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CONTENTS

  • COMPANY PROFILE

02-15

  • THEORETICAL ASPECT

16-20

  • PRACTICAL ASPECT

21-29

  • RESEARCH METHODOLOGY

30

  • DATA ANALYSIS & GRAPHICAL PRESENTATION

31-48

  • FINDINGS

49

  • CONCLUSION

50

  • SUGGESTION

51

  • BIBLIOGRAPHY

52

  • QUESTIONNAIRE

40-42

COMPANY PROFILE

OUR VISION

 

TO

BE

AMONGST

THE

MOST

ADMIRED

COMPANIES

IN

INDIA

COMMITED

TO

EXCELLENCE.”

 

OUR MISSION

BE A CUSTOMER OBSESSED COMPANY NO.1 TYRE BRAND IN INDIA DELIVER ENHANCED VALUE TO ALL STAKEHOLDERS MOST PROFITABLE TYRE COMPANY IN INDIA ENCHANCE GLOBAL PRESENCE THROUGH ACQUISITION MOTIVATED AND COMMITTED TEAM DEVELOPMENT FOR HIGH PERFORMANCE ORGANIZATION

  • ORGANISATION - A CENTURY

OF
OF

TRUST

Innovation and passion to perform have always been the driving forces at

COMPANY PROFILE OUR VISION “ TO BE AMONGST THE MOST ADMIRED COMPANIES IN INDIA COMMITED TO

J K Organization.

JK Organization, is one

COMPANY PROFILE OUR VISION “ TO BE AMONGST THE MOST ADMIRED COMPANIES IN INDIA COMMITED TO

of the leading Private Sector Groups in India, was founded over 100

years ago - it's been a century operation.

COMPANY PROFILE OUR VISION “ TO BE AMONGST THE MOST ADMIRED COMPANIES IN INDIA COMMITED TO

of multi-business, multi-product and multi-location business

CUSTOMER SATISFACTION - OUR CREDO

Customer Satisfaction has always been our prime focus. We are indeed proud

CUSTOMER SATISFACTION - OUR CREDO Customer Satisfaction has always been our prime focus. We are indeed

of our highly

experienced and professional team for winning the trust relationships with them.

CUSTOMER SATISFACTION - OUR CREDO Customer Satisfaction has always been our prime focus. We are indeed

of customers and building strong

company We have set up 130

Our

115

owned

stocking

points

serve

over

4000

dealers across the country.

JK
JK

Tyre Steel Wheels - a unique concept in car tyre retailing which

provides value added services like wheel balancing, alignment and tyre care to customers.

Our Truck Radial Care Centers offer after-sales service for Truck/Bus Radials, which operate on 365 days / 24 hours basis. A large number of such centers have been set up along all major National Highways.

CUSTOMER SATISFACTION - OUR CREDO Customer Satisfaction has always been our prime focus. We are indeed

JK Tyre has been among the top two tyre companies in respect of Customer Satisfaction, as per

JK Power Asia Pacific Study, for many years.

First Indian tyre company to introduce All Steel Truck & Bus Radials

in

India in 1999

Pioneered Radial technology

in

India

by

introducing

passenger

radials

in

1977

First Indian tyre company to be recognized as 'SUPERBRAND' by Global Advertising

Professionals

R & D - TECHNOLOGY OUR DRIVING FORCE

We have always been pushing the limits

CUSTOMER SATISFACTION - OUR CREDO Customer Satisfaction has always been our prime focus. We are indeed

of possibilities. Our research centers have been our

nerve

centers

for

extensive

research

and

development.

These

are:

Mr. Hari Shankar Singhania Elastomer and Tyre Research Institute (HASETRI) - Jaykaygram,

Kankroli

(Rajasthan)

and

Faridabad

(Haryana)

Dr. Raghupati Singhania Center Nadu)

Dr. Raghupati Singhania Center Nadu) of Excellence for Tyre and Vehicle Mechanics - Chennai (Tamil FUTURE

of Excellence for Tyre and Vehicle Mechanics - Chennai (Tamil

FUTURE PLANS

India is fast emerging as a global automobile hub particularly for small cars. It offers immense

opportunities for

JK
JK

Tyre

to

grow

its

business

both

organically and inorganically.

We have been constantly exploring ways

Dr. Raghupati Singhania Center Nadu) of Excellence for Tyre and Vehicle Mechanics - Chennai (Tamil FUTURE

of increasing our presence in different world markets,

through alliances and acquisitions in tyre and related business. In all our Endeavour’s, our core

focus is on customer delight. Enlarging the customer base, providing them with better quality

of
of

services and more value added products, will continue to be the key areas

Dr. Raghupati Singhania Center Nadu) of Excellence for Tyre and Vehicle Mechanics - Chennai (Tamil FUTURE

of our thrust.

OUR FIRSTS - LEADING THE WAY BACKGROUND AND INCEPTION OF THE COMPANY

1933

First in India to manufacture calico prints- {Juggilal Kamlapat cottons spinning and weaving mills company, Kanpur.}

1940

First in India to manufacture steel bailing Hoops for jute and cotton and to make the

country self sufficient by meeting the entire demand- Kanpur.

J.K Iron and Steel Co. Ltd.,

1944

First in India to produce Aluminum Virgin Metal for Indian Bauxite-Aluminum Corporation of India Ltd., Jaykayanagar.

1949

First in India to manufacture Engineering files- J.K. Engineer’s files Bombay.

1959

First in India to set up a continuous process Rayon plant.

1960

First in India to set up a Hydraulically operated Cane Crushing Mill for Kandsari Sugar Plant and completed 100 ton plant.

1961

First in world to set up a plant for production of Hydrosulphite of soda by Sodium Amalagam process- J.K. Chemicals Ltd., Bombay.

1962

First in India to produce Nylon-6 with its own polymerized raw material- J.K. Synthetics Ltd., Kota.

1965

First to produce sodium Sulphoxylate Formaldehyde [Rangolite C of Formosul] in India- J.K. Chemicals Ltd., Bombay.

1968

First to manufacture TV sets in India- J.K. Electronics, Kanpur.

1976

First in India to produce steel belted Radial tyres for passenger car, trucks and buses- J.K. Tyre plant, Kankroli.

1980

First in the world to make steel belted radial tyres for 3 wheelers.

1984

First in India to produce white cement through dry process.

1985

First in India to produce cathonic Dye able Polyester Fiber.

1989

First in India to produce magnetic tapes with cobalt technology.

1991

Banmore tyre plant {BTP} set up with the capacity of 5.7 lacks tyres per annum.

1992

R&D centre setup at HASTERI.

1994

India’s first T-rated tyre launched Banmore Tyre Plant {BTP} Crossed 100 TPD.

1995

Mercedes Benz launched on JK STEEL RADIALS first tyre manufacturer in the world to get ISO 9001.

1996

India’s first dual contact high tractions steel radial- aqua sonic launched. {Introduce steel wheels}.

1998

First tyre manufacturer in the world to get QS 9000. Awarded CAPEXIL’S highest

export award for 1997-98.

1999

Synergy with VTL in procurement, marketing and production flexibility. Completion of states of the art modernizations of truck radials J.K. Tyres ranked 16 th largest tyre company in the world ISO- 14001 accreditation for environment and safety.

2000

J.K. introduced national Go- carting championships.

2001

J.K. industries received FOCUS LAC EXPORT award for the year 1999-2000. Commendation certification of CII ND National exam. Go- carting championships held.

1.3 J K GROUP DIVERSIFICATION

1.3 J K GROUP DIVERSIFICATION <a href=JK ORGANISATION J.K. Organization, founded over 100 years ago, is an eminent industrial group in India. The Group has multi-business, multi-product and multi-location operations JK PAPER LTD. JK Paper Limited is one of the leading manufacturers of reading and writing paper JK LAKSHMI CEMENT LTD. JK Lakshmi Cement Limited is a well respected name in the cement industry in India 7 | P a g e " id="pdf-obj-6-4" src="pdf-obj-6-4.jpg">
1.3 J K GROUP DIVERSIFICATION <a href=JK ORGANISATION J.K. Organization, founded over 100 years ago, is an eminent industrial group in India. The Group has multi-business, multi-product and multi-location operations JK PAPER LTD. JK Paper Limited is one of the leading manufacturers of reading and writing paper JK LAKSHMI CEMENT LTD. JK Lakshmi Cement Limited is a well respected name in the cement industry in India 7 | P a g e " id="pdf-obj-6-6" src="pdf-obj-6-6.jpg">

J.K. Organization, founded over 100 years ago, is an eminent industrial group in India. The Group has multi-business, multi-product and multi-location operations

1.3 J K GROUP DIVERSIFICATION <a href=JK ORGANISATION J.K. Organization, founded over 100 years ago, is an eminent industrial group in India. The Group has multi-business, multi-product and multi-location operations JK PAPER LTD. JK Paper Limited is one of the leading manufacturers of reading and writing paper JK LAKSHMI CEMENT LTD. JK Lakshmi Cement Limited is a well respected name in the cement industry in India 7 | P a g e " id="pdf-obj-6-12" src="pdf-obj-6-12.jpg">
1.3 J K GROUP DIVERSIFICATION <a href=JK ORGANISATION J.K. Organization, founded over 100 years ago, is an eminent industrial group in India. The Group has multi-business, multi-product and multi-location operations JK PAPER LTD. JK Paper Limited is one of the leading manufacturers of reading and writing paper JK LAKSHMI CEMENT LTD. JK Lakshmi Cement Limited is a well respected name in the cement industry in India 7 | P a g e " id="pdf-obj-6-14" src="pdf-obj-6-14.jpg">

JK Paper Limited is one of the leading manufacturers of reading and writing paper

JK Lakshmi Cement Limited is a well respected name in the cement industry in India

<a href=FENNER (I) LTD. Fenner (I) Limited is a leading manufacturer of Industrial and Automotive Belts, Oil Seals, Power Transmission Accessories and Textile Yarn UMANG DAIRIES LTD. The Creme de la creme of dairy foods JK AGRI-GENETICS LTD. At JK Agri-genetics limited, concentrates on Research and Development, production, processing and marketing of hybrid seeds. JK SUGAR LTD. The company's principle activity is to manufacture Sugar. However, the company currently operates in two segments. Power and Sugar JK RISK MANAGERS AND INSURANCE BROKERS LTD. Services rendered to various clients for all facets of Insurance both life & non-life. 8 | P a g e " id="pdf-obj-7-2" src="pdf-obj-7-2.jpg">

Fenner (I) Limited is a leading manufacturer of Industrial and Automotive Belts, Oil Seals, Power Transmission Accessories and Textile Yarn

<a href=FENNER (I) LTD. Fenner (I) Limited is a leading manufacturer of Industrial and Automotive Belts, Oil Seals, Power Transmission Accessories and Textile Yarn UMANG DAIRIES LTD. The Creme de la creme of dairy foods JK AGRI-GENETICS LTD. At JK Agri-genetics limited, concentrates on Research and Development, production, processing and marketing of hybrid seeds. JK SUGAR LTD. The company's principle activity is to manufacture Sugar. However, the company currently operates in two segments. Power and Sugar JK RISK MANAGERS AND INSURANCE BROKERS LTD. Services rendered to various clients for all facets of Insurance both life & non-life. 8 | P a g e " id="pdf-obj-7-8" src="pdf-obj-7-8.jpg">

UMANG DAIRIES LTD. The Creme de la creme of dairy foods

<a href=FENNER (I) LTD. Fenner (I) Limited is a leading manufacturer of Industrial and Automotive Belts, Oil Seals, Power Transmission Accessories and Textile Yarn UMANG DAIRIES LTD. The Creme de la creme of dairy foods JK AGRI-GENETICS LTD. At JK Agri-genetics limited, concentrates on Research and Development, production, processing and marketing of hybrid seeds. JK SUGAR LTD. The company's principle activity is to manufacture Sugar. However, the company currently operates in two segments. Power and Sugar JK RISK MANAGERS AND INSURANCE BROKERS LTD. Services rendered to various clients for all facets of Insurance both life & non-life. 8 | P a g e " id="pdf-obj-7-15" src="pdf-obj-7-15.jpg">

At JK Agri-genetics limited, concentrates on Research and Development, production, processing and marketing of hybrid seeds.

<a href=FENNER (I) LTD. Fenner (I) Limited is a leading manufacturer of Industrial and Automotive Belts, Oil Seals, Power Transmission Accessories and Textile Yarn UMANG DAIRIES LTD. The Creme de la creme of dairy foods JK AGRI-GENETICS LTD. At JK Agri-genetics limited, concentrates on Research and Development, production, processing and marketing of hybrid seeds. JK SUGAR LTD. The company's principle activity is to manufacture Sugar. However, the company currently operates in two segments. Power and Sugar JK RISK MANAGERS AND INSURANCE BROKERS LTD. Services rendered to various clients for all facets of Insurance both life & non-life. 8 | P a g e " id="pdf-obj-7-19" src="pdf-obj-7-19.jpg">

The company's principle activity is to manufacture Sugar. However, the company currently operates in two segments. Power and Sugar

<a href=FENNER (I) LTD. Fenner (I) Limited is a leading manufacturer of Industrial and Automotive Belts, Oil Seals, Power Transmission Accessories and Textile Yarn UMANG DAIRIES LTD. The Creme de la creme of dairy foods JK AGRI-GENETICS LTD. At JK Agri-genetics limited, concentrates on Research and Development, production, processing and marketing of hybrid seeds. JK SUGAR LTD. The company's principle activity is to manufacture Sugar. However, the company currently operates in two segments. Power and Sugar JK RISK MANAGERS AND INSURANCE BROKERS LTD. Services rendered to various clients for all facets of Insurance both life & non-life. 8 | P a g e " id="pdf-obj-7-25" src="pdf-obj-7-25.jpg">

Services rendered to various clients for all facets of Insurance both life & non-life.

<a href=CLINIRX RESEARCH PRIVATE LTD. Full Service Contract Research Organization (CRO) JK Tyres Plants  Mysore plant- 1 {VTP} - Karnataka  Mysore plant- 2 {VTP Radial} - Karnataka  Kankroli - Rajasthan  Banmore - Madhya Pradesh 9 | P a g e " id="pdf-obj-8-2" src="pdf-obj-8-2.jpg">

CLINIRX RESEARCH PRIVATE LTD. Full Service Contract Research Organization (CRO)

JK Tyres Plants

  • Mysore plant- 1 {VTP}

-

Karnataka

  • Mysore plant- 2 {VTP Radial}

-

Karnataka

  • Kankroli

-

Rajasthan

  • Banmore

-

Madhya Pradesh

COMPANY HISTORY

JK ORGANISATION

COMPANY HISTORY JK ORGANISATION JK Organisation owes its name to Late Lala Juggilal Singhania , a

JK Organisation owes its name to Late Lala Juggilal Singhania, a dynamic personality, with a broad vision. Inspired by the cause of the Swadeshi movement of Mahatma Gandhi, and driven by the zeal to set up an indian enterprise, Late Lala Kamlapat Singhania founded J.K. Organisation in the 19 th century ushering in a new industrial era in India.

The name JK Organisation, which today is one of the leading Private Sector Groups in India, was founded over 100 years ago. For J.K. Organisation it's been a century of multi-business, multi-product and multi-location business operation. The companies in the Group have a diverse portfolio, including Automotive Tyres & Tubes, Paper & Pulp, Cement, V-Belts, Oil Seals, Power Transmission Systems, Hybrid Seeds, Woolen Textiles, Readymade Apparels, Sugar, Food & Dairy Products, Cosmetics, etc.

VARIOUS DIMENSIONS:

JK SEEDS

JK SUGAR

JK PAPER LTD

JK LAKSHMI CEMENT

UMANG DAIRIES

CliniRX RESEARCH

FENNER(INDIA) Ltd.

JK ORGANISATION AT A GLANCE:-

YEAR EVENTS 1951 - The Comp. was incorporated as a private limited Comp. in West Bengal in 14th February, 1951. Until 31st March 1970, the Comp. was engaged in the managing agency business. Thereafter, the Comp. decided to undertake manufacturing activities and obtained a letter of intent in February 1972 for manufacture of automobile of & tubes.

The letter of intent was converted

into an industrial license in

February 1974 for

manufacture of 4 lakh nos. each automobile tyre & tubes per annum. The Comp. was

converted into a public limited Comp. on 1st April 1974. The manufacturing project was

promoted

by

Straw

Products

Ltd

&

J.K.

Synthetics

Ltd.

The Comp. entered into technical collaboration with General Tire International Co., U.S.A., [a subsidiary of General Tire & Rubber Co., U.S.A.s] for technical services for a period of 5 years & sales agreement for supply of technical know-how, engineering & documentation for operational facilities [for a period of 8 years from 23.8.73s].

Under the collaboration agreement, the Comp. has the right to use on its products the

wording 'Made in collaboration with General Tire International

Co., USA'.

YEAR EVENTS 1982 - The company technical collaboration agreement with General

Tire International Co., was

renewed

for

a

further

period

of

5

years.

YEAR EVENTS 1987 - The overall working resulted in substantial profits despite a 51- days strike as well as go-slow from 14th October. The strike had since then been resolved & amicable settlement was reached. Efforts were on to launch a new pattern in steel belted radial tyre.

YEAR EVENTS 1988 - New steel radial tyres for Maruti Gypsy & Tata mobile were

12

introduced. The Comp. proposed to incur an expenditure of Rs 300 lakhs for installation of latest & sophisticated R&D equipment.

YEAR EVENTS 1989 - Several new patterns & sizes of tyre were introduced including a semi-lug Nylon Truck tyre, all of which were well received in the market. 1991 - Handeep Investment, Ltd., Hidrive Finance Ltd., Panchanan Investment Ltd., & Radial Finance Ltd., J. K. International Ltd., Shivdham Properties Ltd., & J. K. Asia Pacific, Ltd., are subsidiaries of Company.

YEAR EVENTS 1992 The J.K. International division expanded its activities by opening its office in Moscow besides starting Company's subsidiaries in U.K. and Honkong. The radial tyre for tractors & business launched in the previous year were well received.

YEAR EVENTS 1993 - New radial tyre `Brute' & `Ultima' were introduced. The Comp. was in the process of developing steel belted radial tyre for prestigious cars in the Mercedes Benz, Peugeot, Daewoo race & Opel Astra. A new pattern developed for bus and trucks `PE-T8' was well received in the market.

YEAR EVENTS 1994 - The Comp. maintained its pace of growth, despite steep rise in raw material & input costs & competition. The Company effected an all round cost reduction & attained higher capacity utilization at both the tyre plants at Jaykaygram and Banmore.

The T-rated Ultima tyre launched for new generation cars found its acceptance in DCM Daewoo `Ceilo'. Also J.K. Steel radial was chosen for Mercedes Benz India. - The Comp. undertook to develop steel radials for GM `Astra'. PAL `Peugekot' FIAT's, `UNO' & M and M `Ford'.

- The Comp. launched a premium truck tyre `Jet Trak' - 39 which was introduced to meet

13

the need of the heavy load market. The new tractor rear tyre `SONA' was well received in the market.

YEAR EVENTS 1996 - During this period, a new Car tyre 'Jet Drive XS', the widest nylon car tyre for Maruti 800 was launched. Along with new semi-lug & heavy duty lug tyre for trucks, a new lug tyre for super heavy load applications 'Jet Trak 39' was also introduced. In the Radial category, 'Ultima XR Radial', a terrain tyre was introduced. All these products were well received in the market.

Both the tyre plants operated to full capacity. In line with JK tyre, the radials unit introduced the dual contact high traction & high performance Aquasonic steel radial car tyre. The unit also developed India first & only H-rated ultima Xs' especially for Mercedes - Benz Cars.

YEAR EVENTS 2000 - The Comp. proposes to reduce its debt by Rs 125 crore in the

current fiscal from the

current

level

of

Rs

635

crore

by

way of

loan repayment.

The Comp. & Indian Oil Corporation have entered into a marketing alliance for installing digital air pressure gauges and setting up sales & services outlets at IOC petrol stations throughout the country.

YEAR EVENTS 2001 - Raghupati Singhania managing director of J. K. Industries has been appointed the 19th Chairman of Automotive Tyre Manufacturers Association, the representative body of tyre industry in India.

YEAR EVENTS 2002- J. K. Industries Ltd has informed BSE that CRISIL has assigned a P1+ rating to the Commercial Paper programme of company.

YEAR EVENTS 2003 - J. K. Industries Ltd [JKIs] has a new Marketing Director in Mr. Ajay Kapila. Before joining JKI, Mr Kapila was Senior Vice-President [Sales &

14

Marketing’s] at Kinetic Engineering limited He was also Director on board & operational head of Kinetic direct selling arm - Kinetic Marketing Services Ltd.

Completes its comprehensive restructuring exercise of businesses that leads to its emergence as a pure automotive tyre company. Along with the de-merger of its non-tyre business, Sugar & Agri Seeds, into separate companies namely J. K. Sugar Ltd & J. K. Agri-Genetics Ltd, JKI also completes the merger of Vikrant Tyre Ltd with itself.

J.

K.

Industries

delists

from

Jaipur

Stock Exchange

divested its wholly-owned subsidiary called J. K. Drugs & Pharmaceuticals Ltd to TEVA

Pharmaceuticals of Israel.

YEAR EVENTS 2004 -J. K. Industries Ltd has informed that its securities are delisted from Delhi Stock Exchange Association Ltd [DSEs] w.e.f. January 29, 2004.

YEAR EVENTS 2007 - J. K.

Industries Ltd has informed that the name of Comp. has

been changed from J. K. Industries Ltd' to 'J. K. Tyre and Industries Ltd' w.e.f. April 02,

2007.

Comp. name has been changed from J. K. Ltd.

Industries Ltd to J. K.

Tyre and Industries

YEAR EVENTS 2008 - The Comp. has issued rights in the ratio of 1:3 at a premium of Rs.75 per Share.

15

THEORETICAL ASPECT

INTRODUCTION OF RATIO ANALYSIS

There are various methods or techniques used in analyzing financial statements such as comparative statements, trend analysis, common size statements, schedule of changes in working capital, funds flow and cash flow analysis, cost-volume-profit analysis and ratio analysis. The ratio analysis is one of the most powerful tools of financial analysis. It is the process of establishing and interpreting various ratios (quantitative relationship between figures and group figures). It is with the help of ratios that the financial statements can be analyzed more clearly and decision made from such analysis.

MEANING OF RATIO:

A ratio is a simple arithmetic expression of relationship of one to other. It may be

defined as the indicated quotient of two mathematical expressions.

According to Accountant’s Handbook by Wixon, Kell and Bedford, a ratio “is an expression of the quantitative relationship between two numbers”. According to Myers, Ratio analysis is a “study of relationship among the various financial factors in a business”.

FINANCIAL RATIO ANALYSIS:

Ratio analysis is a powerful tool of financial analysis. A

ratio is defined as “the indicated quotient of two mathematical expressions” and as “the relationship between two or more things”. In financial analysis a ratio is used as a

benchmark for evaluating the financial position and performance of a firm. The absolute accounting figures reported in the financial statement do not provide a meaningful understand of the performance and financial position of a firm. An accounting figure conveys meaning when it is related to some other relevant information.

16

The relation between two accounting figures, expressed mathematically is known as a financial ratio (or simply as a ratio) ratio help to summarize

large quantities of financial data and to make qualitative judgment about the firm’s

financial performance. The point to note is that a ratio reflecting a quantitative relationship helps to form a qualitative judgment.

NATURE OF RATIO ANALYSIS

Standards of comparison

A single ratio in itself does not indicate favorable or

unfavorable condition. It should be compared with some standards. Standard of comparison may consist of.

  • Past ratio i.e. ratio calculated from the financial statement of the some firm.

  • Competitor’s ratios, i.e. ratios of same selected firms, especially the most progressive and successful competitor, at the same point in time.

  • Industry ratios i.e. ratios or the industry to which the firm belongs and

  • Projected ratios, i.e. ratios developed using the projected or Performa, financial statements of the same firm. There are four types of ratios to be calculated to know the status of the firm.

They are,

  • 1. Liquidity ratio

  • 2. Leverage ratio

  • 3. Activity ratio

  • 4. Profitability ratio

17

I. Liquidity ratio

Liquidity ratios measure the ability of the form to meet its current obligation. In fact, analysis of liquidity needs the preparation of cash budgets and cash and fund flow statement, but liquidity ratios by establishing a relationship between cash and other current assets to currents obligations, provide a quick measure of liquidity. A firm ensures that it does not suffer from lack of liquidity, and also that it does not have excess liquidity, therefore it is necessary to strike a proper balance between high liquidity and lack of liquidity.

The most common ratios indicate the extent of liquidity or lack of it is:

Current ratio

Quick ratio

Absolute liquidity ratio

II.LEVERAGE RATIOS

Leverage ratios are calculated t analyze the long-term financial position of the firm. These indicate mix of funds provided by owners and lenders. As a general rule,

there should be an appropriate mix be debt and owners equity in financing the firm’s

assets. The process of magnifying the shareholders return through the use of debt is

called “financial gearing” or “trading on equity”. Leverage ratios calculated to measure the financial risk and firm’s ability of using debt to share holder’s advantages.

Interest coverage ratio

Capital equity ratio

18

III.ACTIVITY (OR) TURNOVER RATIOS

The turnover ratios indicate the efficiency with which the capital employed is rotated in the business. The ratios are employed to evaluate the efficiency with which the firm manages and utilizes its assets to indicate the speed with which assets are being converted on turned over into sales. A proper balance sales and generally reflects that assets are managed well.

Debtor’s turnover ratio.

Total assets turnover ratio.

Fixed assets turnover ratio.

Current assets turnover ratio.

IV.PROFITABILITY RATIO

Profitability is an indication of the efficiency with which the operations of the business are carried on. Bankers, financial institutions and other creditors look at the profitability ratios as an indicator whether or not the firm earns substantially more than it pays interest for the use of borrowed finds and whether the ultimate repayment of their debt appears reasonably certain. Owners are interested to know the profitability as it indicates the return, which they can get their investments.

Gross profit ratio

Net profit ratio

Operating profit ratio

Operating ratio

Return on investment ratio

Return on equity

EPS

DPS

Pay out

19

OBJECTIVES

To know, whether the company is able to pay debt promptly or not.

To study the current financial position of the company.

To know the ability of the firm to meet fixed interest and the cost and repayment

schedules associated with the long term borrowings. To know about the general profitability of the firm in relation to the sales.

To know about the overall profitability of the firm in relation to its investment.

To find ability of the company in utilizing of its assets.

To find companies long term solvency and survival.

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PRACTICAL ASPECT

1. Current ratio:

This ratio relates current assets to current liabilities.

The current ratio indicates

the ability of the organization to meet its current obligations. It measures short-term solvency of the concern.

The current ratio is calculated by dividing current assets by current liabilities.

Current assets

Current ratio=

Current liabilities

years

Current assets

Current liabilities

Current ratio

2004

335.21

  • 126.20 2.66:1

 

2005

363.31

  • 172.53 2.11:1

 

2006

525.04

  • 398.06 1.32:1

 

2007

984

  • 638.12 1.54:1

 

2008

1488

892.6

1.66:1

21

2.Interest coverage:-

The interest coverage ratio or the times-interest-earned is one of the most conventional coverage ratios used to test the firms debt-servicing capacity.it can be calculated by dividing EBIT with interest

 

EBIT

 

Interest coverage=

INTEREST

years

EBIT

INTEREST

Interest coverage

(in.Rs.Cr)

(in.Rs.Cr)

ratio

2004

132.59

9.92

13.37

2005

125.89

11.85

10.62

2006

283.64

10.12

28.03

2007

127.52

28.09

4.54

2008

441.32

28.30

15.59

22

3.Capital equity ratio:-

This is the ratio which expressing the basic relationship between debt and equity. Calculating the ratio of Net assets to Net worth can find this ratio.

Capital employed Capital equity ratio =

Net worth

Capital employed = Total debt + Net worth

years

Capital employed

Net worth

Capital equity ratio

(in.Rs.Cr)

(in.Rs.Cr)

2004

  • 435.34 435.34

 

1.00

2005

  • 482.82 482.83

 

0.99

2006

  • 597.86 597.86

 

1.00

2007

  • 930.78 878.12

 

1.06

2008

1323.40

1228.40

1.08

23

4. Debtors turnover ratio:-

Debtors turnover ratio can be calculated by dividing total sales by dividing debtors.

 

Sales

Debtors turn over =

Debtors

years

Sales

Debtors

Debtors turnover ratio

2004

711.50

 
  • 276.21 2.58times

2005

922.34

 
  • 217.42 4.24times

2006

1197.14

 
  • 412.72 2.90times

2007

2753.22

 
  • 792.02 3.48times

2008

3604.7

1057.40

3.41times

24

5. Total assets turnover ratio:-

This ratio shows the firms ability in ngenerating sales from all financial resources committed ton total assets.

Total assets turnover=

Sales

Total assets

years

sales

Total assets

Total assets turnover ratio

2004

711.50

435.34

1.63

2005

922.34

482.82

1.91

2006

1197.14

597.86

2.00

2007

2753.22

930.78

2.96

2008

3604.7

1323.40

2.72

25

6.Fixed assets turnover ratio:-

Fixed assets turnover ratio can be calculated by dividing of sales with net fixed

assets.

Sales

Fixed assets turn over ratio=

Net fixed assets

Years

sales

Net fixed assets

Fixed assets

turnover ratio

2004

711.50

  • 133.24 5.34

 

2005

922.34

  • 170.05 5.42

 

2006

1197.14

  • 156.79 7.64

 

2007

2753.22

  • 247.03 11.15

 

2008

3604.7

290.9

12.39

26

7.Curent assets turnover ratio:-

Current assets turnover ratio can be calculated by dividing of sales with net current assets.

Current assets turnover ratio=

Sales

Net current assets

Years

sales

Net current assets

Current assets

turnover ratio

2004

711.50

  • 209.01 3.40

 

2005

922.34

  • 190.79 4.83

 

2006

1197.14

  • 126.99 9.42

 

2007

2753.22

  • 345.89 7.96

 

2008

3604.7

  • 595.40 6.05

 

27

8. Gross profit ratio:-

This ratio expresses relationship between gross profit and net sales. It relates the efficiency with which management produces each unit of product. It indicates the degree to which the selling price of goods per unit may decline without resulting in losses from operations to the firm. The first profitability ratio n relation to sales is the gross profit ratio it is calculated by dividing the gross profit by sales.

Gross profit ratio =

Gross profit

Sales

X 100

Gross profit = Net sales cost of goods sold Cost of goods sold = power & fuel + other manufacturing expenses

Year

Gross Profit

Sales

Gross profit Ratio

(in.Rs.Cr)

(in.Rs.Cr)

(%)

2004

 
  • 655.38 711.50

92.11

2005

 
  • 819.88 922.34

88.89

2006

 
  • 994.86 1197.14

83.10

2007

2178.53

2753.22

79.12

2008

2887.40

3604.7

80.11

28

9.Net profit ratio:-

Net profit ratio is obtained when operating expenses; interest and taxes subtracted from the gross profit. Net profit ratio helps in determining efficiency with which affairs

of the business are being managed. This ratio is the overall measure of the firm’s ability

to turn each rupee sales into net profit. The ratio is thus an effective measure to check the

profitability of business. The net profit margin ratio is measured by dividing profit after tax by sales.

Net profit margin=

Profit after tax

Net sales

×100

Years

Profit after tax

Net Sales

Net profit margin

(in.Rs.Cr)

(in.Rs.Cr)

2004

94.13

 
  • 711.50 13.23%

2005

71.09

  • 922.34 7.71%

 

2006

220.12

  • 1197.14 18.39%

 

2007

65.23

  • 2753.22 2.37%

 

2008

325.70

3604.7

9.04%

29

RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research problem. It deals with the objective of a research study, the method of defining the research problem, the type of hypothesis formulated, the type of data collected, method used for data collecting and analyzing the data etc. The methodology includes collection of primary and secondary data.

TYPE OF RESEARCH DESCRIPTIVE RESEARCH

The study follows descriptive research method. Descriptive studies aims at portraying accurately the characteristics of a particular group or situation. Descriptive research is concerned with describing the characteristics of a particular individual or a group. Here the researcher attempts to present the existing facts by collecting data.

  • 5.2 RESEARCH DESIGN

A research design is a basis of framework, which provides guidelines for the rest of research process. It is the map of blueprint according to which, the research is to be conducted. The research design specifies the method of study. Research design is prepared after formulating the research problem.

  • 5.3 SOURCES OF DATA

Data are the raw materials in which marketing research works. The task of data collection begins after research problem has been defined and research design chalked out. Data collected are classified into primary data and secondary data

  • PRIMARY DATA Questionnaires were used for collecting primary data

  • SECONDARY DATA Secondary data were collected from the company’s annual publications, memorandums of settlements, newspapers, journals, websites, and from library

books SAMPLE SIZE: NIL

30

DATA ANALYSIS & GRAPHICAL PRESENTATION

1. Current ratio:

This ratio relates current assets to current liabilities.

The current ratio indicates

the ability of the organization to meet its current obligations. It measures short-term

solvency of the concern.

The current ratio is calculated by dividing current assets by current liabilities.

Current assets

Current ratio=

Current liabilities

years

Current assets

Current liabilities

Current ratio

2004

335.21

  • 126.20 2.66:1

 

2005

363.31

  • 172.53 2.11:1

 

2006

525.04

  • 398.06 1.32:1

 

2007

984

  • 638.12 1.54:1

 

2008

1488

892.6

1.66:1

Analysis:

The current ratio of the company is

decreased from 2004 to 2006 as 2.66:1,

2.11:1, 1.32:1, later it is increased from 2006 to 2008 as 1.32:1, 1.54:1, and 1.66:1.

31

The graph between Years and Current ratio shows as below

CURRENT RATIO

1 2 1.5 3 2.5 0 0.5 CURRENT RATIO 2004 2006 2008 2007 2005
1
2
1.5
3
2.5
0
0.5
CURRENT RATIO
2004
2006
2008
2007
2005

CURRENT RATIO

YEARS

Interpretation:

In the year of 2004, 2005 the current ratio of TechJK TYRE maintains the standards of 2:1. After the situation is less than 2:1 it shows the margin of safety for creditors is low and company may be struggling to meet their obligations to pay.

32

2.Interest coverage:-

The interest coverage ratio or the times-interest-earned is one of the most conventional coverage ratios used to test the firms debt-servicing capacity.it can be calculated by dividing EBIT with interest

EBIT

Interest coverage=

INTEREST

years

EBIT

INTEREST

Interest coverage

(in.Rs.Cr)

(in.Rs.Cr)

ratio

2004

132.59

9.92

13.37

2005

125.89

11.85

10.62

2006

283.64

10.12

28.03

2007

127.52

28.09

4.54

2008

441.32

28.30

15.59

Analysis:-

The interest coverage ratio of the firm for 2004 is 13.37 after the year it decraesed to 10.62 in the year 2005. Again it increased to 28.03 later years it decreased to 4.54 & it finally reached to 15.59.

33

The graph between Years and Interest coverage ratio shows as below

Interest coverage ratio

5 0 30 25 20 15 10 interest coverage ratio 2004 2006 2008 2007 2005
5
0
30
25
20
15
10
interest coverage ratio
2004
2006
2008
2007
2005

Interest coverage ratio

years

Interpretation:-

The interest coverage ratio of higher ratio is desirable.the analysis indicates that the firm using debt in conservatively.It is higher in the year 2006 i.e.28.03, it is low in the year 2007 i.e.4.54.

34

3.Capital equity ratio:-

This is the ratio which expressing the basic relationship between debt and equity. Calculating the ratio of Net assets to Net worth can find this ratio.

Capital employed

Capital equity ratio =

Net worth

Capital employed = Total debt + Net worth

years

Capital employed

Net worth

Capital equity ratio

(in.Rs.Cr)

(in.Rs.Cr)

2004

  • 435.34 435.34

 

1.00

2005

  • 482.82 482.83

 

0.99

2006

  • 597.86 597.86

 

1.00

2007

  • 930.78 878.12

 

1.06

2008

1323.40

1228.40

1.08

Analysis:-

Capital equity ratio of the firm for 2004 to 2008 are 1, 0.99, 1, 1.03, 1.08.it is

decreased from 2004 to 2005 after the years it raised to 1.08.

35

The graph between Years and Capital equity ratios ratio shows as below

CAPITAL EQUITY RATIO

1 1.1 0.98 0.96 0.94 1.08 1.06 1.04 1.02 CAPITAL EQUITY RATIO 2004 2006 2008 2007
1
1.1
0.98
0.96
0.94
1.08
1.06
1.04
1.02
CAPITAL EQUITY RATIO
2004
2006
2008
2007
2005

CAPITAL EQUITY RATIO

YEARS

Iterpretation:-

The funds being contributed by the lenders and owners for each rupee is almost i.e. Rs.1/-.It indicates that the firm maintained the constant capital and equity in the equal proportion change.

36

4. Debtors turnover ratio:-

Debtors turnover ratio can be calculated by dividing total sales by dividing debtors.

 

Sales

Debtors turn over =

Debtors

years

Sales

Debtors

Debtors turnover ratio

2004

711.50

 
  • 276.21 2.58times

2005

922.34

 
  • 217.42 4.24times

2006

1197.14

 
  • 412.72 2.90times

2007

2753.22

 
  • 792.02 3.48times

2008

3604.7

1057.40

3.41times

Analysis:-

Debtor’s turnover ratio for the years 2004, 2005, 2006, 2007 and 2008 are 2.58, 4.24, 2.90, 3.48 and 3.41 respectively. It is raised to 4.24 for the year 2005 after it

decreased to 3.41 in the year 2008.

37

The graph between Years and Debtors turnover ratios shows as below

DEBTORS TURNOVER RATIO

1 4 2 4.5 1.5 3 2.5 3.5 0 0.5 CURRENT RATIO 2004 2006 2008 2007
1
4
2
4.5
1.5
3
2.5
3.5
0
0.5
CURRENT RATIO
2004
2006
2008
2007
2005

DEBTORS TURNOVER RATIO

YEARS

Interpretation:-

The ratios are more than 2, this indicates the firm is good at the management of

credit. It is high in the year 2005 and least in the year 2004. The firm maintained

conversion of the debtor’s funds to sales is sufficiently.

38

5. Total assets turnover ratio:-

This ratio shows the firms ability in ngenerating sales from all financial resources committed ton total assets.

Total assets turnover=

Sales

Total assets

years

sales

Total assets

Total assets turnover ratio

2004

711.50

435.34

1.63

2005

922.34

482.82

1.91

2006

1197.14

597.86

2.00

2007

2753.22

930.78

2.96

2008

3604.7

1323.40

2.72

Analysis:-

Total assets turnover ratio of the year 2004 to 2008 are 1.63, 1.91, 2.00, 2.96 and

2.72 times respectively.it is gradually increased year by year.

39

The graph between Years and total assets turnover ratio shows as below

TOTAL ASSETS TURNOVER RATIO

1 2 1.5 3 2.5 3.5 0 0.5 TOTAL ASSETS TURN OVER RATIOS 2004 2006 2008
1
2
1.5
3
2.5
3.5
0
0.5
TOTAL ASSETS TURN OVER RATIOS
2004
2006
2008
2007
2005

YEARS

TOTAL ASSETS TURNOVER RATIO 1 2 1.5 3 2.5 3.5 0 0.5 TOTAL ASSETS TURN OVER

TOTAL ASSETS TURNOVER RATIO

Interpretaion:-

The total assets turnover ratio of the firm are 1.63, 1.91, 2, 2.96 and 2.72 times it

implies that the firm generate a sales more than one for one rupee investment on total assets.

40

6.Fixed assets turnover ratio:-

Fixed assets turnover ratio can be calculated by dividing of sales with net fixed

assets.

Sales

Fixed assets turn over ratio=

Net fixed assets

Years

sales

Net fixed assets

Fixed assets

turnover ratio

2004

711.50

  • 133.24 5.34

 

2005

922.34

  • 170.05 5.42

 

2006

1197.14

  • 156.79 7.64

 

2007

2753.22

  • 247.03 11.15

 

2008

3604.7

290.9

12.39

Analysis:-

The fixed assets turnover ratios for 2004 to 2008 are 5.34, 5.42, 7.64, 11.15 and

12.39 times respectively. It was increased from 2004 to2008.

41

The graph between Years and Fixed assets turnover ratio shows as below

Fixed assets turn over ratio

14 12 10 8 6 4 2 0 FIXED ASSETS TURN OVER RATIOS 2004 2006 2008
14
12
10
8
6
4
2
0
FIXED ASSETS TURN OVER RATIOS
2004
2006
2008
2007
2005

Fixed assets turn over ratio

YEARS

Interpretation:-

Increasing fixed assets turnover ratio implies that the firms utilization of fixed

assets is increased.

42

7.Curent assets turnover ratio:-

Current assets turnover ratio can be calculated by dividing of sales with net current assets.

Current assets turnover ratio=

Sales

Net current assets

Years

sales

Net current assets

Current assets

turnover ratio

2004

711.50

  • 209.01 3.40

 

2005

922.34

  • 190.79 4.83

 

2006

1197.14

  • 126.99 9.42

 

2007

2753.22

  • 345.89 7.96

 

2008

3604.7

  • 595.40 6.05

 

Analysis:-

The current assets turnover ratios for the years from 2004 to 2008 are 3.40, 4.83,

9.42, 7.96 and 6.05 times.

43

The graph between Years and current assets turnover ratio shows as below

Current assets turnover ratio

2 2005 2007 2008 2006 2004 CURRENT ASSETS TURN OVER RATIOS 0 1 10 3 4
2
2005
2007
2008
2006
2004
CURRENT ASSETS TURN OVER RATIOS
0
1
10
3
4
5
6
7
8
9

Current assets turnover ratio

YEARS

Interpretation:-

It is increased from 2004 to 2006 and then decreased to 6.05 times for the year 2008.it indicates that the usage of current assets is more than its investments.

44

8. Gross profit ratio:-

This ratio expresses relationship between gross profit and net sales. It relates the efficiency with which management produces each unit of product. It indicates the degree to which the selling price of goods per unit may decline without resulting in losses from operations to the firm. The first profitability ratio n relation to sales is the gross profit ratio it is calculated by dividing the gross profit by sales.

Gross profit ratio =

Gross profit

Sales

X 100

Gross profit = Net sales cost of goods sold Cost of goods sold = power & fuel + other manufacturing expenses

Year

Gross Profit

Sales

Gross profit Ratio

(in.Rs.Cr)

(in.Rs.Cr)

(%)

2004

 
  • 655.38 711.50

92.11

2005

 
  • 819.88 922.34

88.89

2006

 
  • 994.86 1197.14

83.10

2007

2178.53

2753.22

79.12

2008

2887.40

3604.7

80.11

Analysis:

The calculated gross profit ratio indicates that the proportion of gross profit to sales shows decreased figures from year 2004 i.e. 92.11 to79.12 in the year 2007 later year it increased to 80.11

45

The graph between Years and Gross profit ratio shows as below

Gross profit ratio (%)

95 90 85 80 75 70 gross profit ratio 2004 2006 2008 2007 2005
95
90
85
80
75
70
gross profit ratio
2004
2006
2008
2007
2005

Series1

year

Interpretation:

Gross profit ratio of the firm is highest in the year 2004 is 92.11% it indicates that firm got more sales for attaining more profit. Firms performance is good in the year 2008 i.e. 80.11%.

46

9.Net profit ratio:-

Net profit ratio is obtained when operating expenses; interest and taxes subtracted from the gross profit. Net profit ratio helps in determining efficiency with which affairs

of the business are being managed. This ratio is the overall measure of the firm’s ability

to turn each rupee sales into net profit. The ratio is thus an effective measure to check the

profitability of business.

The net profit margin ratio is measured by dividing profit

after tax by sales.

Net profit margin=

Profit after tax

Net sales

×100

Years

Profit after tax

Net Sales

Net profit margin

(in.Rs.Cr)

(in.Rs.Cr)

2004

94.13

 
  • 711.50 13.23%

2005

71.09

  • 922.34 7.71%

 

2006

220.12

  • 1197.14 18.39%

 

2007

65.23

  • 2753.22 2.37%

 

2008

325.70

3604.7

9.04%

Analysis:-

Net profit margin ratio for the years from 2004 to 2008 are 13.25%, 7.71%, 18.39%, 2.37% and 9.04%.it is highest in the year 2006 i.e. 18.39% and the least in the

year 2007 i.e. 2.37%.

47

The graph between Years and Net profit ratio shows as below

Net profit margin

2.00% 2005 2007 2008 2006 2004 NET PROFIT RATIOS (%) 0.00% 20.00% 4.00% 6.00% 8.00% 10.00%
2.00%
2005
2007
2008
2006
2004
NET PROFIT RATIOS
(%)
0.00%
20.00%
4.00%
6.00%
8.00%
10.00%
12.00%
14.00%
16.00%
18.00%

Net profit margin

YEARS

Interpretation:-

Through this ratio overall profitability can be measured after adjusting non- operating income & non-operating expenses. Firm showing best performance in the year 2006.in the year 2008 it is good.

48

FINDINGS

Firm maintained liquidity ratio indicates that it is in standards in the years 2004 & 2005. In the next years it is below the standards.

Debt of the firm is almost equal to its net worth.

Turnover ratios indicate that the firm is in good at conversion assets to sales.

Current assets turnover is very high when compare to the fixed assets turnover.

Gross profit is high in the years 2004 after the years firm gets fluctuations finally it is in good position.

In the 2004 & 2005 years it is having more operating expenses than to sales it is well for next years. Returns is not in preferable way it is below 25% on average.

Earnings on each share are good condition for the firm.

But the payment to the share holders is below 50%.

49

CONCLUSION

The company’s overall position is at a good position. Particularly the current year’s position is well due to raise in the profit level from the last year position. It is better for the organization to diversify the funds to different sectors in the present market scenario.

Financial Analysis is the process of evaluating businesses and other finance-related entities to determine their suitability for investment. Typically, financial analysis is used to analyze whether an entity is stable, solvent, liquid, or profitable enough to be invested in. One of the most common ways of analyzing financial data is to calculate ratios from the data to compare against those of other comparable companies. In Infinancials, financial ratios are categorized according to the financial aspect of the business which the ratio measures: Profitability, Asset Utilization, Capital Structure on a specific tab, Financial Ratios. Financial analysis allows for comparisons between companies, between industries and also between a single company and its industry average or peer group average.

50

SUGGESTIONS

Although firm maintains sufficient liquidity, it is needed to increase, in order to attain future demand.

Because of being a soft solutions JK TYRE ltd need to raise their turnovers to get good impression on the maintenance.

Firm needed to decrease the operating expenses, in order to sustain in this rescission period.

Returns are of below 25% there is necessary to increase it. By getting more projects it will happens.

Although the earnings on each share is good payment to the share holders is below 50%.it is better to maintain 50% to 75%, it will helps attracting share holders towards invest.

51

BIBLIOGRAPHY

REFFERED BOOKS

FINANCIAL MANAGEMENT - I. M. PANDEY

MANAGEMENT ACCOUNTANCY - PILLAI & BAGAVATI

MANAGEMENT ACCOUNTING SHARMA & GUPTA

INTERNET SITE

www.ercap.org

www.wikipedia.com

52

Key Financial Ratios of JK Tyre and Industries

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

Investment Valuation Ratios

   

10.00

10.00

10.00

10.00

10.00

Face Value

3.50

2.50

3.00

3.50

2.70

Dividend Per Share

118.70

68.12

81.40

117.50

92.93

Operating Profit Per Share (Rs)

 

1,375.10

1,168.60

895.56

1,201.70

141.64

141.79

130.02

93.27

Free Reserves Per Share (Rs)

Net Operating Profit Per Share (Rs) 1,288.69 --

0.09

0.09

0.09

0.09

0.09

Bonus in Equity Capital

Profitability Ratios

 

9.21

4.95

6.96

13.12

7.73

 

Operating Profit Margin(%)

Profit Before Interest And Tax

7.06

3.15

4.55

10.09

4.70

Margin(%)

7.08

3.15

4.57

10.14

4.72

Gross Profit Margin(%)

4.69

1.96

3.15

6.87

2.76

Cash Profit Margin(%)

4.69

1.96

3.15

6.87

2.76

Adjusted Cash Margin(%)

1.98

0.19

1.27

4.42

0.38

Net Profit Margin(%)

1.98

0.19

1.27

4.42

0.38

Adjusted Net Profit Margin(%)

13.09

7.74

11.99

24.84

14.94

Return On Capital Employed(%)

14.22

1.64

8.57

23.57

3.33

Return On Net Worth(%)

18.39

1.42

5.27

20.11

-2.86

Adjusted Return on Net Worth(%)

Return on Assets Excluding

180.70

163.32

174.07

168.88

138.97

Revaluations

Return on Assets Including

180.70

163.32

174.07

168.88

138.97

Revaluations

20.70

10.99

19.92

30.48

21.94

Return on Long Term Funds(%)

Liquidity And Solvency Ratios Current Ratio

0.60

0.63

0.64

0.79

0.60

Quick Ratio

0.84

0.68

0.69

0.61

0.72

Debt Equity Ratio

2.99

2.50

1.84

1.24

1.91

Long Term Debt Equity Ratio Debt Coverage Ratios

1.52

1.47

0.71

0.83

0.98

Interest Cover

1.88

1.07

2.49

4.17

1.55

Total Debt to Owners Fund

2.99

2.50

1.84

1.24

1.91

Financial Charges Coverage Ratio Financial Charges Coverage Ratio

2.42

1.66

2.04

3.05

1.65

Post Tax Management Efficiency Ratios

2.06

1.66

2.00

2.69

1.71

7.41

9.78

7.91

9.11

14.03

 

Inventory Turnover Ratio

5.93

7.14

7.99

7.91

11.24

Debtors Turnover Ratio

7.41

9.78

7.91

9.11

14.03

Investments Turnover Ratio

1.43

2.04

1.76

1.44

2.18

Fixed Assets Turnover Ratio

1.79

2.41

2.37

2.38

2.95

Total Assets Turnover Ratio

1.99

2.58

2.68

2.28

 

Asset Turnover Ratio

--

 

29.89

29.11

39.19

20.71

Average Raw Material Holding

--

15.58

26.62

18.69

27.88

Average Finished Goods Held

--

36.02

7.41

28.87

-2.10

19.00

Number of Days In Working Capital

Profit & Loss Account Ratios Material Cost Composition

74.87

74.61

77.93

63.38

70.44

Profit & Loss Account Ratios Material Cost Composition 74.87 74.61 77.93 63.38 70.44

Imported Composition of Raw

37.64

33.22

28.84

34.21

33.56

53

Materials Consumed Selling Distribution Cost Composition Expenses as Composition of Total Sales Cash Flow Indicator Ratios Dividend Payout Ratio Net Profit Dividend Payout Ratio Cash Profit Earning Retention Ratio Cash Earning Retention Ratio AdjustedCash Flow Times

 

--

3.63

7.21

8.03

7.24

16.34

10.54

8.86

9.82

15.24

15.92

93.27

20.09

10.25

68.08

7.70

9.12

7.00

6.02

7.52

87.69

-7.32

67.35

87.99

179.42

93.26

90.76

91.91

93.41

90.54

8.91

15.12

8.66

3.38

8.04

 
-- 3.63 7.21 8.03 7.24 16.34 10.54 8.86 9.82 15.24 15.92 93.27 20.09 10.25 68.08 7.70
 

Mar '13

Mar '12

Mar '11

Mar '10

Mar '09

-- 3.63 7.21 8.03 7.24 16.34 10.54 8.86 9.82 15.24 15.92 93.27 20.09 10.25 68.08 7.70

Earnings Per Share

25.70

2.68

14.93

39.81

4.64

Book Value

180.70

163.32

174.07

168.88

140.24

54