ASS#1 Step 3-6 Draft
- diemquynhtran1
- Apr 10, 2024
- 6 min read
Step 3-6
ASSIGMENT 1 - ACCT11059
The company that I have been assigned is Carbon Revolution
The website link is https://www.carbonrev.com/
My personal blog link is Home | My Site 5 (diemquynhtran1.wixsite.com)
Step 3:
CARBON REVOLUTION Annual Report KCQ’s:
A link to my company’s annual reports: https://www.carbonrev.com/
Initial Thoughts
Before enrolling in the accounting major, I also had confused thoughts, not knowing where to start and what to learn. But after the first weeks of school, I met enthusiastic teachers and Martin's dedicated guidance, which helped me gradually understand the learning, calculation and reporting process better. When I received the Carbon company, I also felt worried because I didn't know much about the automotive industry or carbon fiber wheels, and I wondered what I should do? And what information did I find? At this point, I started to feel frustrated. How can I discuss my company with others when I don't even understand what they sell? However, I started to learn about the company's information and figures. So basically, Carbon Revolution is a global company headquartered in Victoria, Australia, founded in 2007 and operating in the United States, China, Germany, Japan and the United Kingdom. Besides, the company also specializes in designing, manufacturing and supplying carbon fiber wheels to the automotive industry, which not only allows automakers to reduce vehicle mass and improve performance but also reduce emissions. Actually, for a new student like me, it is very difficult because there are too many information and many different financial reports, but in the end, I still found the exact reporting data for each year.
The Annual Report
When I initially opened the reports, I was shocked to see that they ranged from 105 pages. How can I go through all those pages and pick out only the good parts? I guess now I have to learn to skim because I don't have time to read all three reports in the time frame allotted. I read the first five or six pages of the 2023 report.
For a newbie like me, I cannot get an overview of a company when I only look at the financial statements. But fortunately, the company's summary reports which helped me understand in more detail the information and operations of Carbon Revolution company. And of course, it will be easier for you, if you take your time and learn it more thoroughly and carefully.
Carbon Revolution's technology, which can reduce wheel weight by up to 50% compared to aluminum wheels, is attracting the attention of global automakers. The company's wheels are not only efficient but also help meet targets such as corporate average fuel economy (CAFE). As the auto industry transitions to electric vehicles (EVs) and sustainable alternatives, Carbon Revolution's offerings are ready to meet OEM demand for efficient weight-saving technologies. Besides, this also contributes to protecting the environment and minimizing climate change.
Investing Pro data shows that Carbon Revolution holds a market capitalization of $31.5 million, which could be considered modest in the competitive auto parts industry. The company's revenue for the trailing twelve months to Q4 2023 stood at $25.48 million, with a worrying revenue decline of 5.15% over the same period. These numbers raise concerns about the company's current finances and its ability to continue investing in growth and innovation. From 2019 to 2023, the company's KPIs have fluctuated up and down as expected due to epidemic. There are also some that have fluctuated for the better and obviously some that are not so good. KPI is really necessary if you want to invest in a company and why is it so important? because it is the foundation for evaluating business strategy and the success of a business.
Through reading the book, I also learned that the company has been awarded a total of 181 programs by six global OEMs, including Ford Motor Company, General Motors Company, Renault, Ferrari NV, Jaguar Land Rover and a major auto manufacturer. of Germany. These partnerships highlight growing demand for Carbon Revolution's advanced wheel technology, which also promises to enhance EV range by 5% to 10%. I think, with such results, it is also considered a success for the company. Overall, their prospects are growing in a positive direction.
Key opportunities and risks
Besides successes and effective strategies, there are also risks that the company must face. Investing Pro Tips suggests Carbon Revolution operates with a significant debt load and may struggle to make interest payments on its debt. This financial strain, coupled with weak gross margins, could hinder the company's ability to take advantage of growing demand for lightweight auto components. Analysts also don't predict the company will turn a profit this year. In my opinion, the company needs to manage its finances and strategic planning more clearly and carefully.
However, despite these challenges, analysts predict sales growth this year, which could signal that the market for Carbon Revolution's products remains strong. The company's focus on lightweight and efficient wheel technology, especially for the growing electric vehicle market, could still position it favorably among OEMs looking to meet fuel economy goals and rigorous sustainability.
Am I happy with my company?
To be honest, when looking through the list of companies I was very impressed with Domino's, I found it familiar because I eat pizza every week and thought it would be easier for me but no matter which company it is no matter what there will also be easy and difficult things. Besides, in my company, I had difficulty finding the financial statements for the years because I couldn't find them in the link the company provided. But okay, I found it while searching on Google.
Anyway, I'm still happy when I received the Carbon Revolution company, it helps me expand my knowledge about the automotive industry in general and about carbon fiber wheels in particular. And of course, I will try to complete the task efficiently and accurately.
Studiosity Feedback
Like other students, this is my first time studying at CQUniversity, and of course I also encountered some difficulties regarding the requirements in my studies. But don't worry because I have heard and learned about the 'Stuidiosity Feeback' service which helps me check grammar and redirect my assignments quickly and effectively.
I think 'Studiosity' fits the essay format, and it's really useful for me. Moreover, it can help individuals save time and energy when it comes to grammar, punctuation and spelling. It also reduces the word difficulty of a phrase, provides synonyms for repeated terms, and even suggests a better type of sentence structure. Sometimes it will try to suggest phrases or words based on the situation. It's great that I found out about 'Studiodsity Feedback' and of course from now on I will use it to not only support my studies but also help me improve my language skills. However, in a few situations Studiosity didn't really understand my ideas completely and they made some comments about the content that didn't need to be changed. Anyway, I still felt Studiosity was helpful and convenience. Hopefully, I can use it in my next assignments and throughout my study journey at CQUniversity. Finally, I will recommend my friends currently studying at CQUniversity to know and use 'Studiosity Feedback' as a learning support tool.
My 3 favorite blogs
Rhoda Grace Macaspac
I like the look and colors of her blog; it looks quite professional and aesthetically pleasing. What I like most about the blog is her writing style and the way she organizes images. I admire her. Even though she is a single mother, she not only did not drop out of school but also tried to improve herself to become a strong support for her children. What she shared looked so natural that I was extremely impressed with her blog and look forward to continuing to follow her journey.
Paris Davis
Her blog is truly amazing. This is a blog that inspires me to travel and explore the world. Her blog focuses on combining aspects of family life and travel. Her writing style is natural and simple which makes me feel relaxed and enjoy.
Giao Nguyen
I like her blog, because I feel the blog layout is professional and interesting through moving photos. I hope, she will continue to update the next steps through her blog.
Step 4:
Financial Statements are entered into a separate excel file.
Step 5:
Here are some of my thoughts and reactions as I read these chapters.