2020 Ace Retail Financial Report

Format Analysis

Core Hardware Stores

Hi Profit

Core Hdwe Core Hdwe Core Hdwe Core Hdwe

Core

Core

Under $1.5 $1.5 - $2.2 $2.2 - $5

Over $5 Million

Hardware Hardware

Million

Million

Million

Sample Size

358

92

40

83

192

39

Typical Sales Volume ($)

2,723,613 3,209,301 1,219,442 1,949,026 3,277,520 6,357,065

Income Statement (% of sales)

Net Sales

100.0

100.0

100.0

100.0

100.0

100.0

Cost Of Goods Sold

60.1 39.9

59.0 41.0

59.9 40.1

60.2 39.8

59.7 40.3

61.4 38.6

Gross Margin Before Patronage Div.

Patronage Dividend

1.3

1.7

1.4

0.9

1.4

1.4

Gross Margin

41.2

42.7

41.5

40.7

41.7

40.0

Payroll Expenses Owners/Officers Salaries & Bonuses All Other Employee Wages & Bonuses Total Salaries, Wages & Bonuses Payroll Taxes (FICA, Worker Comp., Unemp.) Group Insurance (Hospital, Medical, Life) Benefit Plans (Pension, Profit Sharing, etc.)

3.5

1.7

3.4

2.9

3.5

3.5

12.4 15.9

12.5 14.2

12.6 16.0

12.1 15.0

12.2 15.7

12.3 15.8

1.3 0.5 0.2

1.2 0.4 0.1

1.4 0.7 0.2

1.3 0.3 0.1

1.3 0.5 0.2

1.3 0.6 0.2

Total Payroll Expenses

17.9

15.9

18.3

16.7

17.7

17.9

Occupancy Expenses Utilities (Heat, Light, Power, Water) Building Repairs & Maintenance Rent Or Ownership In Real Estate*

0.7 0.3 3.6 4.6 1.6 0.3 0.6 0.2 0.1 0.5 0.0 6.8

0.7 0.3 3.6 4.6 1.5 0.2 0.3 0.2 0.1 0.4 0.0 5.4 8.1

1.3 0.3 4.7 6.3 2.0 0.4 0.7 0.5 0.2 0.3 0.0 7.1

0.8 0.3 3.7 4.8 1.7 0.4 0.6 0.5 0.1 0.7 0.0 7.6

0.6 0.3 4.2 5.1 1.5 0.3 0.6 0.1 0.1 0.5 0.0 6.3 9.4

0.5 0.3 2.6 3.4 1.1 0.2 0.4 0.2 0.1 0.3 0.0 6.7 9.0

Total Occupancy Expenses Other Operating Expenses Advertising & Promotion

Telephone

Insurance (Business Liability & Casualty)

Interest Expense

Taxes (Pers. Property, Use, Licenses, Permits)

Depreciation

Bad Debt Losses

All Other Operating Expenses Total Other Operating Expenses

10.2 32.7

11.2 35.8

11.6 33.1

Total Operating Expenses

28.6 14.1

32.2

30.3

Operating Profit

8.5 1.1 9.6

5.7 1.3 7.0

7.6 2.0 9.6

9.5 0.6

9.7 0.6

Other Income/Expenses

1.1

Profit Before Taxes

15.2

10.1

10.3

Balance Sheet (% of assets)

Assets Cash & Marketable Securities

21.9

25.6

18.5

20.9

22.1

26.3

Accounts Receivable

3.2

2.7

2.4

3.6

3.4

2.6

Inventory

49.2

52.4

54.5

53.7

47.8

42.9

Other Current Assets Total Current Assets

3.5

4.0

1.8

1.8

3.7

6.0

77.8 22.2

84.7 15.3

77.2 22.8

80.0 20.0

77.0 23.0

77.8 22.2

Fixed & Noncurrent Assets

Total Assets

100.0

100.0

100.0

100.0

100.0

100.0

Liabilities & Net Worth Accounts Payable

8.6 0.0 7.4

8.2 0.0 7.8

4.9 0.0

8.1 0.0 4.9

9.4 0.0 7.4

8.0 0.0 9.6

Notes Payable

Other Current Liabilities Total Current Liabilities Long Term Liabilities Loans From Stockholders Net Worth or Owner Equity Total Liabilities & Net Worth

10.8 15.7 21.5

16.0 17.0

16.0 11.6

13.0 26.5

16.8 14.5

17.5 13.8

0.0

0.0

0.0

0.0

0.0

0.0

67.0

72.4

62.8

60.5

68.7

68.7

100.0

100.0

100.0

100.0

100.0

100.0

Owners' Return (%)

Owners' Discretionary Profit Margin Owners' Discretionary Return On Assets

13.1 32.4 50.2

16.9 54.2 75.0

10.4 20.1 29.1

12.5 28.7 45.2

13.6 35.0 52.3

13.8 46.1 68.0

Owners' Discretionary RONW

*includes rent, mortgage interest, building depreciation, real estate insurance and real estate taxes

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