Sprouts Farmers Market Wendys Company QUESTION The COVID-19 pandemic affected companies in the food industry in unique

Sprouts Farmers Market

Wendys Company

QUESTION

  
 
 
 
 
 
 
 
 
 

Transcribed Image Text:

The COVID-19 pandemic affected companies in the food industry in unique ways, particularly during 2020. Ruth's Hospitality Group (Ticker: RUTH) develops and operates fine dining restaurants under the trade name Ruth's Chris Steak. Sprouts Farmers Market (Ticker SFM) offers a healthy grocery store experience. Wendy's Company (Ticker: WEN) is primarily engaged in the business of operating, developing and franchising a system of distinctive quick-service restaurants. In answering the following questions, consider the impact that the COVID-19 pandemic would have on each company's business model Company O Ruth's Hospitality Group (RUTH) Sprouts Farmers Market (SFM) Wendy's Company (WEN) Cash flows from operating activities: Net income (loss) Adjustments to reconcile net income (loss). Depreciation and amortization Deferred income taxes Non-cash interest expense Loss on impairment Stock-based compensation expense Changes in operating assets and liabilities: Accounts receivable Inventories Prepaid expenses and other Other assets Accounts payable and accrued expenses Deferred revenue Operating lease fiabilities and assets Other liabilities $400,000 $200,000 50 Statement of Cash Flows For the year ended: ($ in thousands) Dec. 2019 Required: Operating Cash Flows ($ in thousands) +obleau Dec. 2019 Dec 2020 Dec. 2021 $42,206 21,354 837 86 8,157 343 (52) (417) (150) (2,624) 3,761 608 (1,199) 50 ($50,000) ($100,000) ($150,000) ($200,000) Dec. 2020 $(25,294) 21,964 (3,688) 346 16,548 8,261 1,939 1,983 (603) (25) (13,340) 6,174 5.530 290 Dec. 2021 Dec. 2019 $42,275 20,487 9,015 386 1,854 4,888 (18,471) (1,713) (265) 22 15,076 9,999 (5,782) 3,620 Investing Cash Flows ($ in thousands) Dec. 2020 Dec. 2021 $400,000 $300,000 $200,000 $100,000 50 $300,000 $200,000 $100,000 50 $0 ($200,000) ($400,000) E Cash ($ in thousands) Dec. 2019 Net Income (Loss) ($ in thousands) Dec. 2019 Dec. 2020 Dec. 2019 H Financing Cash Flows ($ in thousands) Dec. 2020 Dec. 2020 K- Dec. 2021 Dec. 2021 Dec. 2021 474 The COVID-19 pandemic affected companies in the food industry in unique ways, particularly during 2020. Ruth's Hospitality Group (Ticker: RUTH) develops and operates fine dining restaurants under the trade name Ruth's Chris Steak. Sprouts Farmers Market (Ticker SFM) offers a healthy grocery store experience. Wendy's Company (Ticker: WEN) is primarily engaged in the business of operating, developing and franchising a system of distinctive quick-service restaurants. In answering the following questions, consider the impact that the COVID-19 pandemic would have on each company's business model Company O Ruth's Hospitality Group (RUTH) Sprouts Farmers Market (SFM) Wendy's Company (WEN) Cash flows from operating activities: Net income (loss) Adjustments to reconcile net income (loss). Depreciation and amortization Deferred income taxes Non-cash interest expense Loss on impairment Stock-based compensation expense Changes in operating assets and liabilities: Accounts receivable Inventories Prepaid expenses and other Other assets Accounts payable and accrued expenses Deferred revenue Operating lease fiabilities and assets Other liabilities $400,000 $200,000 50 Statement of Cash Flows For the year ended: ($ in thousands) Dec. 2019 Required: Operating Cash Flows ($ in thousands) +obleau Dec. 2019 Dec 2020 Dec. 2021 $42,206 21,354 837 86 8,157 343 (52) (417) (150) (2,624) 3,761 608 (1,199) 50 ($50,000) ($100,000) ($150,000) ($200,000) Dec. 2020 $(25,294) 21,964 (3,688) 346 16,548 8,261 1,939 1,983 (603) (25) (13,340) 6,174 5.530 290 Dec. 2021 Dec. 2019 $42,275 20,487 9,015 386 1,854 4,888 (18,471) (1,713) (265) 22 15,076 9,999 (5,782) 3,620 Investing Cash Flows ($ in thousands) Dec. 2020 Dec. 2021 $400,000 $300,000 $200,000 $100,000 50 $300,000 $200,000 $100,000 50 $0 ($200,000) ($400,000) E Cash ($ in thousands) Dec. 2019 Net Income (Loss) ($ in thousands) Dec. 2019 Dec. 2020 Dec. 2019 H Financing Cash Flows ($ in thousands) Dec. 2020 Dec. 2020 K- Dec. 2021 Dec. 2021 Dec. 2021 474

Answer rating: 100% (QA)

Detailed Explanation The information in Image 1 is provided by Given the provided cash flow information for Ruths Hospitality Group RUTH Sprouts Farmers Market SFM and Wendys Company WEN lets analyze ... View the full answer