Name: Karan R. Doshi Roll No.

11 MMS - A

Aventis Pharma LTD was incorporated in 1956. It is Indias 5th largest MNC and among the top 15 formulation players.

Review on Financial Statement of Aventis Pharma Ltd.

Considering the entries made in the balance sheet of Aventis Pharma Ltd in the year 2010, the share capital is constant at 230 million with no debt to this company. This company is debt free company. That is the reason why its shareholders fund and capital employee are the same. There is a increase in the reserves of the company as compared to the previous year 2009. The reserves here are increasing by Rs. 823,564/- which is a plus point for the company. It shows that the company has been saving for its future investments.

The Accumulated Depreciation (increase from Rs. 18,96,840 to 20,44,492) has increased, that shows there may be an increase in the Investments(increase from Rs. 17,20,353 to 18,43,505 ) resulting into increase in the assets.
The Net Block of the company have also increased (from Rs. 14,48,909 to 17,10,477).This shows that the company may have done few investments in the past. Sundry Debtors have increased this shows that in future Aventis Pharma Ltd will be receiving money from the outsiders which may add to the assets of the company.

An increase in: Inventories, Sundry Debtors ,Loans and Advances adds on to Total Current Assets. It is usually seen that a company with higher assets is seen in a stronger financial position. The result of all the above factors is seen through an increase in Total Assets.
The total liabilities i.e. the amount payable by Aventis Pharma Ltd to the outsiders have also increased from Rs. 27,35,431 to 39,42,642. This is may be because of the loans taken by the company. The total assets of the company have changed from Rs. 7,399,999 to 8,195,856 .This shows that the company is in a very strong position.

Review on Profit and Loss A/c of Aventis Pharma Ltd.

Sales grew in last year from 9,957 Million to 11,073 Million. Profit after Tax grew around 45.56% in last 1 year from 1574 Million to 2307 Million. Total Income of the Aventis Pharma Ltd. has also increased as compared to the previous year. It has increased from 10,855 Million to 11,948 Million. However, the Total Expenses of the Company have also increased from 8,440 Million to 9,644 Million.