BHS Profits Performance 2010 - 2014

Analysis of BHS Gross, Operating and Tax Paid Profits and Losses over Five Years to 2014 – An lesson in how not to run a business.

Source of Data

This summary of profits (or rather losses) at BHS over five years to 2014 is derived from the audited accounts of the company.

Year 2014 2013 2012 2011 2010
Sales 668,037,000 675,653,000 699,769,000 740,313,000 794,883,000
Cost of Goods Sold 673,666,000 676,540,000 709,602,000 731,618,000 743,437,000
Gross Profit / Loss -5,629,000 -887,000 -9,833,000 8,695,000 51,446,000
Gross Profit Margin -0.84% -0/13% -1.41% 1.17% 6.47%
Operating Overheads 49,649,000 49,432,000 55,894,000 52,356,000 57,671,000
Operating Profit / Loss -55,278,000 -50,319,000 -65,727,000 -43,661,000 -6,225,000
Tax Paid Profit / Loss for the Year -69,080,000 -55,290,000 -82,118,000 -36,810,000 -6,996,000

Gross Profit and Gross Profit Margin

Normally simply the difference between sales and cost of goods sold represents the gross profit. Cost of goods sold is calculated as opening stock plus purchases less closing stock.

In the case of these accounts though other overheads and expenses have been charged to the cost of sales, including wages and rents and rates. It is more usual to charge these individually in the selling expenses section of the profit and loss account.

Operating Overheads and Profits

Those expenses which are directly and exclusively associated with the operating (i.e. core trading) activities of a business represent the operating overheads.

Deducting these from gross profit represents the operating profit of a business. Exceptional items such as income or expenditure connected with investments, interest charges or the disposal of non-trading assets are only deducted once the operating profit has been struck.

FAQs
The Truth about Monarch Airlines Labour's Spending over 10 years from 2000 Business Planning and Forecasting: What to Look For. Credit Checking - How to Read Micro or Short Form Accounts Amortisation of Arrangement Fees for Long Term Loans BHS Profits Performance 2010 - 2014 BHS profits, liquidity and cash flows 2009 - 2014 How to Calculate a Free Cash Flow Forecast Campari: How to apply for a bank business loan What are Current Liabilities What are Current Assets Late Payers and Cash Flow What is Operating Cash Flow What is Working Capital How to Read a Balance Sheet Business Planning Cash Flow Calculator Short Term Liquidity Business Liquidity Corporation Tax is not Calculated on Net Profit Small Business Corporation Tax Cash Flow Calculator Using Figurewizard - VAT Using Figurewizard - Sales by Month Using Figurewizard - HP or Instalment Plan Budgets Using Figurewizard - How the budgeted cash flow forecast is calculated Using Figurewizard - Fixed Asset Budgets Using Figurewizard - Calculate Purchase of Goods Using Figurewizard - Forecasting Payments to Suppliers Using Figurewizard - How to Forecast Cash Collection Solvency and the Balance Sheet Property in the Balance Sheet Why Equity is a Liability Asset Management and Liquidity Selling Fixed Assets Contracts: Invitation to Treat What is Deferred Income Loss on the Sale of Fixed Assets Calculating Gross Profit Margin Profit and Loss Statement What is Operating Profit What is Net Operating Revenue What is Equity Profit on the Sale of Fixed Assets How Taxable Profit is Calculated What are Operating Overheads Overheads - Provisions Depreciation What is Business Operating Activity What are Fixed Assets