6th Sem Project PDF

SCHOOL OF MANAGEMENT STUDIES
A Project Report
On
FINANCIAL STATEMENT ANALYSIS

Submitted in fulfillment of the requirements for the award of the Degree of
BACHELOR OF BUSINESS ADMINISTRATION
Submitted by
MANISH KUMAR
(SRN:R15BM119 )
Under the guidance of
AISHWARYA H.
April 2018
Rukmini Knowledge park , Kattigenahalli, Yelahanka, Bengaluru-560064

www.reva.edu.in
SCHOOL OF MANAGEMENT STUDIES
A Project Report
On

Submitted in fulfillment of the requirements for the award of the Degree of
BACHELOR OF BUSINESS ADMINISTRATION
Submitted by
MANISH KUMAR
(SRN:R15BM119 )
Under the guidance of
AISHWARYA H.
April 2018
Rukmini Knowledge park , Kattigenahalli, Yelahanka, Bengaluru-560064

www.reva.edu.
DECLARATION
I, Mr./Ms. (MANISH KUMAR ), hereby declare that Dissertation entitled “FINANCIAL

STATEMENT ANALYSIS” with reference to “TOTAL SHIPPING AND LOGISTICS
PVT. LTD., MUMBAI” prepared by me under the supervision of AISHWARYA. H,
School of Management Studies, REVA University.
I am submitting this Dissertation project in partial fulfillment of the university regulations for
the award of degree of Bachelor of Business Administration during the academic year 2017-
18, School of Management Studies, REVA University, Bengaluru.
I have undergone Dissertation project for a period of twelve weeks. I further declare that this
project is based on the original study undertaken by me and has not been submitted for the
award of any degree/diploma from any other University/Institution.
Signature of the Student
Place: Bangalore. Student Name –Manish kumar
Date: SRN-R15bm119
ACKNOWLEDGEMENT
This is a matter of pleasure for me to acknowledge my deep sense of gratitude to

REVA UNIVERSITY and School of Management Studies for giving me an opportunity to
explore my abilities via this Dissertation.
I would like to express my sincere gratitude to my guide PROF AISHWARYA. H

for her valuable guidance and advice in completing this organisation study.
Let me take this opportunity to thank School Director, Dr. Shubha A for the whole
hearted support extended to me throughout the conduct of the study. Madam gave me lot of
inputs and suggestions to bring out the best in me. The encouraging words that have been
extended were great boost for the completion of this work.
I would like to record my sincere appreciation and gratitude towards all the officials
and employees of TOTAL SHIPPING AND LOGISTICS PVT. LTD., without whose kind
assistance, my Dissertation would not have succeeded.
I am also very thankful and grateful towards my seniors, colleagues and authorities of
School of Management Studies, REVA UNIVERSITY for their support, encouragement, and
valuable suggestions for the completion of this organisation study.
Last but not the least, I would like to express my sincere thanks to my family
members, friends for their immense support and best wishes throughout the study and the
preparation of this report.
MANISH KUMAR
\
TABLE OF CONTENTS
CHAPTER CONTENTS PAGE NO.

NO.
EXECUTIVE SUMMARY
1. INTRODUCTION TO THE TOPIC 1-8
2. INDUSTRY PROFILE AND 9-36

COMPANY PROFILE
3. RESEARCH METHODOLOGY 37-42
4. DATA ANALYSIS AND 43-59

INTERPRETATION
5. FINDINGS, SUGGESTIONS & 60-62

CONCLUSIONS
ANNEXURE AND
BIBLIOGRAPHY
EXECUTIVE SUMMARY
Total Shipping & Logistics Pvt. Ltd. is expertised in International Freight Forwarding,
Custom Clearance at all Major Sea / Air Ports & ICDs, handling warehousing & distribution
at 45 locations with 1 million sq ft space across India. The Company is also has accredited
Bonded Warehouse at Mumbai & Delhi. The Company is also expertise in handling cross
border clearance at Benapole &Raxual Border. .
Surat Goods Transport Private Limited is diversified into service of Road Transportation
handling normal, Over Dimensional and Project Cargoes. The Company has a network of 150
offices in India, with complete range of modernized fleet of trailers, trucks, cranes, forklifts
and elaborate ground infrastructure for undertaking multiple logistics-related operations
throughout the country. In 1998, the parent company formed Total Shipping and Logistics
Pvt. Ltd. with a view to specialize as solutions providers for integrated logistics. In spite of
being comparatively new to the logistics industry, Total Shipping and Logistics Pvt. Ltd.
witnessed dramatic growth over a short span of time, spreading its roots firmly across the
industry.
Balance sheet is the most significant financial statement. It indicates the financial condition
or the state of affairs of a business at a particular point of time. More specifically, balance
sheet contains information about resources and obligations of a business entity. It provides a
snapshot of the financial position of the firm at the close of the firms accounting period.
Ratio analysis is a powerful tool for financial analysis. In financial analysis, ratio is used as a
benchmark for evaluating the financial position and performance of a firm. Ratio helps to
summarize large quantities of financial data and to make qualitative judgment of the firm’s
financial performance.
MAIN OBJECTIVES OF MY STUDY
 To interpret the financial ratios and their significance.

 To know the present financial status of TOTAL SHIPPING AND LOGISTICS PVT. LTD
THE MAIN FINDINGS OF MY STUDY
 Fixed asset turnover ratio has been decreased.

 The gross profit ratio show the organization gross profit increasing year by year.
 It was found the inventory turnover ratio is on increasing trend seeing the ideal ratio
of the company has maintained reasonable amount of stock in the year.
THE MAIN CONCLUSIONS OF MY STUDY
 Operating expenses increasing but not tandem with sales and therefore the same is
affecting the bottom line of the company.
 The debtor turnover ratio is increase compares to past three year ratio, which is not a
good signal for the company.
 Net asset turnover ratio is decreased i.e., the asset not optimally utilised by the
company.
CHAPTER I
INTRODUCTION
FINANCIAL ANALYSIS
Financial Analysis is defined as being the process of identifying financial strength and
weakness of a business by establishing relationship between the elements of balance sheet
and income statement. The information pertaining to the financial statements is of great
importance through which interpretation and analysis is made. It is through the process of
financial analysis that the key performance indicators, such as, liquidity solvency,
profitability as well as the efficiency of operations of a business entity may be ascertained,
while short term and long term prospects of a business may be evaluated. Thus, identifying
the weakness, the intent is to arrive at recommendations as well as forecasts for the future of
a business entity.
Financial analysis focuses on the financial statements, as they are a disclosure of a financial
performance of a business entity. “A Financial Statement is an organized collection of
data according to logical and consistent accounting procedures. Its purpose is to convey
an understanding of some financial aspects of a business firm. It may show assets
position at a moment of time as in the case of balance sheet, or may reveal a series of
activities over a given period of times, as in the case of an income statement.”
Since there is recurring need to evaluate the past performance, present financial position, the
position of liquidity and to assist in forecasting the future prospects of the organization,
various financial statements are to be examined in order that the forecast on the earnings may
be made and the progress of the company be ascertained.
The financial statements are: Income statement, balance sheet, statement of earnings,
statement of changes in financial position and the cash flow statement. The income
statement, having been termed as profit and loss account is the most useful financial
statement to enlighten what has happened to the business between the specified time intervals
while showing, revenues, expenses gains and losses. Balance sheet is a statement which
shows the financial position of a business at certain point of time. The distinction between
income statement and the balance sheet is that the former is for a period and the latter
indicates the financial position on a
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particular date. However, on the basis of financial statements, the objective of financial
analysis is to draw information to facilitate decision making, to evaluate the strength and the
weakness of a business, to determine the earning capacity, to provide insights on liquidity,
solvency and profitability and to decide the future prospects of a business entity.
There are various types of financial analysis. They are briefly mentioned herein:
External analysis: The external analysis is done on the basis of published financial
statements by those who do not have access to the accounting information, such
as, stock holders, banks, creditors, and the general public.
Internal Analysis: This type of analysis is done by finance and accounting department. The
objective of such analysis is to provide the information to the top management, while
assisting in the decision making process.
Short term Analysis: It is concerned with the working capital analysis. It involves the
analysis of both current assets and current liabilities, so that the cash position (liquidity) may
be determined.
Horizontal Analysis: The comparative financial statements are an example of horizontal

analysis, as it involves analysis of financial statements for a number of years. Horizontal
analysis is also regarded as Dynamic Analysis.
Vertical Analysis: it is performed when financial ratios are to be calculated for one year
only. It is also called as static analysis.
An assortment of techniques is employed in analyzing financial statements. They

are: Comparative Financial Statements, statement of changes in working capital, common
size balance sheets and income statements, trend analysis and ratio analysis.
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Comparative Financial Statements: It is an important method of analysis which is used to

make comparison between two financial statements. Being a technique of horizontal analysis
and applicable to both financial statements, income statement and balance sheet, it provides
meaningful information when compared to the similar data of prior periods. The comparative
statement of income statements enables to review the operational performance and to draw
conclusions, whereas the balance sheets, presenting a change in the financial position during
the period, show the effects of operations on the assets and liabilities. Thus, the absolute
change from one period to another may be determined.
Statement of Changes in Working Capital: The objective of this analysis is to extract

the information relating to working capital. The amount of net working capital is determined
by deducting the total of current liabilities from the total of current assets. The statement of
changes in working capital provides the information in relation to working capital between
two financial periods.
Common Size Statements: The figures of financial statements are converted to percentages.
It is performed by taking the total balance sheet as 100. The balance sheet items are
expressed as the ratio of each asset to total assets and the ratio of each liability to total
liabilities. Thus, it shows the relation of each component to the whole - Hence, the name
common size.
Trend Analysis: It is an important tool of horizontal analysis. Under this analysis, ratios of
different items of the financial statements for various periods are calculated and the
comparison is made accordingly. The analysis over the prior year’s indicates the trend or
direction. Trend analysis is a useful tool to know whether the financial health of a business
entity is improving in the course of time or it is deteriorating.
Ratio Analysis: The most popular way to analyze the financial statements is computing
ratios. It is an important and widely used tool of analysis of financial statements. While
developing a meaningful relationship between the individual items or group of items of
balance sheets and income statements, it highlights the key performance indicators, such
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as, liquidity, solvency and profitability of a business entity. The tool of ratio analysis
performs in a way that it makes the process of comprehension of financial statements simpler,
at the same time, it reveals a lot about the changes in the financial condition of a business
entity.
It must be noted that Financial analysis is a continuous process being applicable to every
business to evaluate its past performance and current financial position. It is useful in various
situations to provide managers the information that is needed for critical decisions. The
process of financial analysis provides the information about the ability of a business entity to
earn income while sustaining both short term and long term growth.
RATIO ANALYSIS:
Ratio Analysis can be defined as the study and interpretation of relationship between various
financial variables, by investors or lenders. It is a quantitative investment technique used for
comparing a company’s financial performance to the marketing general. It helps to identify
areas where the management needs to change. Financial ratio analysis is the calculation and
comparison of ratios which are derived from the information in a company’s financial
statements. Financial ratios are calculated from one or more pieces of information from a
company’s financial statements.
Advantages of Ratio Analysis
1. Simplifies Financial Statements : Ratio analysis simplifies the comprehensiveness

of financial statement. Ratio elaborates whole story of changes in the condition of the
business.
2. To Improve Future Performance : Ratio analysis indicates weak spot of the
business. This helps the management in overcoming such weakness and improving
the overall performance of the business in future
3 .Facilitates Inter-firm comparison : Ratio analysis provides data for inter firm
Comparison. Ratio highlights the factors associated with successful and unsuccessful
firms. They also reveal strong firms and weak firms, over-valued and under- valued
firms.
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4 .Make inter firm comparison: Ratio analysis makes possible comparison of the
Performances of the different division of firm. The ratio is helpful in deciding about
their efficiency or otherwise in the past and likely performance in the future.
5 Helps in planning : Ratio analysis helps in planning and forecasting. Over a Period
of time a firm or industry develops certain norms that may indicate future success or
failure.
6 Useful of judging the efficiency of a business: It helps in judging the efficiency of
business liquidity, solvency, profitability etc, of business can be easily evaluated with
helps of various accounting ratio like current ratio, liquid ratio , debt equity ratio and
net profit ratio etc, such an evaluation enables the management to judge the operating
efficiency of the various aspects of business.
Limitation of the ratio analysis:
1. Comparative study required : Ratio are useful in judging the efficiency of the business
only when they are compared with past results of the business or with result of a similar
business. However, such comparison only provides a glimpse of the past performance and
forecasting for may not be correct since several other factors market conditions, management
policies, etc may affect the future operation.
2.Limitation of financial statement : Ratio are based only on the information which has
been recorded in the financial statement and they suffer from number of limitation, the ratios
derived there from, therefore, are also subject to those limitation, For example non financial
changes though important for the business are not revealed by financial statement. The
comparison of one firm with another on the basis of ratio analysis without taking into account
the fact of companies having different accounting policies, will be misleading and
meaningless.
3. Ratio alone is not adequate : Ratio is only indicator; they cannot be taken as final
regarding good or bad financial position of the business. Other things have also to be seen
.The value of ratio should not be regarded as good or bad.
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Classification of Ratio:
Ratio can be classified into different categories depending upon the basis of classification.
The traditional classification has been on the basis of the financial statement to which the
determinants of a ratio belong. On the basis the ratio could be classified as,
 Profit and loss account Ratio

 Balance sheet Ratio
Composite Ratio However the above basis of classification has been found to be crude and
Unsuitable because analysis of balance sheet and Income statement cannot be done in
isolation. They have to be studied together in order to determine the profitability and
solvency of the business. They are now classified as:
Financial ratio :Financial ratio indicates about the financial position of the company. A
company is deemed to be financially sound, if it is in position to carry on its business
smoothly and meet all its obligation both long- term as well as short -term without strain.
Thus, companyfinancial position has to be judged in two ways long term as well as short-
term.
A.) Liquidity Ratio
1. Current Ratio
2. Quick Ratio
3. Absolute liquidity Ratio / Cash Ratio
4. Working Capital Ratio
B.) Capital structure Ratio
1. Debt Ratio
2. Debt equity Ratio
3. Proprietary Ratio
4. Interest Coverage Ratio2.
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2.) Turnover Ratio
:a. Inventory Turnover ratio
b. Debtor Turnover Ratio
c. Creditor Turnover Ratio
d. Asset Turnover Ratio
1. Net Asset Turnover Ratio
2. Total asset Turnover Ratio
3. Fixed Asset Turnover Ratio
4. Current Asset Turnover Ratio
5. Working capital Turnover ratio
3.) Profitability Ratio
a.) Profitability In Relation To Sales
1. Gross Profit Ratio
2. Net Profit Ratio
3. Operating Expenses Ratio
4. Operating Ratio
b.) Profitability In Relation To Investment
1. Return on Investment
2. Return on Equity
3. Earning Per Ratio
4. Dividend Per Ratio
5. Dividend Payout Ratio
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Turnover Ratio:
Funds of creditor and owners are invested in various assets to generate sales and profit. The
better the management of asset, the larger the amount of sales, Turnover ratio are employed
to evaluate the efficiency with which the firm manages and utilizes its assets. These ratios are
also called as “Activity ratio”.
Turnover ratio indicates the speed with which are being converted or turn over into sales.
Asset Turnover ratio:
Assets are used to generate sales. Therefore a firm should manage its assets efficiently to
maximize sales. The relationship between sales and assets is called asset turnover. Several
asset turnover ratios can be calculated.
Net asset turnover:
It is computed by dividing sales by net assets
Net Asset Turnover = Net Sales/Net Assets
Net Asset= net fixed asset + net current assets (Current assets less Current liabilities)
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CHAPTER 2
INDUSTRY AND COMPANY

PROFILE
FINACIAL STATEMENT ANALYSIS
INDUSTRY PROFILE
Logistics is generally the detailed organization and implementation of a complex operation.

In a general business sense, logistics is the management of the flow of things between the
point of origin and the point of consumption in order to meet requirements of customers or
corporations. The resources managed in logistics can include physical items such as food,
materials, animals, equipment, and liquids; as well as abstract items, such as time and
information. The logistics of physical items usually involves the integration of information
flow, materials handling, production, packaging, inventory, transportation, warehousing, and
often security.
In military science, logistics is concerned with maintaining army supply lines while
disrupting those of the enemy, since an armed force without resources and transportation is
defenseless. Military logistics was already practiced in the ancient world and as modern
military have a significant need for logistics solutions, advanced implementations have been
developed. In military logistics, logistics officers manage how and when to move resources to
the places they are needed.
Logistics management is the part of supply chain management that plans, implements, and
controls the efficient, effective forward, and reverse flow and storage of goods, services, and
related information between the point of origin and the point of consumption in order to meet
customer's requirements. The complexity of logistics can be modeled, analyzed, visualized,
and optimized by dedicated simulation software. The minimization of the use of resources is
a common motivation in all logistics fields. A professional working in the field of logistics
management is called a logistician.
Origins and Definitions
The prevalent view is that the term logistics comes from the late 19th century: from French
logistic (loger means to lodge) and was first used by Baron de Jomini. Others attribute a
Greek origin to the word: όγος, meaning reason or speech; ογ ός, meaning accountant
or responsible for counting.
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The Oxford English Dictionary defines logistics as "the branch of military science relating to
procuring, maintaining and transporting material, personnel and facilities". However, the
New Oxford American Dictionary defines logistics as "the detailed coordination of a
complex operation involving many people, facilities, or supplies," and the Oxford Dictionary
on-line defines it as "the detailed organization and implementation of a complex operation".,
As such, logistics is commonly seen as a branch of engineering that creates "people systems"
rather than "machine systems."
According to the Council of Supply Chain Management Professionals (previously the

Council of Logistics Management) logistics is the process of planning, implementing and
controlling procedures for the efficient and effective transportation and storage of goods
including services and related information from the point of origin to the point of
consumption for the purpose of conforming to customer requirements and includes inbound,
outbound, internal and external movements.
Academics and practitioners traditionally refer to the terms operations or production

management when referring to physical transformations taking place in a single business
location (factory, restaurant or even bank clerking) and reserve the term logistics for activities
related to distribution, that is, moving products on the territory. Managing a distribution
center is seen, therefore, as pertaining to the realm of logistics since, while in theory the
products made by a factory are ready for consumption they still need to be moved along the
distribution network according to some logic, and the distribution center aggregates and
processes orders coming from different areas of the territory. That being said, from a
modeling perspective, there are similarities between operations management and logistics,
and companies sometimes use hybrid professionals, with for ex. "Director of Operations" or
"Logistics Officer" working on similar problems. Furthermore, the term supply chain
management originally refers to, among other issues, having an integrated vision in of both
production and logistics from point of origin to point of production.All these terms may
suffer from semantic change as a side effect of advertising
logistics is one of the primary processes of logistics concentrating on purchasing and

arranging the inbound movement of materials, parts, or unfinished inventory from suppliers
to manufacturing or assembly plants, warehouses, or retail stores.
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Outbound logistics is the process related to the storage and movement of the final product
and the related information flows from the end of the production line to the end user.
Given the services performed, logisticians, the main fields of logistics can be broken down as
follows:
 Procurement logistics
 Distribution logistics
 After-sales logistics
 Disposal logistics
 Reverse logistics
 Green logistics
 Global logistics
 Domestics logistics
 Concierge Service
 RAM logistics
 Asset Control Logistics
 POS Material Logistics
 Emergency Logistics
 Production Logistics
 Construction Logistics
 Capital Project Logistics
 Digital Logistics
Loading of a thermal oxidizer at the point of origin en route to a manufacturing plant
Procurement logistics consists of activities such as market research, requirements planning,

make-or-buy decisions, supplier management, ordering, and order controlling. The targets in
procurement logistics might be contradictory: maximizing efficiency by concentrating on
core competences, outsourcing while maintaining the autonomy of the company, or
minimizing procurement costs while maximizing security within the supply process.
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Advance Logistics consists of the activities required to set up or establish a plan for logistics
activities to occur.
Distribution logistics has, as main tasks, the delivery of the finished products to the customer.
It consists of order processing, warehousing, and transportation. Distribution logistics is
necessary because the time, place, and quantity of production differs with the time, place, and
quantity of consumption.
Disposal logistics has as its main function to reduce logistics cost(s) and enhance service(s)
related to the disposal of waste produced during the operation of a business.
Reverse logistics denotes all those operations related to the reuse of products and materials.
The reverse logistics process includes the management and the sale of surpluses, as well as
products being returned to vendors from buyers. Reverse logistics stands for all operations
related to the reuse of products and materials. It is "the process of planning, implementing,
and controlling the efficient, cost effective flow of raw materials, in-process inventory,
finished goods and related information from the point of consumption to the point of origin
for the purpose of recapturing value or proper disposal. More precisely, reverse logistics is
the process of moving goods from their typical final destination for the purpose of capturing
value, or proper disposal. The opposite of reverse logistics is forward logistics."
Green Logistics describes all attempts to measure and minimize the ecological impact of
logistics activities. This includes all activities of the forward and reverse flows. This can be
achieved through intermodal freight transport, path optimization, vehicle saturation and city
logistics.
RAM Logistics (see also Logistic engineering) combines both business logistics and military
logistics since it is concerned with highly complicated technological systems for which
Reliability, Availability and Maintainability are essential, ex: weapon systems and military
supercomputers.
Asset Control Logistics: companies in the retail channels, both organized retailers and
suppliers, often deploy assets required for the display, preservation, promotion of their
products. Some examples are refrigerators, stands, display monitors, seasonal equipment,
poster stands & frames.
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A forklift truck loads a pallet of humanitarian aid to Pakistan on board a C-17 aircraft,
following devastating floods in the country in 2010.
Emergency logistics (or Humanitarian Logistics) is a term used by the logistics, supply chain,
and manufacturing industries to denote specific time-critical modes of transport used to move
goods or objects rapidly in the event of an emergency. The reason for enlisting emergency
logistics services could be a production delay or anticipated production delay, or an urgent
need for specialized equipment to prevent events such as aircraft being grounded (also known
as "aircraft on ground"—AOG), ships being delayed, or telecommunications failure.
Humanitarian logistics involves governments, the military, aid agencies, donors, non-
governmental organizations and emergency logistics services are typically sourced from a
specialist provider.
The term production logistics describes logistic processes within a value adding system (ex:
factory or a mine). Production logistics aims to ensure that each machine and workstation
receives the right product in the right quantity and quality at the right time. The concern is
with production, testing, transportation, storage and supply. Production logistics can operate
in existing as well as new plants: since manufacturing in an existing plant is a constantly
changing process, machines are exchanged and new ones added, which gives the opportunity
to improve the production logistics system accordingly. Production logistics provides the
means to achieve customer response and capital efficiency. Production logistics becomes
more important with decreasing batch sizes. In many industries (e.g. mobile phones), the
short-term goal is a batch size of one, allowing even a single customer's demand to be
fulfilled efficiently. Track and tracing, which is an essential part of production logistics due
to product safety and reliability issues, is also gaining importance, especially in the
automotive and medical industries.
Construction Logistics is known to mankind since ancient times. As the various human
civilizations tried to build the best possible works of construction for living and protection.
Now the construction logistics emerged as vital part of construction. In the past few years
construction logistics has emerged as a different field of knowledge and study within the
subject of supply chain management and logistics.
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Digital logistics is driven by a new generation of web-based, enterprise logistics applications

that enable collaboration and optimization, leveraging a central logistics information
backbone that provides visibility across the enterprise and extended supply chain.
Military logistics
Punjab Regiment uses mules for carrying cargo in Burma during WWII. Animals have been
used for logistic purposes by different people throughout history; the Roman army in
particular preferred mules over donkeys for their moving capacity.
In military science, maintaining one's supply lines while disrupting those of the enemy is a
crucial—some would say the most crucial—element of military strategy, since an armed
force without resources and transportation is defenseless. The historical leaders Hannibal,
Alexander the Great, and the Duke of Wellington are considered to have been logistical
geniuses: Alexander's expedition, the longest military campaign ever undertaken, benefited
consiberably from his meticulous attention to the provisioning on his army, Hannibal is
credited to have "taught logistics" to the Romans during the Punic Wars and the success of
the Anglo-Portuguese army in the Peninsula War was the due to the effectiveness of
Wellington's supply system, despite the numerical disadvantage.The defeat of the British in
the American War of Independence and the defeat of the Axis in the African theater of World
War II are attributed by some scholars to logistical failures.
Military have a significant need for logistics solutions and so have developed advanced
implementations. Integrated Logistics Support (ILS) is a discipline used in military industries
to ensure an easily supportable system with a robust customer service (logistic) concept at the
lowest cost and in line with (often high) reliability, availability, maintainability, and other
requirements, as defined for the project.
In military logistics, logistics officers manage how and when to move resources to the places
they are needed.
Supply chain management in military logistics often deals with a number of variables in
predicting cost, deterioration, consumption, and future demand. The United States Armed
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Forces' categorical supply classification was developed in such a way that categories of
supply with similar consumption variables are grouped together for planning purposes. For
instance, peacetime consumption of ammunition and fuel will be considerably lower than
wartime consumption of these items, whereas other classes of supply such as subsistence and
clothing have a relatively consistent consumption rate regardless of war or peace.
Some classes of supply have a linear demand relationship: as more troops are added, more
supply items are needed; or as more equipment is used, more fuel and ammunition are
consumed. Other classes of supply must consider a third variable besides usage and quantity:
time. As equipment ages, more and more repair parts are needed over time, even when usage
and quantity stays consistent. By recording and analyzing these trends over time and applying
them to future scenarios, the US Armed Forces can accurately supply troops with the items
necessary at the precise moment they are needed. History has shown that good logistical
planning creates a lean and efficient fighting force. The lack thereof can lead to a clunky,
slow, and ill-equipped force with too much or too little supply.
Business logistics
A forklift stacking a logistics provider's warehouse of goods on pallets
One definition of business logistics speaks of "having the right item in the right quantity at
the right time at the right place for the right price in the right condition to the right customer".
Business logistics incorporates all industry sectors and aims to manage the fruition of project
life cycles, supply chains, and resultant efficiencies.
The term "business logistics" has evolved since the 1960s due to the increasing complexity of
supplying businesses with materials and shipping out products in an increasingly globalized
supply chain, leading to a call for professionals called "supply chain logisticians".
In business, logistics may have either an internal focus (inbound logistics) or an external
focus (outbound logistics), covering the flow and storage of materials from point of origin to
point of consumption (see supply-chain management). The main functions of a qualified
logistician include inventory management, purchasing, transportation, warehousing,
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consultation, and the organizing and planning of these activities. Logisticians combine a
professional knowledge of each of these functions to coordinate resources in an organization.
There are two fundamentally different forms of logistics: one optimizes a steady flow of
material through a network of transport links and storage nodes, while the other coordinates a
sequence of resources to carry out some project (e.g., restructuring a warehouse).
Nodes of a distribution network
The nodes of a distribution network include:
Factories where products are manufactured or assembled
A depot or deposit is a standard type of warehouse thought for storing merchandise (high
level of inventory).
Distribution centers are for order processing and order fulfillment (lower level of inventory)
and also for receiving returning items from clients.
Transit points are built for cross docking activities, which consist in reassembling cargo units
based on deliveries scheduled (only moving merchandise).
Traditional retail stores of the Mom and Pop variety, modern supermarkets, hypermarkets,
discount stores or also voluntary chains, consumers' co-operative, groups of consumer with
collective buying power. Note that subsidiaries will be mostly owned by another company
and franchisers, although using other company brands, actually own the point of sale.
There may be some intermediaries operating for representative matters between nodes such
as sales agents or brokers.
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Logistic families and metrics
A logistic family is a set of products which share a common characteristic: weight and
volumetric characteristics, physical storing needs (temperature, radiation,...), handling needs,
order frequency, package size, etc. The following metrics may be used by the company to
organize its products in different families:
Physical metrics used to evaluate inventory systems include stocking capacity, selectivity,
superficial utilization, volumetric utilization, transport capacity, transport capacity utilization.
Monetary metrics used include space holding costs (building, shelving and services) and
handling costs (people, handling machinery, energy and maintenance).
Other metrics may present themselves in both physical or monetary form, such as the
standard Inventory turnover.
Handling and order processing
Unit loads for transportation of luggage at the airport. In this case the unit load has protective
function. Unit loads are combinations of individual items which are moved by handling
systems, usually employing a pallet of normed dimensions.
Handling systems include: trans-pallet handlers, counterweight handler, retractable mast

handler, bilateral handlers, trilateral handlers, AGV and stacker handlers. Storage systems
include: pile stocking, cell racks (either static or movable), cantilever racks and gravity racks.
Order processing is a sequential process involving: processing withdrawal list, picking

(selective removal of items from loading units), sorting (assembling items based on
destination), package formation (weighting, labeling and packing), order consolidation
(gathering packages into loading units for transportation, control and bill of lading).
Picking can be both manual or automated. Manual picking can be both man to goods, i.e.
operator using a cart or conveyor belt, or goods to man, i.e. the operator benefiting from the
presence of a mini-load ASRS, vertical or horizontal carousel or from an Automatic Vertical
Storage System (AVSS). Automatic picking is done either with dispensers or depalletizing
robots.
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Sorting can be done manually through carts or conveyor belts, or automatically through
sorters.
Transportation
Cargo, i.e. merchandise being transported, can be moved through a variety of transportation
means and is organized in different shipment categories. Unit loads are usually assembled
into higher standardized units such as: ISO containers, swap bodies or semi-trailers.
Especially for very long distances, product transportation will likely benefit from using
different transportation means: multimodal transport, intermodal transport (no handling) and
combined transport (minimal road transport). When moving cargo, typical constraints are
maximum weight and volume.
Operators involved in transportation include: all train, road vehicles, boats, airplanes
companies, couriers, freight forwarders and multi-modal transport operators.
Merchandise being transported internationally is usually subject to the Incoterms standards

issued by the International Chamber of Commerce.
Configuration and management
Push-back rack for motorcycles, a LIFO rack system for storage
Similarly to production systems, logistic systems need to be properly configured and

managed. Actually a number of methodologies have been directly borrowed from operations
management such as using Economic Order Quantity models for managing inventory in the
nodes of the network. Distribution resource planning (DRP) is similar to MRP, except that it
doesn't concern activities inside the nodes of the network but planning distribution when
moving goods through the links of the network.
Traditionally in logistics configuration may be at the level of the warehouse (node) or at level
of the distribution system (network).
Regarding a single warehouse, besides the issue of designing and building the warehouse,
configuration means solving a number of interrelated technical-economic problems:
dimensioning rack cells, choosing a palletizing method (manual or through robots), rack
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dimensioning and design, number of racks, number and typology of retrieval systems (e.g.
stacker cranes). Some important constraints have to be satisfied: fork and load beams
resistance to bending and proper placement of sprinklers. Although picking is more of a
tactical planning decision than a configuration problem, it is important to take it into account
when deciding the racks layout inside the warehouse and buying tools such as handlers and
motorized carts since once those decisions are taken they will work as constraints when
managing the warehouse, same reasoning for sorting when designing the conveyor system or
installing automaticdispensers.
Configuration at the level of the distribution system concerns primarily the problem of
location of the nodes in a geographic space and distribution of capacity among the nodes. The
first may be referred to as facility location (with the special case of site selection) while the
latter to as capacity allocation. The problem of outsourcing typically arises at this level: the
nodes of a supply chain are very rarely owned by a single enterprise. Distribution networks
can be characterized by numbers of levels, namely the number of intermediary nodes between
supplier and consumer:
Direct store delivery, i.e. zero levels
One level network: central warehouse
Two level network: central and peripheral warehouses
This distinction is more useful for modeling purposes, but it relates also to a tactical decision
regarding safety stocks: considering a two level network, if safety inventory is kept only in
peripheral warehouses then it is called a dependent system (from suppliers), if safety
inventory is distributed among central and peripheral warehouses it is called an independent
system (from suppliers). Transportation from producer to the second level is called primary
transportation, from the second level to consumer is called secondary transportation.
Although configuring a distribution network from zero is possible, logisticians usually have
to deal with restructuring existing networks due to presence of an array of factors: changing
demand, product or process innovation, opportunities for outsourcing, change of government
policy toward trade barriers, innovation in transportation means (both vehicles or
thoroughfares), introduction of regulations (notably those regarding pollution) and
availability of ICT supporting systems (e.g. ERP or e-commerce).
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Once a logistic system is configured, management, meaning tactical decisions, takes place,
once again, at the level of the warehouse and of the distribution network. Decisions have to
be made under a set of constraints: internal, such as using the available infrastructure, or
external, such as complying with given product shelf lifes and expiration dates.
At the warehouse level, the logistician must decide how to distribute merchandise over the
racks. Three basic situations are traditionally considered: shared storage, dedicated storage
(rack space reserved for specific merchandise) and class based storage (class meaning
merchandise organized in different areas according to their access index).
Airline logistic network. Denver works as a hub in the network.
Picking efficiency varies greatly depending on the situation.For man to goods situation, a
distinction is carried out between high level picking (vertical component significant) and low
level picking (vertical component insignificant). A number of tactical decisions regarding
picking must be made:
Routing path: standard alternatives include transversal routing, return routing, midpoint
routing and largest gap return routing
Replenishment method: standard alternatives include equal space supply for each product
class and equal time supply for each product class.
Picking logic: order picking vs batch picking
At the level of the distribution network, tactical decisions involve mainly inventory control
and delivery path optimization. Note that the logistician may be required to manage the
reverse flow along with the forward flow.
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Warehouse management and control
Although there is some overlap in functionality, warehouse management systems (WMS) can
differ significantly from warehouse control systems (WCS). Simply put, a WMS plans a
weekly activity forecast based on such factors as statistics and trends, whereas a WCS acts
like a floor supervisor, working in real time to get the job done by the most effective means.
For instance, a WMS can tell the system that it is going to need five of stock-keeping unit
(SKU)
A and five of SKU B hours in advance, but by the time it acts, other considerations may have
come into play or there could be a logjam on a conveyor. A WCS can prevent that problem
by working in real time and adapting to the situation by making a last-minute decision based
on current activity and operational status. Working synergistically, WMS and WCS can
resolve these issues and maximize efficiency for companies that rely on the effective
operation of their warehouse or distribution center.
Logistics outsourcing
Logistics outsourcing involves a relationship between a company and an LSP (logistic service
provider), which, compared with basic logistics services, has more customized offerings,
encompasses a broad number of service activities, is characterized by a long-term orientation,
and thus has a strategic nature.
Outsourcing does not have to be complete externalization to an LSP, but can also be partial:
A single contract for supplying a specific service on occasion
Creation of a spin-off
Creation of a joint venture
Third-party logistics (3PL) involves using external organizations to execute logistics

activities that have traditionally been performed within an organization itself. According to
this definition, third-party logistics includes any form of outsourcing of logistics activities
previously performed in house. For example, if a company with its own warehousing
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facilities decides to employ external transportation, this would be an example of third-party

logistics. Logistics is an emerging business area in many countries.
The concept of a fourth-party logistics (4PL) provider was first defined by Andersen
Consulting (now Accenture) as an integrator that assembles the resources, planning
capabilities, and technology of its own organization and other organizations to design, build,
and run comprehensive supply chain solutions. Whereas a third-party logistics (3PL) service
provider targets a single func, a 4PL targets management of the entire process. Some have
described a 4PL as a general contractor that manages other 3PLs, truckers, forwarders,
custom house agents, and others, essentially taking responsibility of a complete process for
the customer.
Horizontal alliances between logistics service providers
Horizontal business alliances often occur between logistics service providers, i.e., the
cooperation between two or more logistics companies that are potentially competing. In a
horizontal alliance, these partners can benefit twofold. On one hand, they can " resources
which are directly exploitable." In this example extending common transportation networks,
their warehouse infrastructure and the ability to provide more complex service packages can
be achieved by combining resources. On the other hand, partners can "access intangible
resources, which are not directly exploitable." This typically includes know-how and
information and, in turn, innovation.
Logistics automation
Automated storage and retrieval system used by the U.S. military, also used by business in
conjunction with manual picking.
Logistics automation is the application of computer software or automated machinery to

improve the efficiency of logistics operations. Typically this refers to operations within a
warehouse or distribution center with broader tasks undertaken by supply chain management
systems and enterprise resource planning systems.
Industrial machinery can typically identify products through either Bar Code or RFID
technologies. Information in traditional bar codes is stored as a sequence of black and white
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bars varying in width, which when read by laser is translated into a digital sequence, which
according to fixed rules can be converted into a decimal number or other data. Sometimes
information in a bar code can be transmitted through radio frequency, more typically radio
transmission is used in RFID tags. An RFID tag is card containing a memory chip and an
antenna which transmits signals to a reader. RFID may be found on merchandise, animals,
vehicles and people as well.
Logistics: profession and organizations
A logistician is a professional logistics practitioner. Professional logisticians are often

certified by professional associations. One can either work in a pure logistics company, such
as a shipping line, airport, or freight forwarder, or within the logistics department of a
company. However, as mentioned above, logistics is a broad field, encompassing
procurement, production, distribution, and disposal activities. Hence, career perspectives are
broad as well. A new trend in the industry are the 4PL, or fourth-party logistics, firms,
consulting companies offering logistics services.
Some universities and academic institutions train students as logisticians, offering

undergraduate and postgraduate programs. A university with a primary focus on logistics is
Kühne Logistics University in Hamburg, Germany. It is non profit and supported by Kühne-
Foundation of the logistics entrepreneur Klaus Michael Kühne.
The Chartered Institute of Logistics and Transport (CILT), established in the United
Kingdom in 1919, received a Royal Charter in 1926. The Chartered Institute is one of the
professional bodies or institutions for the logistics and transport sectors that offers
professional qualifications or degrees in logistics management. CILT programs can be
studied at centers around UK, some of which also offer distance learning options. The
institute also have overseas branches namely The Chartered Institute of Logistics & Transport
Australia (CILTA) in Australia and Chartered Institute of Logistics and Transport in Hong
Kong (CILTHK) in Hong Kong. In the UK, Logistics Management programs are conducted
by many universities and professional bodies such as CILT. These programs are generally
offered at the postgraduate level.
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The Global Institute of Logistics established in New York in 2003 is a Think Tank for the
profession and is primarily concerned with intercontinental maritime logistics. It is
particularly concerned with container logistics and the role of the seaport authority in the
maritime logistics chain.The Institute has developed a community of over 8,500 logisticians
who act a global knowledge network committed to supporting the Institute's mission of
contributing to the resolution of legacy challenges in global logistics. Challenges associated
with the traditional approach of managing single transport modes, modal systems as stand-
alone operations. The key to overcoming these legacy challenges is for the individual
stakeholder groups within the logistics chain to actively engage with each other. The
promotion of this agenda is the Institute's work.
The International Association of Public Health Logisticians (IAPHL) is a professional

network that promotes the professional development of supply chain managers and others
working in the field of public health logistics and commodity security, with particular focus
on developing countries. The association supports logisticians worldwide by providing a
community of practice, where members can network, exchange ideas, and improve their
professional skills.
Logistics museums
There are many museums in the world which cover various aspects of practical logistics.
These include museums of transportation, customs, packing, and industry-based logistics.
However, only the following museums are fully dedicated to logistics:
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COMPANY PROFILE
About the company
A well-established business group, Total Group took shape as a far-sighted venture conceived
and impeccably accomplished by visionary promoters.
Total Group is a Leading Integrated Logistics Company in India with a Group Turnover of
Rs. 700 crores, providing logistics support in Transportation, Custom Clearance, Freight
Forwarding, Warehousing/ Distribution. The Group is having PAN India Network and offices
in 4 countries – Hong Kong, China Shanghai, Sinagpore & Bhutan Border.
SURAT GOODS TRANSPORT PRIVATE LIMITED, was founded in the year 1963, by
Shri R. P. GUPTA. Today, the Company is an ISO 9002 certified organisation with over four
decades of multifaceted industry experience and expertise.
Surat Goods Transport Private Limited is diversified into service of Road Transportation
handling normal, Over Dimensional and Project Cargoes. The Company has a network of 150
offices in India, with complete range of modernized fleet of trailers, trucks, cranes, forklifts
and elaborate ground infrastructure for undertaking multiple logistics-related operations
throughout the country.
In 1998, the parent company formed Total Shipping and Logistics Pvt. Ltd. with a view to
specialize as solutions providers for integrated logistics. In spite of being comparatively new
to the logistics industry, Total Shipping and Logistics Pvt. Ltd. witnessed dramatic growth
over a short span of time, spreading its roots firmly across the industry.
Total Shipping & Logistics Pvt. Ltd. is expertised in International Freight Forwarding,
Custom Clearance at all Major Sea / Air Ports & ICDs, handling warehousing & distribution
at 45 locations with 1 million sq ft space across India. The Company is also has accredited
Bonded
Warehouse at Mumbai & Delhi. The Company is also expertise in handling cross border
clearance at Benapole &Raxual Border.
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Total Group acquired Inter freight Forwarders Pvt. Ltd. in the year 2007, which was
established in 1978 and has been accredited by the International Air Transport Association.
Inter freight is specialized in Air Cargo handling. Inter freight Forwarders Pvt. Ltd. handles
all types of cargoes ie. Perishable, AOG Operation consignments etc with critical time bound
delivery. Thus, Total Group gives Logistics Support Under One Roof.
VISION
 To achieve and sustain commercial success as logistics solutions

providers.
 To keep a steady focus on safety, dependability and quality service
to clients.
MISSION
 To emerge as a leading player in third party / fourth party logistics by providing

integrated supply chain solutions customised to client needs and aimed at fulfilling
complex distribution requirements
 To keep a steady focus on safety, dependability and quality service to clients.
 To optimize supply chain cost as a whole and also component services.
 To pioneer the use of technology in Logistics and aim for exponential growth and
market leadership in fourth party logistics.
 To become more competitive - by optimizing distribution cost, effective inventory
management and executing deliverables.
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VALUES
To take the entire logistics responsibility off the clients’ shoulders, thereby helping them
concentrate on their core activity.
 To create a positive and productive environment that’s built on trust,cooperation,

communication and mutual support.
 To create satisfied, long-term relationships with the customers aswell as employees by
meeting or exceeding their expectations.
 To make optimal utilisation of client’s time and resources.
 To cover the needs of Indian industry from origin to consumption.
 To offer tailor made, mission-critical services and solutions to clients.
 To provide innovative methods, through continuous monitoring anddevelopment of
standards based on quality, performance and cost.
Management Team
a. Vijay R Gupta - Group MD

b. Vishal V Gupta - JMD & CEO
c. Vivek V Gupta - Director
d. Robert Mascarenhas - Executive Director
e. P. G. S. Pillai - Executive Director
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Founder- Emeritus Director
“The World is Shrinking and Growing”
Today, the times have changed and - time has come on par with speed. One can cross
continents in less than a day. There are fewer borders today as cross-cultural barriers are
falling fast or getting scaled more easily. Infrastructure has caused change upheavals of a
nature not seen for many centuries. The world is producing and consuming more of
everything and growth is omnipresent.
As an organisation, we set out to create a firm that solved real problems in the real-world
transportation scenario. We hope to be different from all the other firms that have set similar
goals. We have thus set our vision and some ground rules to achieve these goals and we try
hard every day to stick to these principles, so that we can serve you better. In everything that
we do and in the many ways that we undertake to reach out to the customer, we strive to be
your trusted, preferred and long-term partners.
Milestones
2013 Surat Goods Transport Pvt Ltd. completed 50 years.
Bonded Warehouse at DELHI.
2011 Started operation at Singapore under “Total Freight Solution Pte Ltd”
2010 Build an Eye Hospital.
Entered into Coasting Shipping owning 3 Ship Bulk Carrier (SBC) named “PIONEER”
“PROSPERITY” &“PROGRESS”
2009 Become the Member of WCA Family of Logistics Network
2008 Bonded Warehouse at “PANVEL”
Origination of “Total Logistics HK Ltd” at Hongkong & China
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2007 Accredited by the "International Air Transport Association” under “Interfreight

Forwarders Pvt Ltd.
2006 MTO Registered
2003 International Freight Forwarding (Air & Sea)
2001 Commencement of Shipping Division – Custom Clearance at Mumbai & all other
major Airport / Sea Port
ISO Certified
1998 Initiation of Logistics Service – WAREHOUSING under “Total Shipping & Logistics
Pvt. Ltd” (formely named …”
1989 Formed “Rajendraprasad Charitable Trust”
1986 IBA Registered
1977 Company Incorporated & Registered as “Private Limited Company”
1972 1st ODC Consignment lifted from L&T Mumbai to Trivandrum Milk Diary
Transported 1st consignment Ex. Bombay to Surat.
1963 Inception of “Surat Goods Transport Service”
Corporate Social Responsibility
 The Group in 1989 formed “Rajendra Prasad Gupta Charitable Trust” to aid the needy
by helping the orphanage children’s to complete their education, Poor Accident
Victims and many other needy.
 The Group has opened an Ashram at “Haridwar” giving shelter to the Old Parents.
 In 2010 the company formed an Eye Hospital at Virandavan, where the eye treatments
are offered free.
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Services
1. Freight Forwarding
When the search is aimed at world class Freight Forwarding Services, then there are
very few alternatives available. We provide both types of freight forwarding services,
air freight forwarding and ocean freight forwarding. The terms like unique and
impressive appear out to be most appropriate, if one starts looking for the words to
describe the quality of service offered by us.
Our endeavor is to maximize its customer's delight by providing optimum quality
services within the stipulated time and at an economical cost. The quality of service
offered by us is simply unmatched and cost effective as well. "Efficiency with
Promptness" is the only phrase which can create right perception of the quality of
services provided by us. So feel free to come and join us for efficient and very
effective freight forwarding services provided by us.
We book space for import consignments and arrange all the shipping requirements of
our customers. Being agents for major shipping agencies at overseas, we are
authorized to handle the bill of lading, collect freight and other dues on behalf of
principles / agents to coordinate with consignees for delivery including transshipment
arrangements and to update
Total Shipping has a well-established global freight and trade network, offering a single-
source solution to manage and transport freight. With an extensive team of experts
supervising operations, Total Shipping offers the best fit solutions with its unparalleled
access to a vast agent network of air, ocean, rail or road transport facilities, all of which
provides its customers with faster and wider access to vital markets globally.
What's more is that, with the large volumes it handles, Logistic Integrators is also able to
offer to customers extremely competitive freight rates across multiple locations. Total
Shipping offers 24 hour services which includes all pre-shipment and post shipment
formalities, custom clearance of containerized, bulk, break-bulk and Project cargo.
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Our Unique Selling Prepositions are:
 Single Negotiable Documents.

 Door to Door Service.
 Ability to offer customized solutions based on individual customer requirements.
 Range of services that cover every aspect of supply chain solution.
 Wide international network of partners to expedite cargo movement.
 Excellent relationships with shipping lines to achieve priority shipping.
 Documentation Support System.
 Presence in co-related activities by partner companies, i.e. Shipping, Warehousing.
2. Custom Clearance
We Offer unparalleled Custom Broking Services. Since our inception, we have been growing
day by day as a trustworthy and popular Custom Broking services, offering world class
Custom Clearing facilities within India. It is our endeavor to enhance our customer's delight
by offering them right solution at right time.
The services include:
Import customs Clearance supporting i.e. HSN classification, rate of duty, preparation of bill
of entry, processing the customs clearance, assessment, customs examination and obtaining
release of consignments with monitoring the goods release in a safer condition/reporting
irregularities of damages/advising /surveying goods if necessary, so that our valued
customers get goods dispatch, delivery to the destination with proper advance information.
Export customs clearance i.e. Preparation of shipping bill (on the basis of shippers letter of
instruction), classification for drawback, DEPB or DEEC, receipt of goods, measurement,
weighment and also marking, labeling processing customs clearance, and facilitating for air
lift with international carriers.
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 Documentation for custom clearance

 Examination of Shipments
 Handles all types of Cargo (Haz& Non – Haz), Machinery, Project Cargoes, ISO
Tanks etc.,-
 Registration of the contract with customs for the project clearance.
 Custom clearance of the import cargo at the port of entry.
 Port handling and arranging bonded warehouse as and when required by the client.
 Well experienced services on SVB, High sea sales, re-import/export, Charter
engineering certification,
 DGFT licenses
 Suggestion for effective packing for economic handling and safety.
 Handling of stuffing & de-stuffing at Ports, ICD's and Customers warehouse.
 Door to Door, re-import and export of machines/engineering goods are our expertise
3. WAREHOUSING AND DISTRIBUTION

Total Shipping has warehousing space in key locations across the country. As part of
our basket of services enabling you to reduce overheads, increase efficiency and cut
down valuable management time.
Our warehousing services include:
 Reliable data-collection and reporting systems assures accurate information and

visibility on inventories and order processing using state of the art Warehouse
Management Systems (WMS) that can be interfaced with that of the customer.
 Storage, consolidation, repacking, documentation, labeling, invoicing, finished and
spares inventory management, distribution and service support, cross talking are all
services provided if required. Intergroup Shipping also handles all logistics activities
for spare parts including repair and reverse logistics, replacement, re-export and
scrapping.
 Modern well-equipped and scientific warehouses.

 Adequate insured private warehousing space.
 Safe storage of goods.
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 In plant Warehouse Management

 Control checks on entry & exit of goods.
 Warehouse space at the ICD's for storage of goods carted direct at these centers.
 Custom Bonded Warehouse at Mumbai & Delhi
4. SURFACE TRANSPORTATION
The Challenge of Total Shipping is to minimize costs, improve transport efficiencies,

overcome trade, technical and paper barriers, and apply improving technologies to ensure
completion of project requirements in the time allotted. At Total Shipping, we offer single
window services covering all aspects of integrated project.
Any size, any weight, anywhere, anyhow, anytime, everytime. That’s our forte in .
Transportation.
We Offer:
 Transportation of general cargo.

 Transportation of heavy and over dimensional consignment.
 Arranging all clearance from PWD / RTO / Police / Forest dept. etc.
 Feasibility study for the port and road for transportation of heavy and over-
dimensional cargo.
 Multi-modal transportation by road / rail / barge etc.
 Specialized transportation of very heavy consignments by hydraulic axle trailers.
 Civil engineering and structural engineering
 Design and fabrication of special structure.
 Unloading of cargo at site.
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5.) Multimodal transportation
The Cargo Industry is still an expanding market. The need for a

comprehensive logistics systems in transportation, communications and
information sector, continues to grow. Freight forwarding services alone are
no longer sufficient, special deals are to be initiated on regular intervals to lure
the customers to maintain them on permanent status, especially to cater to the
increasing needs of seasonal vendors.
This is with the object to provide most economical, smooth, reliable and
speedy carriage of shipments to various destinations on selected mode of
transport which must not only ensure hassle-free service but should render
sizable savings in the freight expenses. This vital information of costing must
arrive to the shipper well in advance to make proper planning in co-ordination
with logistic company.
5. Project cargo
Total Shipping Corporation of India is much capable for managing total logistics
solution for handling Project cargo which requires experienced / expertise, dedicated
and skilled personnels who are committed to resolve the problems professionally if
arises in extra ordinary circumstances and Total Shipping has the sense of knowledge
to ‘make things happen’.
We offer Project Cargo Services which includes planning, port feasibility studies,
conceptual design of port and other maritime transport projects, trade and traffic
forecasts, financing strategies. For the execution of these services ‘out of the box’
thinking is required in order to create and implement effective solutions. We use our
global network of dedicated project cargo specialists for the execution if these
services from power generation plants, petrochemical and oil refineries and steel mill
construction projects to the one - off heavy lift shipment.
We take up comprehensive cargo handling projects for our customers. Our services
include transportation of all machinery, raw materials, and other materials that might
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be required by the client. We offer these services in a package deal over a certain
period of time.
We are also able to offer customized services with our immense expertise and
industry experience. Handling project cargo requires relevant experience, equipment
& manpower.
We are well equipped with efficient and effective infrastructure facilities to handle all
types of project cargoes in India. We have experienced and specialized personnel for
project cargo logistics and have access to the full range of material handling
equipment such as cranes, lighters, heavy lift trucks for sea and overland operations.
We deliver on our promises with day-to-day activities that represent value for money,
quality, continuity, innovation and maximum reach, offering services that seamlessly
combine our expertise and experience in the shipping, logistics and marine fields.
Our services include :
 Cargo surveys
 Time defined service
 Documentation
 Insurance
 Loading and unloading
 Escort
 (Re)packing, stuffing, lashing and securing
 Customs clearance
 Transport and delivery
6. ODC Consignment
Total Shipping offers ODC cargo services as its core speciality service and ranks
among a very few of such specialized service providers Total Shipping seized its first
opportunity to accommodate an out-gage cargo into in-gage thus marking its entry in
ODC project division.
Total Shipping plays a key role in transport of ODC cargos by road all over India.
This was possible by leasing ODC trucks as required and by deploying its own
dedicated
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team to conduct road survey to give expertise suggestions for smooth movement of
the ODC cargos.
We specialize in providing customized solutions for the safe conveyance of over
dimensional, heavy and bulky cargo. We have been responsible for the movement of
cargo requiring unusual handling.
We can arrange for over-dimensional cargo to move overseas while lashed and
choked on flat racks or open-top containers. This is ideal for large equipment and
machinery.
For over-dimensional loads travelling over the road, we offer specialized heavy lift
forklifts, and the necessary equipment to secure them.
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CHAPTER 3
RESEARCH METHODOLOGY
Literature review:
In order to have proper insight into the various aspects of the problem under study, it will be
useful and imperative to review the studies conducted in the past. Till now, many studies
have been conducted on the different aspects to measuring the financial efficiency of public
and private sectors but it has been rarely tried to work on the problems of these undertakings
and suggested for taking out the one or two or some other aspects of finance or focus on other
industry. There is wide range of literature available on financial performance analysis of
different companies in conforming to its dynamic value and significance of intuitive nature.
A good dealing in analytical part of literature exists at broad levels like size and technology,
problem associated with productivity, financial performance, and capacity utilization.
Relevant existing literature and studies have been clipped below. A researcher has studied
this literature for gaining insight into the problem.
Hornby A.S. et al (2002) defines ratio as a “relation between two amount determined by
the number of times one contains the other”.
• Zafar S.M.Tariq & Khalid S.M (2012) the study explored that ratios are calculated from
financial statements which are prepared as desired policies adopted on depreciation and stock
valuation by the management. Ratio is simple comparison of numerator and a denominator
that cannot produce complete and authentic picture of business. Results are manipulated and
also may not highlight other factors which affect performance of firm by promoters.
• Mistry Dharmendra S. (2012) understood a study to analyze the effect of various

determinants on the profitability of the selected companies. It concluded that debt equity
ratio, inventory ratio, total assets were important determinants which effect positive or
negative effect on the profitability. It suggerted to improve solvency as to reduce fixed
financial burden on the company profit & give the benefit of trading on equity to the
shareholders.
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• Srivastava Anubha (2014) Data analysis has been done using the top down approach
,i.e. Economic analysis, industry analysis, company and technical analysis to find relationship
between automobile sector index with market index. Mahindra and Mahindra have a great
position on the stock market and will attract investor and this could lead to expansion and
growth.
• Agarwal, Nidhi (2015) the study focus on the comparative financial performance of
companies. The financial data and information required for the study are drawn from the
various annual reports of companies. The liquidity and leverage analysis of both the firms are
done. To analyze the leverage position four ratios are considered namely, capital gearing,
debt-equity, total debt and proprietary ratio. The result shows that company has to increase
the portion of proprietor’s fund in business to improve long term solvency position.
• Krishnaveni , M. & Vidya, R (2015) author has selected 87 companies out of 242
companies in capital line database to discuss the standard current ratio of automobile industry
is matched with tractor and four sectors like engine parts, lamps, gears and ancillaries with
standard norms. The study concludes that current and liquidity ratio of automobile industry is
matched with tractor and the four sectors but other sectors have to improve the repaying
capacity to strengthen the financial aspects.
• Takeh Ata & Navaprabha Jubiliy (2015) Author has made conceptual model to
outline the impact of capital structure on the financial performance i.e. capital structure is
independent variable that value is measured by using four ratios namely, financial debt, total
debt equity, total asset debt and interest coverage ratio where as financial performance is
dependent variable that value is measured by using four ratios as return on assets, return on
equity , operating profit margin and return on capital employed. Researcher has selected 13
major steel industries and applied various statistical tools like standard deviation, correlation
matrix, anova etc are employed for testing hypothesis.
• Kumar Rakesh Rasiklalajani & Bhatt Satyaki J. (2015) the proposed research
is intended to examine the trend and pattern of financing the capital structure of Indian
companies. The study is to analyze the determinants of total debt ratios as well as
determinants of short term and long term ratios.
38 | P a g e
• Kumar Mohan M.S, Vasu. V. and Narayana T. (2016) the study has been made
through using different ratios , mean, standard deviation and Altman’s Z score approach to
study the financial health of the company. The study reveals there is a positive correlation
between liquidity and profitability ratios except return on total assets as well as Z score value
indicate good health of the company.
Another author, Pandey (2005) defines ratio as “the indicated quotient of two mathematical
expression and as the relation between two or more things”. From the researcher’s point of
view, ratio can be defined as a mathematical expression that has a relationship between two
or more accounting figures, which makes the interpretation of financial statements
meaningful to the users. Furthermore, ratios are among the most popular and widely used tool
of financial analysis. They provide with clues and symptoms of underlying conditions. A
ratio can help us uncover conditions and trends difficult to detect by inspecting individual
component making up the ratio. Like other analytical tools, ratio are usually future oriented
that they are often adjusted for their probable future trend and magnitude. Usefulness of
ratios depends on our skilful interpretation of them, and is the most challenging aspect of
ratio analysis.
Research Methodology
METHODOLOGY:
Secondary Data:
 Establishment report of the organization.

 Some data from brief Note of the Company.
 Some information were collected though various Journals, books, Internet
 Annual report of the company.
39 | P a g e
OBJECTIVES OF THE STUDY
 To understand, analyze the basic concepts of financial statement.

 To interpret the financial ratios and their significance.
 To know the present financial status of TOTAL SHIPPING AND LOGISTICS PVT. LTD
 To provide suggestions for improve the financial position,
40 | P a g e
SCOPE OF THE STUDY
Since this is an academic project conducted within a short duration, the scope and
applicability of the study is not vast and extensive. Within the given constraints and
limitations the scope of study extends/limits itself to the following areas.
The results and findings of this study may be applicable to all medium sized financial
organizations or similar firms in the industry, in general.
The study covers almost all the component or the financial indicators, and an attempt is made
to analyse the overall financial performance, by calculating the different types of ratio.
The study is limited to a single organization only and no comparisons have been made with
other similar companies in the industry.
The study is based on the past/present trends, but it does not consider the future trends or
forecasts of the external environmental factors, which is beyond the scope of the study.
41 | P a g e
LIMITATION OF THE STUDY
 Limited use of single ratio:

A single ratio, usually, does not convey much of a sense. To make a better
interpretation numbers of ratios have to be calculated which is likely to confuse the
analyst than in will not help him in making any meaningful conclusion.
 Inherent limitation of accounting :
Like financial statement, ratio also suffers from the inherent weakness of accounting
records such as theirs historical nature.
 Limited Information:
The study depends upon the data which was available in the organization records and
information provided by the organization and its various department.
 Lack of adequate standards:
There are no well-accepted standards or rules for all ratios, which can be accepted as
norms. It renders interpretation of the ratios difficult.
 Limitation of time period:
Not the limitation of study was the time constraint. It was not possible to make an
extensive study so that the coverage confines to the period of past three financial year
only.
42 | P a g e
CHAPTER 4
ANALYSIS AND INTERPRETAION

OF DATA
1.) NET ASSET TURNOVER RATIO
TABLE NO. -01 REPRESENTING NET ASSET TURNOVER RATIO
Year Net sales Net Assets Net Asset Turnover

Ratio
2013-14 64202.81 58304.54 1.10
2014-15 70598.93 55016.45 1.28
2015-16 88196.68 62054.14 1.42
2016-17 112112.34 57550.08 1.95
[amt in lakhs]
From this table we can analyse that net assets turnover ratio is increased by 1.1, 1.28, 1.42
and 1.95 resp in the yr 2013-14, 2014-15, 2015-16, 2016-17.
43 | P a g e
CHART NO. - 01
chart representing net asset turnover ratio

2,5
1,5
0,5
0
2013-14 2014-15 2015-16 2016-2017
Series 1 Series 2 Column1
Interpretation
The trend is showing increament. NATR IN 2016-17 is 1.92 times comparing to 1.42 times in
2015-16. It indicates that the company is producing 1.95 times of sale for one rupee of capital
employeed in net assets.
44 | P a g e
2.) Profit Analysis of last 5 yrs
Profit of the company is identified by dividing the difference between two year profits
divided by net profit of an year, and this helps in finding the profit analysis of a company.
Profit = difference between 2 yr*100/ net profit
TABLE NO. – 02 REPRESENTING PROFIT ANALYSIS FROM 2012-2017
2011-2012 690.85*100/738.58 95.93

2012-2013
2012-2013 47.73*100/2862.14 60.34
2013-2014
2014-2015 2187.81*100/2909.87 75.18
2015-2016
2015-2016 991.8*100/5097.68 19.45
2016-2017
Interpretation
From the year 2011-13 the profit is 95.93 for every 100 and it decreased to 6034 for every
100 and gradually increased from yr 2014-2016 is 75.18 for every 100 and in 2017 it is
stabilized at 19.45 for every hundred. Profit is stabilised from the yr 2016-2017.
45 | P a g e
3.) Total Asset Turnover Ratio:
This ratio shows the firm‟s ability in generating sales from all financial resources committed
to total assets
Total asset turnover =sales/Total assets
Total assets include net fixed assets and current assets
TABLE NO. – 03 REPRESENTING TOTAL ASSET TURNOVER RATIO
Year sales Total asset Total turnover ratio

2013-14 64202.81 61690.53 1.04
2014-15 70598.93 64319 1.15
2015-16 88196.68 72906.42 1.20
2016-17 112112.34 92858.43 1.21
( amount in lakhs)
FROM THE ABOVE TABLE WE CAN ANALYSE THE TOTAL TURNOVER RATIO IS
1.04, 1.15, 1.20, 1.21 FOR THE YEAR 2013-14, 2014-15, 2015-16 & 2016-17
46 | P a g e
CHART NO. – 02
CHART REPRESENTING TOTAL ASSET TURNOVER RATIO
1,25
1,2
1,15
1,1
1,05
0,95 Series 1 Series 2 Series 3

2013-14 2014-15 2015-16 2016-17
Interpretation
The total assets ratio is increasing from 1.20 and 1.21 in the yr 15-16 and 16-17 resp. The
higher ratio indicates that the assets are utilised properly by the company.
47 | P a g e
4.) Fixed Asset Turnover Ratio:
To know its efficiency of utilizing fixed assets and current assets separately.
Fixed Asset Turnover= Sales/Net fixed asset
TABLE NO. – 04 REPRESENTING FIXED ASSET TURNOVER RATIO
Year sales Net fixed assets Fixed asset turnover

ratio
2013-14 64202.81 49130.56 1.30
2014-15 70598.93 47094.16 1.49
2015-16 88196.68 51153.37 1.72
2016-17 112112.34 69457.18 1.61
( amount in lakhs)
FROM THE ABOVE TABLE WE CAN ANALYSE THE FIXED ASSET TURNOVER
RATIO IS 1.3, 1.49. 1.72, 1.61 FOR THE YEAR 2013-14, 2014-15,2015-16, 2016-17
48 | P a g e
CHART NO. - 03
CHART REPRESENTING FIXED ASSET TURNOVER RATIO

3,5
2,5
1,5
0,5
0
2013-14 2014-15 2015-16 2016-17
Series 1 Series 2 Series 3
Interpretation
The ratio for 2016-17 reveals 1.61 of net fixed assets to sales, compare to 15-16 and 14-15,
therefore the trend indicates the assets are used not so efficiently in the yr 16-17.
49 | P a g e
5.) Working Capital Turnover Ratio:
Working capital ratio measures the effectiveness utilization of working capital. It also
measures the smooth running of business or otherwise the ratio establishes relationship
between cost of sales and working capital. Working capital turnover ratio is calculated with
the help of the following formula.
WCTR=sales/net working capital
Net working capital=CA-CL
TABLE NO. – 05 REPRESENTING WORKING CAPITAL TURNOVER RATIO
YEAR SALES NET WORKING WORKING

CAPITAL CAPITAL
TURNOVER
RATIO
2013-14 64202.81 9173.98 6.99
2014-15 70598.93 7922.29 8.91
2015-16 88196.68 10900.77 8.09
2016-17 112112.34 -12725.10 -8.81
FROM THE ABOVE TABLE WE CAN ANALYSE THE WORKING CAPITAL

TURNOVER RATIO IS 6.99, 8.91, 8.09, -8.81 FOR THE YEAR 2013-14, 2014-15, 2015-
16, 2016-17.
50 | P a g e
CHART NO. – 04
CHART REPRESENTING WORKING CAPITAL TURNOVER

RATIO
10
8
6
4
2
0
2013-14 2014-15 2015-16 2016-17
-2
-4
-6
-8
-10
Series 1 Column2 Column1
Interpretation :
In 2013-14 net working capital ratio is 6.99 and it is increased to 8.91 and it decreased to 8.09
in the year 2014-15 and 2015-16 resp. It indicates that working capital is not properly used in
making sales in the yr 2015-16.
51 | P a g e
6.) Gross Profit Ratio

This ratio expresses the relationship between gross profit and sales. It determines what
amount of gross profit company has obtained towards his sales.
Gross profit Ratio = G.P*100/sales
Gross Profit =Sales-Cost of goods sold
\
TABLE NO. – 06 REPRESENTING GROSS PROFIT RATIO

Gross profit Sales GP ratio (%)
Year
2013-14 20678.15 64202.81 32.20
2014-15 24708.45 70598.93 34.99
2015-16 28955.46 88196.68 32.83
2016-17 34415.97 112112.34 30.69
FROM THE ABOVE TABLE WE CAN ANALYSE THE GP RATIO AS 32.20, 34.99,
32.83, 30.69 FOR THE YEAR 2013-14, 2014-15, 2015-16, 2016-17.
52 | P a g e
CHART NO. - 05
CHART REPRESENTING GROSS PROFIT RATIO

36
35
34
33
32
31
30
29
28
2013-14 2014-15 2015-16 2016-17
Interpretation
GP decreases in 2015-16 32.83% to 2014-15 34.99% and it decreases in 2016-17 30.69%.
53 | P a g e
7.) Net Profit Ratio

It is a relationship between net profits, sales, and indicates management efficiency indicates
management efficiency in manufacturing, administering, and selling the products. This ratio
is the overall measure of the firm’s ability to turn each rupee sales into net profit.
Net Profit Ratio= Net profit( profit after tax) *100/ net sales
TABLE NO. – 07 REPRESENTING NET PROFIT RATIO

Year Profit after tax Sales Net profit ratio (%)
2013-14 47.73 64202.81 0.074
2014-15 2922.55 70598.93 4.13
2015-16 5097.68 88196.68 5.77
2016-17 4105.88 112112.34 3.66
( amt in lakhs)
FROM THE ABOVE TABLE WE CAN ANALYSE THE NET PROFIT RATIO AS 0.074,
4.13, 5.77, 3.66 FOR THE YEAR 2013-14, 2014-15, 2015-16, 2016-17.
54 | P a g e
CHART NO. - 06
CHART REPRESENTING NET PROFIT RATIO

7
0
2013-14 2014-15 2015-16 2016-17
Column1 Series 2 Column2
Interpretation
In the year 2016-17 the NPR ratio is 3.66% has reduced compared to the last year 2015-16
and also in the year 2014-15. 4.13% and 5.77% resp. The decrease was due to deferred taxes
in the year 2011-12.
55 | P a g e
8.) Operating Expenses Ratio

The operating expenses ratio explains the changes in the profit margin ( EBIT to sales) ratio.
This ratio computed by dividing operating expenses viz. cost of goods sold, raw material
,manufacturing overhead, administrative overhead and salaries to employees by sales.
Overhead cost/ overhead = operating expenses*100 / net sales
TABLE NO. – 08 REPRESENTING OPERATING EXPENSES RATIO
Year Operating expenses sales Ratio in %
2013-14 44388.05 64202.81 69.13
2014-15 46759.02 70598.93 66.23
2015-16 60336.08 88196.68 68.41
2016-17 72457.56 112112.34 64.63
(amount in lakhs)
FROM THE ABOVE TABLE WE CAN ANALYSE THE OPERATING EXPENSES
RATIO IN IN % AS 69.13, 66.23, 68.41, 64.63 FOR THE RESP YEAR 2013-14, 2014-15,
2015-16, 2016-17.
56 | P a g e
CHART NO. – 07 REPRESENTING OPERATING EXPENSES RATIO
70
69
68
67
66
65
64
63
62
61
2013-14 2014-15 2015-16 2016-17
Interpretation
The Higher operating expenses ratio is unfavourable since it will leave a small amount of
operating income to meet interest, dividends etc. The temporary variations on ratio are due to
change in administration and selling expenses. The lower percentage of ratio is favourable to
the company.
57 | P a g e
9.) Administrative and Selling Expenses

Administrative and selling exp = administrative cost*100 / net sales
TABLE NO. – 09 REPRESENTING THE ADMINISTRATIVE AND SELLING

EXPENSES
Year Admn and selling sales Ratio in %

exp
2013-14 1207.67 64202.81 1.88
2014-15 1475.20 70598.93 2.08
2015-16 1425.35 88196.68 1.61
2016-17 1731.77 112112.34 1.54
FROM THE ABOVE TABLE WE CAN ANALYSE THE RATIO OF ADMINISTRATIVE

AND SELLING EXPENSES IN RATIO % AS 1.88, 2.08, 1.61, 1.54 FOR THE YEAR
2013-14, 2014-15, 2015-16, 2016-17
58 | P a g e
CHART NO. – 08
CHART REPRESENTING ADMINISTRATIVE AND SELLING

EXPENSES
2,5
1,5
0,5
0
2013-14 2014-15 2015-16 2016-17
Column1 Column2 Series 3
Interpretation
The administrative expense ratio has decreased to 1.61% in 2015-16, and again decreased to
1.54 which indicates that the firm is cutting down its administrative cost which is a good sign.
59 | P a g e
CHAPTER 5
SUMMARY OF FINDINGS,
RECOMMENDATIONS AND
CONCLUSION
FINDINGS
 Fixed asset turnover ratio has been decreased.

 The gross profit ratio show the organization gross profit increasing year by year.
 Sundry debtors, inventories, cash and bank balance have been the main elements of
current assets.
 The working capital ratio not properly utilised by the company for the financial year
2013-14.
 It was found the inventory turnover ratio is on increasing trend seeing the ideal ratio
of the company has maintained reasonable amount of stock in the year.
60 | P a g e
SUGGESTIONS
 To company should increase its liquidity position to maintain a standard current ratio.
Total shipping and logistics pvt. Ltd. Should think on investment in short term
securities that will improve their liquidity position and profitability.
 The company should utilised fixed asset optimally in generating the sales. As the
huge funds are blocked in fixed assets, instead investing in current assets facilitates in
meeting out the short term liability.
 Since the total shipping and logistics pvt. Ltd. is earning the profit, this will attracts
many investors. Hence the company should concentrate on the expansion of the
business and also they should contribute towards the overheads for the welfare of the
society.
 Company of depending more on external funds, It can also study the feasibility of
internal source, so it can still expand its capacity considering the demand.
 Work environment should be improved and good working condition should be
provided.
 The company should utilize assets effectively. The company has to utilizes fixed
assets properly which means they have to get renovate the machineries, vehicles.
61 | P a g e
CONCLUSIONS
 Operating expenses increasing but not tandem with sales and therefore the same is
affecting the bottom line of the company.
 The debtor turnover ratio is increase compares to past three year ratio, which is not a
good signal for the company.
 Net asset turnover ratio is decreased i.e., the asset not optimally utilised by the
company.
 Debt equity ratio is on higher side which is not a good sign for the company.
 The working capital ratio not properly utilised by the company for the financial year
2012-2013.
 Although company has increase its investment in current assets.
 The recommendation will facilitate the company to grasp new opportunities and
expand the business, improve the profitability.
62 | P a g e
BIBLIOGRAPHY
BIBLIOGRAPHY
BOOKS :
 Prasanna Chandra, ‘Financial management theory and practices’,
Himalaya Publication, 5th edition
 I.M. Pandey, ‘Financial Management’,
Himalaya Publication, 7th edition
 B.S. Raman, ‘Management Accounting’,
Mcgaw hill, 10th edition 2005
 2013 to 2016 annual reports
WEBSITES
www.totalgroup.in
ANNEXURE
BALANCE SHEET AS AT 31/03/2017
PARTICULARS NOTES AS AT 31/03/2017 31/03/2016

EQUITY AND LIBILITIES
SHAREHOLDERS’ FUNDS
Share Capital 2 7070.00 7070.00
Reserves and Surplus 3 8203.34 6393.07
________ ________
15273.34 13463.07
NON CURRENT LIABILITY
Long term borrowings 4 40351.15 25273.23
Deffered tax liabilities (net) 5 9998.42 9230.05
Other long term liabilities 6 857.62 780.53
Long term provisions 7 158.73 ----
________ ________
51365.92 35283.81
CURRENT LIABILITY
Short term borrowing 4 7290.32 8857.21
Trade payables 8 3545.39 2485.98
Other Current liabilities 9 14565.46 12514.83
Short term provision 7 818.00 301.52
_________ ________
26219.17 24159.54
_______________________________
Total 92858.43 72906.42
ASSETS
NON CURRENT ASSETS
Fixed Assets
Tangible Assets 10 69419.64 49881.24
Intangible Assets 11 37.54 116.85
Capital work in progress 1002.05 4025.42
Non- current Investments 12 12.75 12.50
Long term loans and advances 13 8769.71 7266.39
Other non current assets 14 122.67 31.18
__________ ________
79364.36 61333.58
CURRENT ASSETS
Inventories 15 873.11 607.46
Trade Receivables 16 7802.50 6873.78
Cash and bank balances 17 1360.03 1536.76
Short term loans and advances 18 1636.45 1165.03
Other current assets 19 1821.98 1389.81
_________ _______
13494.07 11572.84
_________________________
Total 92858.43 72906.42

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SCHOOL OF MANAGEMENT STUDIES

FINANCIAL STATEMENT ANALYSIS

BACHELOR OF BUSINESS ADMINISTRATION

Under the guidance of

Rukmini Knowledge park , Kattigenahalli, Yelahanka, Bengaluru-560064

FINANCIAL STATEMENT ANALYSIS

BACHELOR OF BUSINESS ADMINISTRATION

Under the guidance of

Rukmini Knowledge park , Kattigenahalli, Yelahanka, Bengaluru-560064

I, Mr./Ms. (MANISH KUMAR ), hereby declare that Dissertation entitled “FINANCIAL

Signature of the Student

Place: Bangalore. Student Name –Manish kumar

This is a matter of pleasure for me to acknowledge my deep sense of gratitude to

I would like to express my sincere gratitude to my guide PROF AISHWARYA. H

CHAPTER CONTENTS PAGE NO.

1. INTRODUCTION TO THE TOPIC 1-8

2. INDUSTRY PROFILE AND 9-36

3. RESEARCH METHODOLOGY 37-42

4. DATA ANALYSIS AND 43-59

5. FINDINGS, SUGGESTIONS & 60-62

 To interpret the financial ratios and their significance.

THE MAIN FINDINGS OF MY STUDY

 Fixed asset turnover ratio has been decreased.

THE MAIN CONCLUSIONS OF MY STUDY

Horizontal Analysis: The comparative financial statements are an example of horizontal

An assortment of techniques is employed in analyzing financial statements. They

Comparative Financial Statements: It is an important method of analysis which is used to

Statement of Changes in Working Capital: The objective of this analysis is to extract

Advantages of Ratio Analysis

1. Simplifies Financial Statements : Ratio analysis simplifies the comprehensiveness

Limitation of the ratio analysis:

 Profit and loss account Ratio

A.) Liquidity Ratio

3. Absolute liquidity Ratio / Cash Ratio

4. Working Capital Ratio

B.) Capital structure Ratio

2. Debt equity Ratio

4. Interest Coverage Ratio2.

2.) Turnover Ratio

:a. Inventory Turnover ratio

b. Debtor Turnover Ratio

c. Creditor Turnover Ratio

d. Asset Turnover Ratio

1. Net Asset Turnover Ratio

2. Total asset Turnover Ratio

3. Fixed Asset Turnover Ratio

4. Current Asset Turnover Ratio

5. Working capital Turnover ratio

3.) Profitability Ratio

a.) Profitability In Relation To Sales

1. Gross Profit Ratio

2. Net Profit Ratio

3. Operating Expenses Ratio

b.) Profitability In Relation To Investment

3. Earning Per Ratio

4. Dividend Per Ratio

5. Dividend Payout Ratio

Asset Turnover ratio:

Net asset turnover:

It is computed by dividing sales by net assets

Net Asset Turnover = Net Sales/Net Assets

INDUSTRY AND COMPANY

Logistics is generally the detailed organization and implementation of a complex operation.