Q$3,$

$($In thousands$)$

$2023$

$2022$

Revenue

$654,600,100\mathrm{.}00\%,732,300,100\mathrm{.}00\%$

coGS

$345,780,52\mathrm{.}82\%,423,400,57\mathrm{.}82\%$

Gross profit

$308,820,47\mathrm{.}18\%,308,900,42\mathrm{.}18\%$

Operating cost

$200,400,30\mathrm{.}61\%,184,600,25\mathrm{.}21\%$

EBIT

$108,420,16\mathrm{.}56\%,124,300,16\mathrm{.}97\%$

Interest expense

$36,236$

$5\mathrm{.}54\%,22,246$

$3\mathrm{.}04\%$

EBT

$72,184$

$11\mathrm{.}03\%,102,054$

$13\mathrm{.}94\%$

Taxes

$18,046$

$2\mathrm{.}76\%$

$25,514$

$3\mathrm{.}48\%$

Net income

$54,138$

$8\mathrm{.}27\%$

$76,540$

$10\mathrm{.}45\%$

$($thousands$)$

$2023$

$2022$

Average total assets $,785,400,676,300$

Average total equity $,332,450,398,220$

In early $2023,$ the company raised its prices due to inflation and initiated a major capital improvement program

to update its stores. The industry average debt ratio is currently $41\mathrm{.}0\%.$

Perform the extended version of DuPont analysis of ROE $(5$ parts$)$ for the business for both years.

$(15$ points$)$

Please provide a detailed explanation of the performance of the business from $2022$ to $2023$ using

the common$-$size income statement provided and the $5-$way analysis of ROE from Part $1.(15$

points$)$