Financial Analysis

Financial Analysis

Arrow International

Business Summary

Arrow International is a manufacturer, developer and marketer of a range of disposable catheters, heart assist devices and related products for critical and cardiac care. The cardiac care products of Arrow International are used for purposes such as the diagnosis and treatment of heart and vascular disease, as well as to provide short-term cardiac assist cardiac surgery, heart attacks or balloon angioplasty. In addition to this, the critical care products of Arrow International are used principally for central vascular access in the administration of fluids, drugs and blood products, patient monitoring and diagnostic purposes.

Key Financials

(In USD as of 05/31/2007)

Income Statement

Revenue

508m

Net Income

61m

EPS from Continuing Operations

1.34

EPS - Net Income - Diluted

1.34

Revenue per Share

11.25

Balance Sheet

Total Assets

726m

Total Liabilities

170m

Shareholders' Equity

556m

Total Assets per Share

16.05

Net Assets per Share

12.29

Cash Flows

Cash from Operations

90m

Cash from Investing

-46m

Cash from Financing

-16m

Capital Expenditures

31m

Cash Flow per Share

1.97

Financial Highlights

As of 08/31/2006 in USD

Income Statement

(In Thousands)

Total Revenue

481,587

EBITDA

99,117

Operating Income

79,103

Net Income

56,009

Revenue per Share

10.76

EPS from Continuing Operations

1.24

EPS - Net Income - Diluted

1.24

Share Outstanding

44,906

Weighted Average Shares Outstanding - Diluted

44,767

Weighted Average Shares Outstanding - Basic

45,273

Earnings per Share - Basic

1.25

Balance Sheet

(In Thousands)

Total Assets

697,437

Current Assets

389,220

Total Liabilities

171,889

Long Term Debt

0.00

Stockholders' Equity

525,548

Total Assets per Share

15.53

Current Liabilities

138,087

Net Assets per Share

11.70

Cash Flow Statement

(In Thousands)

Cash from Operations

70,702

Cash from Investing

(60,010)

Cash from Financing

17,311

Capital Expenditures

38,297

Cash Flow per Share

1.56

Cash & Cash Equivalents, Beginning of Year

119,326

Cash & Cash Equivalents, End of Year

148,576

Stock Price and Valuation (Data as of 10/01/2007)

Market Cap(mil)

2,059

Share Outstanding(000's)

45,277

PE Ratio

33.9403

Dividend Per Share(TTM)

0.8

Earning Per Share(TTM)

1.35

Last Closing Price

45.48

Previous Trading Day Range

45.48 - 45.50

52 Week Range

31.26 - 45.50

7 Day Average Closing Price

45.45

30 Day Average Closing Price

45.37

200 Day Average Closing Price

39.08

Financial Ratios

Management Effectiveness

Revenue per Employee

120,397

Net Income per Employee

14,002.00

ROA % (Net)

8.63

ROE % (Net)

11.16

ROI % (Operating)

14.69

Profitability Ratios

Gross Margin

49.18

Operating Margin

16.43

EBITDA Margin %

20.58

Calculated Tax Rate %

31.58

Profit Margin (TTM)

11.63

Valuation Ratios

Price/Earnings (TTM)

25.85

Price/Book (TTM)

2.76

Price/Cash Flow(TTM)

20.46

Asset Management

Total Asset Turnover

0.74

Receivables Turnover

5.12

Inventory Turnover

4.86

Property Plant & Equip Turnover

2.95

Cash & Equivalents Turnover

3.60

Debt Management

Long Term Debt as % of Invested Capital

0.00

Total Debt/Equity

0.14

Accounts Payable Turnover

23.28

Accrued ...