CRONCO REGIONALis a leading construction company founded in 2001 & is based in Babardos. The business entity has within recent years have been encountering increases in revenues from its construction-related services (design, build, expansion&remodeling, & emergency-services. the mainline of business is from the construction of roads & commercial buildings within Babardos and to a limited extent a few other regional operating-markets. Due to the growth of regional tourism, CRONCO REGIONAL has become worried about the competition of other multiple construction companies which have entered the region to provide similar type services around the Caribbean in various markets. Business overseas contributes to 40 percent of the company’s revenues, while the other 60 percent is earned domestically.
The novel virus pandemic has caused a slow down in overall operations leading to prolonged delays in delivery of raw materials from abroad. The CEO (CRONCO REGIONAL) is confident that there will be a turnaround in operations in 2021, and is therefore thinking about contracting a loan of $500.0 Million from its designated bank to help rebuild its lead position in the market and to expand its line of business to include the sales of heavy-equipment. Over the years the company has depend mainly on issuing long-term bonds to finance its capital-projects. As of today, the firm has 50.0 million shares of common stock outstanding. With the requirements below determining whether they would be successful with the new loan.
Requirements:
1. Complete CRONCO REGIONAL estimated per share data for the year ending December 31 2021.
Per Share Data
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2021
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2020
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2019
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Common Stock Price
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$ 23.00
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$ 26.00
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Earnings Per Share (EPS)
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$ 6.06
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$ 7.12
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Dividend Per Share (DPS)
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$ 1.15
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$ 1.06
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Book Value Per Share (BVPS)
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$ 21.72
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$ 16.80
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Cash Flow Per Share
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$ 8.06
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$ 8.92
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Extracted text: CRONCO REGIONAL Balance Sheet (Millions of Dollars) 2021 2021 Assets 2020 2019 Liabilities 2020 2019 Est Est Cash and Cash 15 10 15 Accounts payable 115 60 30 Equivalents Short-Term 10 65 Overdrafts 115 110 60 investments Accounts Receivable 420 375 315 Accruals 260 140 130 Inventories 700 615 415 Total Current Liabilities 490 310 220 Long-Term Bonds and Total Current Assets 1,145 1,000 810 1300 754 580 New Loan Net Plant and 1884 1,190 870 Total Debt 1790 1,064.00 800 Equipment Preferred Stock 40 40 40 Common Stock 130 130 130 Retained Earnings Total Common Equity 1069 956 710 1199 1086 840 2$ $ Total Liabilities and $ Total Assets 3,029 2,190 1,680 Equity 3,029 2,190 1,680 Est. Estimate
Extracted text: CRONCO REGIONAL Income Statement (Millions of Dollars) 2021 Est. 2020 2019 Net Sales 4,000 3,000 2,850 Operating Costs 3,100 2,300 2,100 ЕBITD 900.00 700 750 Depreciation 110 100 90 Amortizaton Depreciation and Amortization 110 100 90 ЕВITD 790 600 660 Interest 100 88 60 Earnings Before Taxes Тахes (40%) 690 512 600 276 204.8 240 Net Income Before preferred Dividends 414 307.2 360 Preferred Dividends 4 4. 4 Net Income $ 410.0 $ 303.2 $ 356.0 Common Dividends 57.5 57.5 53 Addition to retained Earnings 352.50 $ 245.70 $ 303.0 Per Share Date 2021 2020 2019 Common Stock Price 2$ 28.0 $ 23.00 $ 26.00 Earnings Per Share (EPS) Dividend Per Share (DPS) Book Value Per Share (BVPS) $ $ 6.06 $ $ ??? 7.12 ???? 1.15 1.06 ???? 21.72 16.80 Cash Flow Per Share ???? 8.06 8.92