Ratio Analysis at NSL

TABLE-3.1 Gross Profit Ratio

Year Gross Profit Sales Ratio

2004-05 32048846 269842495 0.11

2005-06 119992232 622678642 0.19

13.8
2006-07 81751169 592532689

2007-08 98156497 453435123 21.65

2008-09 79531898 736206987 10.8

GROSS PROFIT RATIO

25

20

15
RATIO

Ratio
10 21.65
13.8
5 10.8

0 0.11 0.19
2004-05 2005-06 2006-07 2007-08 2008-09
YEAR

INRTEPRETATION
The above table shows the gross profit ratio of NSL the table indicates that the ratio in
the year 2005 was 0.11 and in the year 2006 it raised to 0.19.further it had drastical
change in gross profit to 13.8 in the year 2007 and 21.65 in the year 2008 ,but decreased
to 10.8 in the year 2009.
The company had fluctuated by increase of 20.06% in gross profit and decrease by 23.47
% in the year 2008 and in the year 2009 there is decrease in gross profit by 18.97% and
increase in sales by 62.36%.
The gross profit indicates the degree to which the selling price of goods per unit may
decline without resulting in losses on operation of the firm .It reflects the efficiency with
which firm produces its products.

BABASAB PATIL 57