You are on page 1of 16

Submitted To:

Prepared By:

Finance-A
2011-ag-1401
Semester 5
th
MBA 3.5 Years

Institute of Business Management Sciences
UNIVERSITY OF AGRICULTURE FAISALABAD





MIRZA SUGAR MILL LMITED
Introduction

Mirza Sugar Mills was established in 1989.It was established as a public limited company
and listed in Karachi Stock Exchange and Lahore Stock Exchange. The company is involved in
manufacturing and selling of white sugar.
The owner of mill is Mirza Family and Board of Directors are Dr. Fehmida Mirza (CEO)
, Dr. Zulfiqar Ali Mirza, Mirza Sultan Raza, Farid A Abbasi, Arshad Abid Abbasi, Ms. Farreha
Kazi and Husnain Irshad.
The mill is located at Badin District, Sindh. This location is important for sugar mill
but a large quantity of sugarcane is produced here which is required for the production of
white sugar. Company have easy access of Sugar cane when required.
Since 1989, company has been successful in achieving its goals and objectives. It is
now included in top 10 sugar mills in Sindh regarding sugar .It is doing a lot of efforts to get
leading position in sugar industry. Its efforts are for providing good quality and increasing
cost by examining all important factors of external and internal environment.
In 2012, Mirza Sugar Mills ltd had completed a comprehensive project, that has
improve the production capacity of firm and also improve the efficiency of plants assets.

Ratios of Mirza Sugar Mill Limited

Financial Ratios 2012 2011 2010
Liquidity Related Ratios
Current Ratio 0.29 0.51 0.40
Acid-test Ratio 0.087 0.21 0.165
Cash Ratio 0.004133126 0.03 0.04
Working Capital -397,846,571 -269,292,228 -254,035,957
Sales to Working Capital 2.32 5.6 4.617
Days' Sales in Receivables 12.70 8.97 0.48
Accounts Receivable Turnover 24.6 77.62 759.53
Acounts Receivable Turnover in Days 14.84 4.70 0.48
Days' Sales in Inventory 49.97 45.60 33.37
Inventory Turnover 5.87 10.02 12.25
Inventory Turnover in Days 62.23 36.44 29.80
Operating Cycle 77.06 41.14 30.28
Leverage (Debt) Ratios
Debt to Equity Ratio 1.94 - 2.00 - 1.76 -
Debt to Total Assets 2.06 2.00 2.31
Long Term Debt to Asset Ratio 0.41 0.84 1.19
Profitability Ratios
Gross Profit Margin -7.14% 7.53% 16.64%
Net Profit Margin 15.35% 1.68% 10.48%
Operating Profit Margin -15% 3% 13%
EBITDA Margin 20.55% 2.68% 11.48%
Total Assets Turnover 2.29 3.06 3.50
Sales to Fixed Assets 22.69% 13.28% 15.54%
Operating Assets Turnover 4.41 7.53 6.44
Return on Assets 35% 5% 37%
Returns on Operating Assets 0.68 0.13 0.67
Return on Total Equity -33.08% -5.15% -28.01%
Investors Ratios
Degree of Financial Leverage 1.02 1.23 1.08
Earning Per Share 8.43 1.75 9.87
Price to Earning Ratio 0.41 1.34 0.49
Market Value Per Share 3.49 2.35 4.85
Book Value Per Share 2.55 - 3.39 - 3.52 -
Cash Flow Ratios
OCF/CMLTD/CNP 0.30 - 0.21 0.56
Operating Cash Flow/Total Debt 0.15 - 0.08 0.21
Operating Cash Flow per Share 7.37 - 5.27 13.16
Interpretation of Ratio Analysis
An analyst calculates the ratios to determine the positions of the businesses. Ratios in idle form are
not important for businesses, so it is important to compare ratios with prior years, industry
averages, competitors and predetermined standards.
Comments of ratio analysis of MIRZA SUGAR MILLS LTD are as follows:-
Liquidity Analysis:-
Current Ratio of MIRZA SUGAR MILLS LTD is increasing simultaneously from 2010 to 201 & it is a
positive trend. It is happened because company have raise no short term financing in 2010,due
to which ratio was high in 2010 to 2011 but it started raising short term financing in 2011 due to
which current ratio declining in 2011 to 2012.
Company had large stock of ending inventory in 2010 and in 2012, thats why Acid Test Ratio was
low in that years comparing to other year. In 2011, company made sales in high volume, due to
which inventory stock decrease and Acid Test Ratio increases. It is positive trend.
Company generated cash flow in low volume in 2010 to 2012 from its operations, thats why
cash ratio is low in 2012 as compared to other years.
In 2012,company had raise heavy short term financing that increase the current liabilities of the
company due to which working capital goes in negative in the year .Overall working capital is
declining from 2010 which is a negative trend.
There was immaterial change sales to working capital from 2010 to 2011, but there is change in
this ratio from 2011 to 2012.It is decreasing from 2011 to 2012 it is negative trend.
Company had less receivables in 2010 but it increase in 2011 to 2012 because company start
export sales in this year due to which sales of company increase in 2011 to 2012 ,that also
increase credit sales as well as trade debts which is affecting the days sales in receivables.
If company days sales in receivable are increasing in different years, its receivable turnover ratio
is also improving on other side and it is a positive trend.
There is material change in days sales in inventory from 2010-2012, because company started
export sales in 2012 and slightly low change in inventory turnover.
Operating cycle increase over three years which shows negative trend of the company.


Leverage Ratios Analysis
Leverage Ratios are used in terms to check the protection of suppliers. MIRZA SUGAR MILLS LTD
are very good regarding borrowing of funds. They paid their long term debts timely. Their
long term debt paying ability is good which shows company is going concern in long run.

Comments of leverage ratio analysis are as follows:-
Companys debt to asset ratio goes down in 2011, but slightly improves in 2012.
Companys debt to equity ratio is negative due to accumulated loss over three years.
Companys long term debt to assets ratio decrease over the three years so its a a
good sign because company pays its long term debts efficiently.


Profitability Ratio Analysis

MIRZA SUGAR MILLS LTD have shown highest earning in 2012 but it is not accurate earning
because in this year companys profit of associate increase sharply, company generate profit
through other income which increase the net income that is not part of operations of the
company.

Comments of profitability Ratios:-

Company is showing more profit in 2012,but it is not accurate because according to
ratio analysis , company has earn maximum profit in 2010.Company have maximum
operating profit margin, gross profit margin and net profit margin in 2010.
In term of asset utilization, the company has had not improve its assets utilization to
improve revenue from 2010 to 2012 but this ratio was on peak in 2010 as compare
to other years.
Sale to fixed asset is simultaneously decreasing in 2010 to 2011 that is showing that
company is not efficiently utilizing its fixed assets. But it increase it increase in 2012
that shows company efficiently utilizing its fixed assets.
There was increase in operating assets turnover in 2010 to 2011 which shows
positive trend but decrease in 2012.


INVESTORS RATIO ANALYSIS

Investors are sometimes interested in other ratios rather than liquidity, leverage or
profitability ratios.
Comments of Investors Ratio Analysis.
The EPS is considered more volatile, if the degree of financial leverage is high and it
is decreasing from 2010 to 2011 and increase in 2012.
Price/earnings ratio is decreasing from year to years because earning share of
company is increasing.
Market value of share is decreasing 2010 to 2012.



CASH FLOW RATIOS ANALYSIS

Comments of Cash Ratio Analysis:-

In MIRZA SUGAR MILLS LTD, cash flow ratios are declining from year to year, and it is
a negative trend. Companys cash flow generated from operations was decline from
2010 to 2011 but it goes in negative in 2012 after paying finance cost and income tax
due to which all operating cash flow ratios of 2012 are in negative form.



INVESTORS RATIO ANALYSIS

Investors are sometimes interested in other ratios rather than liquidity, leverage or
profitability ratios.
Comments of Investors Ratio Analysis.
The EPS is considered more volatile, if the degree of financial leverage is high and it
is decreasing from 2010 to 2011 and increase in 2012.
Price/earnings ratio is decreasing from year to years because earning share of
company is increasing.
Market value of share is decreasing 2010 to 2012.



CASH FLOW RATIOS ANALYSIS

Comments of Cash Ratio Analysis:-

In MIRZA SUGAR MILLS LTD, cash flow ratios are declining from year to year, and it is
a negative trend. Companys cash flow generated from operations was decline from
2010 to 2011 but it goes in negative in 2012 after paying finance cost and income tax
due to which all operating cash flow ratios of 2012 are in negative form.

Vertical Analysis of Balance Sheet

2012 2011 2010 2012 2011 2010
Assets
Non-Current Assets
Property, plant and equipment 175,726,018 194,570,041 206,455,303 51.97 40.67 54.41
Long term deposits 0 0 1,426,886 0 0 0.38
Total non current assets 175,726,018 194,570,041 207,882,189 51.97 40.67 54.79
CURRENT ASSETS
Stores, spares and loose tools 26,372,886 28,486,958 23,621,522 7.80 5.95 6.23
Stock-in-trade 87,209,660 140,826,612 77,649,506 25.79 29.44 20.47
Trade debts 26,951,149 36,010,130 1,749,262 7.97 7.53 0.46
Prepayments, loan and advances 19,550,550 64,309,370 50,240,744 5.78 13.44 13.24
Cash and bank balances
2,315,569 14,195,373 18,275,800 0.68 2.97 4.82
Total current assets 162,399,814 283,828,443 171,536,834 48.03 59.33 45.21
TOTAL ASSETS 338,125,832 478,398,484 379,419,023 100 100 100
EQUITY AND LIABILITIES SHARE
CAPITAL AND RESERVES
Authorized Capital
15,000,000 (2009: 15,000,000)
Ordinary Shares of Rs. 10/- each.
150,000,000 150,000,000 150,000,000
Issued, Subscribed and Paid up Capital
14,100,000 (2009: 14,100,000) Ordinary
Shares of Rs. 10/- each fully paid in
cash 141,000,000 141,000,000 141,000,000
Accumulated losses
-500,335,753 -619,208,870 -637,961,903 147.97 - 129.43 - 168.14 -
-359,335,753 -478,208,870 -496,961,903 106.27 - 99.96 - 130.98 -
NON-CURRENT LIABILITIES
Long-term finances 16,788,482 16,788,482 64,109,934 4.97 3.51 16.90
Deferred liabilities 120,426,718 386,698,201 386,698,201 35.62 80.83 101.92
Total non-current liaBILITIES 137,215,200 403,486,683 450,808,135 40.58 84.34 118.82
CURRENT LIABILITIES
Current portion of long-term finances 342,487,992 359,692,308 331,354,806 101.29 75.19 87.33
Trade and other payables 176,830,407 143,128,407 58,639,808 52.30 29.92 15.46
Accrued markup on finances 18,991,927 18,991,927 18,991,927 5.62 3.97 5.01
Provision for taxation 21,936,059 31,308,029 16,586,250 6.49 6.54 4.37
Total current liabilities 560,246,385 553,120,671 425,572,791 165.69 115.62 112.16
Total liabilities 697,461,585 956,607,354 876,380,926 206.27 199.96 230.98
TOTAL EQUITY AND LIABILITIES 338,125,832 478,398,484 379,419,023 100 100 100
Vertical Analysis
Balance Sheet Balance sheet
Regular Size Common Size
Vertical Analysis of Income Statement


2012 2011 2010 2012 2011 2010
Sales-net 774,360,704 1,465,477,806 1,328,623,472 100 100 100
Cost of sales -829,673,359 -1,355,198,764 -1,107,581,793 107.14 - 92.47 - 83.36 -
Gross profit -55,312,655 110,279,042 221,041,679 7.14 - 7.53 16.64
Operating expenses
Administrative expenses -58,782,738 -57,944,915 -43,780,352 7.59 - 3.95 - 3.30 -
Distribution cost -1,006,346 -1,347,106 -1,009,983 0.13 - 0.09 - 0.08 -
-59,789,084 -59,292,021 -44,790,335 7.72 - 4.05 - 3.37 -
Operating profit / (loss) -115,101,739 50,987,021 176,251,344 14.86 - 3.48 13.27
Finance cost -2,897,005 -9,000,428 -12,825,951 0.37 - 0.61 - 0.97 -
Other income 286,882,015 6,700,150 357,264 37.05 0.46 0.03
Other charges -9,733,635 -9,352,101 -11,301,003 1.26 - 0.64 - 0.85 -
274,251,375 -11,652,379 -23,769,690 35.42 0.80 - 1.79 -
Profit before taxation 159,149,636 39,334,642 152,481,654 20.55 2.68 11.48
Taxation
Current-for the year -20,346,650 -14,721,779 -13,286,250 2.63 - 1.00 - 1.00 -
Perior year tax -380,289 0 0 0.05 - 0 0
Defered tax -19,549,580 0 0 2.52 - 0 0
-40,276,519 -14,721,779 -13,286,250 5.20 - 1.00 - 1.00 -
Profit after taxation 118,873,117 24,612,863 139,195,404 15.35 1.68 10.48
Income Statement Income Statement
Regular Size Common Size
Vertical Analysis
Horizontal Analysis of Balance Sheet

2012 2011 2010 2012 2011 2010
Assets
Non-Current Assets 175,726,018 194,570,041 206,455,303 85.12 94.24 100
Property, plant and equipment 0 0 1,426,886 - - 100
Long term deposits 175,726,018 194,570,041 207,882,189 84.53 93.60 100
Total non current assets
CURRENT ASSETS 26,372,886 28,486,958 23,621,522 111.65 120.60 100
Stores, spares and loose tools 87,209,660 140,826,612 77,649,506 112.31 181.36 100
Stock-in-trade 26,951,149 36,010,130 1,749,262 1,540.72 2,058.59 100
Trade debts 19,550,550 64,309,370 50,240,744 38.91 128.00 100
Prepayments, loan and advances 2,315,569 14,195,373 18,275,800 12.67 77.67 100
Cash and bank balances
162,399,814 283,828,443 171,536,834 94.67 165.46 100
Total current assets 338,125,832 478,398,484 379,419,023 89.12 126.09 100
TOTAL ASSETS
EQUITY AND LIABILITIES SHARE
CAPITAL AND RESERVES
Authorized Capital 150,000,000 150,000,000 150,000,000 100.00 100.00 100
15,000,000 (2009: 15,000,000) Ordinary
Shares of Rs. 10/- each.
Issued, Subscribed and Paid up Capital 141,000,000 141,000,000 141,000,000 100.00 100.00 100
14,100,000 (2009: 14,100,000) Ordinary
Shares of Rs. 10/- each fully paid in cash -500,335,753 -619,208,870 -637,961,903 78.43 97.06 100
Accumulated losses
-359,335,753 -478,208,870 -496,961,903 72.31 96.23 100
NON-CURRENT LIABILITIES
Long-term finances 16,788,482 16,788,482 64,109,934 26.19 26.19 100
Deferred liabilities 120,426,718 386,698,201 386,698,201 31.14 100.00 100
Total non-current liaBILITIES 137,215,200 403,486,683 450,808,135 30.44 89.50 100
CURRENT LIABILITIES
Current portion of long-term finances 342,487,992 359,692,308 331,354,806 103.36 108.55 100
Trade and other payables 176,830,407 143,128,407 58,639,808 301.55 244.08 100
Accrued markup on finances 18,991,927 18,991,927 18,991,927 100.00 100.00 100
Provision for taxation 21,936,059 31,308,029 16,586,250 132.25 188.76 100
Total current liabilities 560,246,385 553,120,671 425,572,791 131.65 129.97 100
Total liabilities 697,461,585 956,607,354 876,380,926 79.58 109.15 100
TOTAL EQUITY AND LIABILITIES 338,125,832 478,398,484 379,419,023 89.12 126.09 100
Horizontal Analysis
Regular Size Index Size
Balance sheet Balance Sheet
Horizontal Analysis of Income Statement



2012 2011 2010 2012 2011 2010
Sales-net 774,360,704 1,465,477,806 1,328,623,472 58.28 110.30 100
Cost of sales -829,673,359 -1,355,198,764 -1,107,581,793 74.91 122.36 100
Gross profit -55,312,655 110,279,042 221,041,679 25.02 - 49.89 100
Operating expenses
Administrative expenses -58,782,738 -57,944,915 -43,780,352 134.27 132.35 100
Distribution cost -1,006,346 -1,347,106 -1,009,983 99.64 133.38 100
-59,789,084 -59,292,021 -44,790,335 133.49 132.38 100
Operating profit / (loss) -115,101,739 50,987,021 176,251,344 65.31 - 28.93 100
Finance cost -2,897,005 -9,000,428 -12,825,951 22.59 70.17 100
Other income 286,882,015 6,700,150 357,264 80,299.73 1,875.41 100
Other charges -9,733,635 -9,352,101 -11,301,003 86.13 82.75 100
274,251,375 -11,652,379 -23,769,690 1,153.79 - 49.02 100
Profit before taxation 159,149,636 39,334,642 152,481,654 104.37 25.80 100
Taxation
Current-for the year -20,346,650 -14,721,779 -13,286,250 153.14 110.80 100
Perior year tax -380,289 0 0 - - 100
Defered tax -19,549,580 0 0 - - 100
-40,276,519 -14,721,779 -13,286,250 303.14 110.80 100
Profit after taxation 118,873,117 24,612,863 139,195,404 85.40 17.68 100
Horizontal Analysis
Income Statment Income Statement
Regular size Index Size
Year to Year Change Analysis of Balance Sheet

2012 2011 2010 2012 2011 2010
2011 over 2010
2012 2011 2011 2010
Assets
Non-Current Assets
Property, plant and equipment 175,726,018 194,570,041 206,455,303 90.32 100 94.24 100 9.68 - 5.76 -
Long term deposits 0 0 1,426,886 0 100 0 100 -100 -100
Total non current assets 175,726,018 194,570,041 207,882,189 90.32 100 93.60 100 9.68 - 6.40 -
CURRENT ASSETS
Stores, spares and loose tools 26,372,886 28,486,958 23,621,522 92.58 100 120.60 100 7.42 - 20.60
Stock-in-trade 87,209,660 140,826,612 77,649,506 61.93 100 181.36 100 38.07 - 81.36
Trade debts 26,951,149 36,010,130 1,749,262 74.84 100 2,058.59 100 25.16 - 1,958.59
Prepayments, loan and advances 19,550,550 64,309,370 50,240,744 30.40 100 128.00 100 69.60 - 28.00
Cash and bank balances
2,315,569 14,195,373 18,275,800 16.31 100 77.67 100 83.69 - 22.33 -
Total current assets 162,399,814 283,828,443 171,536,834 57.22 100 165.46 100 42.78 - 65.46
TOTAL ASSETS 338,125,832 478,398,484 379,419,023 70.68 100 126.09 100 29.32 - 26.09
EQUITY AND LIABILITIES SHARE CAPITAL AND
RESERVES
Authorized Capital
15,000,000 (2009: 15,000,000) Ordinary Shares of Rs.
10/- each.
150,000,000 150,000,000 150,000,000 100 100 100 100 0 0
Issued, Subscribed and Paid up Capital
14,100,000 (2009: 14,100,000) Ordinary Shares of Rs.
10/- each fully paid in cash 141,000,000 141,000,000 141,000,000 100 100 100 100 0 0
Accumulated losses
-500,335,753 -619,208,870 -637,961,903 80.80 100 97.06 100 19.20 - 2.94 -
-359,335,753 -478,208,870 -496,961,903 75.14 100 96.23 100 24.86 - 3.77 -
NON-CURRENT LIABILITIES
Long-term finances 16,788,482 16,788,482 64,109,934 100 100 26.19 100 0 73.81 -
Deferred liabilities 120,426,718 386,698,201 386,698,201 31.14 100 100 100 68.86 - 0
total non-current liaBILITIES 137,215,200 403,486,683 450,808,135 34.01 100 89.50 100 65.99 - 10.50 -
CURRENT LIABILITIES
Current portion of long-term finances 342,487,992 359,692,308 331,354,806 95.22 100 108.55 100 4.78 - 8.55
Trade and other payables 176,830,407 143,128,407 58,639,808 123.55 100 244.08 100 23.55 144.08
Accrued markup on finances 18,991,927 18,991,927 18,991,927 100 100 100 100 0 0
Provision for taxation 21,936,059 31,308,029 16,586,250 70.07 100 188.76 100 29.93 - 88.76
Total current liabilities 560,246,385 553,120,671 425,572,791 101.29 100 129.97 100 1.29 29.97
Total liabilities 697,461,585 956,607,354 876,380,926 72.91 100 109.15 100 27.09 - 9.15
TOTAL EQUITY AND LIABILITIES 338,125,832 478,398,484 379,419,023 70.68 100 126.09 100 29.32 - 26.09
Balance sheet
As on September 30
Year to Year Change
2011-2012 2010-2011
As on September 30
Balance Sheet
As on September 30
Regular Size
Index Size
2012 over 2011
Balance sheet
Year to Year Change Analysis of Income Statement


2012 2011 2010 2012 2011 2010
2010-2011
Sales-net 774,360,704 1,465,477,806 1,328,623,472 52.84 100 110.30 100 10.30
Cost of sales -829,673,359 -1,355,198,764 -1,107,581,793 61.22 100 122.36 100 22.36
Gross profit -55,312,655 110,279,042 221,041,679 50.16 - 100 49.89 100 50.11 -
Operating expenses
Administrative expenses -58,782,738 -57,944,915 -43,780,352 101.45 100 132.35 100 32.35
Distribution cost -1,006,346 -1,347,106 -1,009,983 74.70 100 133.38 100 33.38
-59,789,084 -59,292,021 -44,790,335 100.84 100 132.38 100 32.38
Operating profit / (loss) -115,101,739 50,987,021 176,251,344 225.75 - 100 28.93 100 71.07 -
Finance cost -2,897,005 -9,000,428 -12,825,951 32.19 100 70.17 100 29.83 -
Other income 286,882,015 6,700,150 357,264 4,281.73 100 1,875.41 100 1,775.41
Other charges -9,733,635 -9,352,101 -11,301,003 104.08 100 82.75 100 17.25 -
274,251,375 -11,652,379 -23,769,690 2,353.61 - 100 49.02 100 50.98 -
Profit before taxation 159,149,636 39,334,642 152,481,654 404.60 100 25.80 100 74.20 -
Taxation
Current-for the year -20,346,650 -14,721,779 -13,286,250 138.21 100 110.80 100 10.80
Perior year tax -380,289 0 0 - 100 - 100 100.00 -
Defered tax -19,549,580 0 0 - 100 - 100 100.00 -
-40,276,519 -14,721,779 -13,286,250 273.58 100 110.80 100 10.80
Profit after taxation 118,873,117 24,612,863 139,195,404 482.97 100 17.68 100 82.32 -
38.78 -
Income Statement
For the year ended september 30
Income Statement
For the year ended september 30
Regular Size Index Size
2012 over 2011 2011 over 2010
Year to Year Change
2011-2012
47.16 -
304.60
150.16 -
1.45
25.30 -
0.84
325.75 -
67.81 -
4,181.73
4.08
2,453.61 -
173.58
382.97
38.21
100.00 -
100.00 -
Forecasted Income Statement


2012 2013
Sales-net 774,360,704 565283314
Cost of sales -829,673,359 376874385.4
Gross profit -55,312,655 188408928.6
Operating expenses
Administrative expenses -58,782,738 28264165.7
Distribution cost -1,006,346 565283.314
-59,789,084 28829449.01
Operating profit / (loss) -115,101,739 159579479.5
Finance cost -2,897,005 3674341.541
Other income 286,882,015 72073622.54
Other charges -9,733,635 5144078.157
Profit before taxation -115,101,739 222834683
Taxation
Current-for the year -20,346,650 8705363.036
Perior year tax -380,289 90445.33024
Defered tax -19,549,580 4748379.838
-40,276,519 13544187
Profit after taxation -155,378,258 209290496
Forecasted Income Statement
Forecasted Balance Sheet

2013
Assets
Non-Current Assets
Property, plant and equipment 291,534,536
Long term deposits 0
Total non cirrent assets 291,534,536
CURRENT ASSETS
Stores, spares and loose tools 43,753,379
Stock-in-trade 144,683,343
Trade debts 44,712,734
Prepayments, loan and advances 32,434,927
Cash and bank balances
3,841,596
Total current assets
TOTAL ASSETS 560,960,515
EQUITY AND LIABILITIES SHARE CAPITAL
AND RESERVES
Authorized Capital
15,000,000 (2009: 15,000,000) Ordinary
Shares of Rs. 10/- each.
150,000,000
Issued, Subscribed and Paid up Capital
14,100,000 (2009: 14,100,000) Ordinary
Shares of Rs. 10/- each fully paid in cash 141,000,000
Accumulated losses
-291,045,257
-136,501,070
NON-CURRENT LIABILITIES
Long-term finances 16,788,482
Deferred liabilities 120,426,718
Total non-current liaBILITIES 137,215,200
CURRENT LIABILITIES
Current portion of long-term finances 342,487,992
Trade and other payables 176,830,407
Accrued markup on finances 18,991,927
Provision for taxation 21,936,059
Total current liabilities 560,246,385
Total liabilities 697,461,585
TOTAL EQUITY AND LIABILITIES 560,960,515
Conclusion:-
In this project we have to make the analysis of MIRZA SUGAR MILLS LTD. And
the analysis of that company is as below:
Liquidity analysis shows that company is not able to pay its current debts because
current and cash ratios are very low. And companys liquidity is not fair and it is
negative trend.
Companys debt ratio is high and it is not a favorable trend. Company is borrowing
more loan year by year.

Profitably ratio is increased in2012 it good trend but overall profitability ratio are not
fair.

We conducted Financial Ratio analysis, Common size analysis and forcasted
statements and conclude that company is not favorable for investing.

Finally at the end company must focus on its Sales because in 2012 sales are
decreasing about 50% and must focus on its liquidity position.