Strategisk regnskabsanalyse og værdiansættelse af Parken Sport & Entertainment A/S

Martin Møller

Student thesis: Master thesis

Abstract

This master's thesis concerns the valuation of the Danish company Parken Sport & Entertainment A/S (PSE). At first an identification of PSE was made in order to identify the nature of the business of which PSE operates under. The thesis has chosen to concentrate on three main business areas excluding all other areas as they are found immaterial. The three areas concern Parken (the stadium which involves football, concerts and other entertainment acts), Fitness.dk and Lalandia. The fundamental analysis included the models PEST, Porter's Five Forces and SWOT and showed how PSE's different businesses were affected. Success in football mainly affects Parken as well as the need of attracting great artists to big concerts. The public has a great interest in fitness, due to political focus, which means that Fitness.dk appears as an attractive fitness center chain. Lalandia is a popular center for vacation and spare time and the thesis has found this perception intact in the years to come, meaning that Lalandia has a great potential in further increasing profit. Analyzing the financial statements for the past five years has shown that PSE has earned most by their acquirements. The company has in this period bought Lalandia and Fitness.dk. The development of the profit has overall been positive which also is the matter concerning the return of equity. The analysis also showed that the way the PSE presents the income is somewhat confused. The reader of the annual reports can’t recognize what the income is specifically based on. The budget was prepared on the basis of the fundamental analysis and also based on the historical financial statements. Mainly the increase in profits in the years to come, comes from expectations from football results and qualifications as well as increased profits related to Lalandia and Fitness.dk. Also profit related to the new multifunctional arena close to Parken as well as new tribune is expected to generate more profit in the future. The valuation was based on the RI-model. The model was found most convenient to use in relation to valuating PSE. It showed that the value of PSE was lower in comparison of the official value of the Copenhagen Stock Exchange. In relation to this, the thesis concludes that the share is overstated. The share can therefore not be recommended for a professional investor.

EducationsMSc in Auditing, (Graduate Programme) Final Thesis
LanguageDanish
Publication date2008
Number of pages115