Ace vs. Industry Performance
Typical Ace Hardware
Typical
Typical Ace
Typical
Typical
Typical
Non-Ace Hardware
Home Center
Non-Ace
Ace COS
Non-Ace
Store
Home Center
COS
Strategic Profit Model
Insufficient Sample
Profit Margin Asset Turnover
9.6 2.3
8.6 2.0
8.4 2.3
5.3 2.5
6.3 2.0
Return On Assets (Pre-Tax %)
22.1
17.2
19.3
13.3
12.6
Financial Leverage
1.5
1.5
1.3
1.5
1.2
Return On Net Worth (Pre-Tax %)
33.1
25.8
25.1
20.0
15.1
Financial Ratios
Current Ratio Quick Ratio
6.5 1.8
6.9 2.2
5.5 2.0
5.4 1.7
6.3 3.6
Accounts Payable To Inventory
10.5 12.9
11.2 16.8
14.4 12.8
16.4 16.8
10.2 13.8
Accounts Payable Payout Period (Days)
Debt To Equity EBITDA (% Of Sales)
0.4
0.5
0.3 9.9 8.5
0.5
0.2 8.6 6.5 8.9
11.3 10.0 28.2
N/A N/A 44.0
N/A N/A 27.5
EBIT (% Of Sales)
Interest Coverage
28.3
Inventory Productivity
Inventory Turnover
3.2
2.4
3.9
3.6
3.5
Inventory Holding Period (Days)
113.3
150.0
93.8
102.8
103.7
Sales To Inventory Ratio
5.4
4.0
5.9
5.3
4.9
Gross Margin Return On Inventory
212.5
158.2
191.8
174.1
171.2
Operating Productivity
Square Feet Of Retail Selling Space Sales $ Per Retail Square Foot Gross Profit $ Per Retail Square Foot Inventory $ Per Retail Square Foot Number Of Annual Sales Transactions
10,000 289.10 116.30
10,000 192.00
12,000 462.90 152.90
10,750 401.00 132.00
7,583
721.70 262.40 133.80 42,745
76.00 48.00
54.80
81.00
76.00
106,876
64,455
78,698
80,571
Sales $ Per Transaction
28.20
30.00
62.40
54.00
83.80
Customers
DIY Customers
83.0 10.0
70.0 15.0 15.0 N/A
46.1 41.9 10.0
50.0 40.0 10.0 N/A
25.9 58.0 15.5
Contractors
Commercial/Industrial Accounts
7.0 0.0
Other Customer Types
2.0
0.6
Total Sales
100.0
100.0
100.0
100.0
100.0
Business Hours
Monday Tuesday
11.0 11.0 11.0 11.0 11.0 10.0
N/A N/A N/A N/A N/A N/A N/A N/A
10.5 10.5 10.5 10.5 10.5
N/A N/A N/A N/A N/A N/A N/A N/A
9.5 9.5 9.5 9.5 9.5 7.0 0.0
Wednesday
Thursday
Friday
Saturday
9.0 0.0
Sunday
7.0
Total Hours Open Per Week
72.0
61.5
54.5
Employee Productivity
Number Of Full-Time Employees Number Of Part-Time Employees
7 6
N/A N/A
15
N/A N/A
17
5
4
Sales $ Per FTE Employee
237,560 97,382 39,104
213,772 84,226 44,465
304,906 96,826 43,266
226,964 74,671 40,400
379,870 117,256 53,511
Gross Profit $ Per FTE Employee Payroll $ Per FTE Employee
Payroll Expense (% Of Sales)
17.9
20.8 N/A N/A N/A
16.8
17.8 N/A N/A N/A
14.6
Wage $ Per Hour
18.80
20.80
25.70
Sales $ Per Payroll Dollar Sales $ Per Payroll Hour
5.70
6.40
6.50
114.20
146.60
182.60
36
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