which made the total sales of Honda trucks to over 81,000 units in one month.

The Honda electrified vehicles set forward and marked sales in June, primarily through her insight hybrid sedan. In the second quarter, Acura topped the June sales with over 15000 since the vehicle had a strong demand though it experienced. The ILX of the Acura gateway sport sedan made the high sales of 2093 units as its sales were boosted by the earlier introduction of model S of TLX, which encouraged sales of over 3,000 units in June.

The growth of Honda is hindered by high requirements in new technology investments in R & D R&D. this high price is then transferred to customers, demoralizing their preference to purchase the vehicle type.

The company’s introduction of electric vehicles targets to boost the company’s income since the future of automobiles is in high demand for clean energy. The company also introduces more vehicle models, which is the key to growing in a competitive environment.

2. Walmart Inc.

Walmart is an American retail corporation that operates as a hypermarket in many nations. In the first quarter of 2020, traffic has been changed to transactions where the fiscal year 2019 was used in 4-5-4 to provide a historical summary of the first quarter transactions. On April 27, 2018, the sales transactions were at 1.4%, which increased by 1.3% within a period of 3months to 2.7%. By October the same year, the sales declined by 1.1% from the previous month but increased by 0.2 from the base month. By January 25, 2019, there was a decline in transactions where the range maintained was an average of 1.5%. The fluctuation in transactions was proportional to the reported traffic.

The BPS change stood at the highest with 60bps in April 2018 and January 2019, 50bps in July 2018, and 40bps in 2018. The business experienced a revised ticket of 0.7%, which went all through to 2.7%, similarly from 1.3% on January 27, 2018, 1.3% on July 27, 2018, and 2.2% on October 2018, and 3.3% on January 25% 2019.

Walmart struggles: the companies sales and growth fluctuations can be attributed to high competition by related companies, which signifies that the company uses most of its resources to overcome the competition. Again the high competition fosters a low-price strategy to the market.

According to the statics regarding Walmart, the company has an opportunity to expand and improve its practices. Such opportunities will be associated with the situation of the economy globally.

3. Corporate Target

The corporate target is an American big-box store located in Minnesota and ranked 8^th in America. The company’s comparable deals shoot by 28.4%, reflecting a similar traffic growth of 6.5% and an average ticket increase of 13.1%. The increase in comparable sales is 19.3%, whereas digital sales grew by 18.8%. This growth accounts for the company’s overall relative growth.

The company’s 2020 sales growth was $92,400, which was more than the previous year company’s total sales. In the same year, the continuing operation income stood at $6,539, where the outstanding common share averages $500.9 million, with the operating cash flow from the continuing operations, which was $10,525. The GAAP and earnings per share (EPS) from continuing operations were $6.39 in 2019 and $8.72 for the entire 2020, compared with $5.54, $5.32, and $4.61 in previous years, respectively.

2020 follows as a year of investment in building a durable and sustainable business growth model. The companies offer unique and diversified categories of flexibility offered through convenient and flexible options helped the market gain over $500.9 million shares in 2020. However, this was less than the previous years. As the company looked ahead in 2021, there is an opportunity to invest in the business and gain the capability to drive the market and gain more shares and high-profit margins in years to come.

In 2020 the operating income margin was $ 6,539 million compared with $ 4,658 million in 2019. This reflects the benefit of merchandise action. The SG&A expense rate was $ 18,615 million in 2020, in line with $ 16,233 million in 2019. As realized previously, the 2020 full-year sales rose from 19.8% to $92.4 billion from $77.1 billion. It also caused a rise of 19.3% in comparable sales from all sources. The 2020 full-year operating income was $6,539 million, which increased 40.4% compared to previous years’ $ 4,658 million.

The total full-year gross margin rate was reflected as 28.4%, while in 2019, it was 28.9%. The decline may be attributed to unfavourable sales or poor supply channel mix. 2021 SG&A expense rate stood at 19.9% in 2020, while in 2019, it was 20.8 %, reflecting essential leverage on fixed costs to offset a team member’s pay, safety, and benefits.

Interest Expense and Taxes: The 2020 company net interest expenses were $106 million, but in 2019 it was $118 million. The decrease was about $10 million, a change rising from an early retirement debt witnessed in 2019. The total net interest for 2020 had a net interest expense of about $977, but in 2019 it was $477. The difference was about a $512 million charge driven by early retirement. In the last quarter of 2020, a 20.2% signified a decrease from 20.7%, which was witnessed in the previous year. Therefore, the effective income tax rate of the continuing operations was 21.2% representing an increase from 22.0% in 2019. This reflects an enormous rate benefit obtained from primarily related payments.

Capital Deployment and Return on Invested Capital: The company’s dividends increased from $334 million in 2019 to $341 million in 2020, representing 3% in dividend per share. A reduction in average share count offsets this. In the entire year of 2020, the tax return on invested capital was 23.5%, while in 2019, it was 16%. The increase is attributed to high profits and a reduced base of money infused.

However, the company Target stock (TGT) seems to be dropping at 8.2%. The company has also had its shares drop by about 28.2% over the past year. These two move are signs of how the company struggles to meet its target and keep the company stocked since customers are specific on their demand.

As a retail corporation, Target Corporation takes the 8^th position of the largest retailers in the US. Its retail format includes hypermarket super target, and target express, making target branding. The company can exploit this opportunity and revive its operations to gain consciousness and overcome its struggles.

4. Hershey

This is an American chocolate company that carries out its manufacturing activities internationally. It exists among the largest chocolate manufacturing companies worldwide. The company’s 2021 updated list comprises both the net sales and earnings, reflecting its strengths in its performance. In the second quarter of 2021, the company realized $1989.4million, which was its consolidated net sales, and this represented an increased margin of 16.5%. In contrast, the constant currency net sales of organic compounds increased by 15.5%.

The company reported an increased diluted share of $301.2, representing 12.4%. The takeaways have given the company an increased sales advantage by 6.5% compared to the previous year. With sales, the company experienced a rise of 70.2% to $210.2 million. The increase excluded a 5.7 point benefit representing the foreign currency exchange rate; hence the net currency sales stood at a 64.5% increase in from2020. Hershey realized an increase of 38.2%, representing an increase of $41.1million at $148.6million.

The company has a continued strength of 6.5%, facilitated by everyday take-home chocolate and other pandemic recovery measures. The consumables also have their share increased by 5.6%, while the consumable products have increased by 26.7%. The company salty snacks increased by 25.6% compared to previous years.

The company experienced a 50bps decrease in gross margin in its second quarter. Increased supply chain costs drove this due to demand and inflation. The high input cost was also driven by an 8.4% increase in the advertisement of consumables. The operating expenses impacted an income segment by 13.7%, from $565.9 million witnessed in 2021 to $497.6 million in 2020.

Work cited

https://hondanews.com/en-US/releases/release-5fa92287c460646b4d3024418b006cf8-american-honda-carefully-manages-supply-issues-to-continue-sales-momentum-in-2nd-quarter

https://s2.q4cdn.com/056532643/files/doc_financials/2020/Q1/Walmart-Inc-Revised-Fiscal-2019-Quarterly-Comp-Transactions.pdf

https://corporate.target.com/annual-reports/2020/financials/financial-highlights

https://hershey.gcs-web.com/news-releases/news-release-details/hershey-reports-first-quarter-2021-financial-results-raise