Lincoln Electric Essay

774 Words2 Pages

Lincoln Electric is a multinational the manufactures’ welding products. The company’s headquarters is located in Euclid Ohio. They have sales offices in 160 countries; this company has 42 factories. They have contracts with 19 nations too. The business model of this company has been studied at Harvard University.
In 2013, their sales total 2.9 billion worldwide 50% of the sales were in North America. John C. Lincoln founded this company in 1895. He started this company with 200 dollars. After reviewing the income statement, they are making a large amount of profits. In 2015 Lincoln Electric earned 2,535, 791. The last three years their revenue increased by 200,000.
Their gross profits have been going between 800,000 and 900,000. Their income …show more content…

It seems that 2013 and 2014 was their best two years. Profits were low in 2012, but picked up in the other three years. Net income declined from 2014 to 2015. Again, this could be due to the global slowdown. The amount of interest payments have increased each year.
Lincoln Electric is selling at $64.62 a share it went up 97%. This company has been performing well for many years and this this because of their good business model. Everything that was noticed on the income statement was the good performance of company. Their dividends have increased over time; this was due to increased profits. The earnings growth projections for the next four years have increased five percent.
After 2019, profits are projected to decrease by four percent. Their prices are predicted to stay the same the next couple of quarters. The company’s performance has been steady in the last three years. When it comes to the cash conversion cycle has been about the same. Lincoln Electric is in the welding industry and has been in for a while. Many other companies are in the same industry. One of these companies AAON incorporated and their performance is as well as Lincoln electrics. It seems like a smaller company because their stock price is twenty-seven dollars and fifty-five …show more content…

The operating income has increased from last year, it seems that maybe they hired more workers. After looking at the amount of money paid in taxes that could be an issue. That went up every year it, might seem that Oklahoma has high taxes. This company pays makes no interest payments, so they should have more money.
Nevertheless, it seems that the taxes are eating up what extra money they did receive. The net income is very low too; it seems that it only rose twenty-thousand dollars. This could be due that; it is in a small market. It seems that additional income fell by a large amount. This country has no minority interest in their company. The operating income has risen over the years, but it has only risen two thousand dollars.
This company has a large amount of assets, they total out at about 124,213. They have more assets than actually cash on hand. This company has no short-term debt, the only debt they have is short-term. There is a section called other assets this, has increased by a lot. The fixed assets have increased by a lot in this

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