SUMMER INTERNSHIP AND PRESENTASTION

TITLE OF STUDY
A Study on Financial Statement Analysis

VIDYASAGAR UNIVERSITY

Submitted by

BIBHASH BETAL

Roll No.: VU/PG/22/09/04-IS-0051 | 2nd Semester, MBA

Registration No.: 1261400
PAPER CODE:- 207
 CANDIDATE DECLARATION

I Bibhash Betal, certify that this project is my own work, based on my

personal study and research and that I have acknowledged all material
and sources used in its preparation, whether they be books, articles,
reports, lecture notes, and any other kind of document, electronic or
personal communication.

I also declare that this Project work is towards the partial fulfilment of the university
Regulations for the award of degree of Master of Business Administration by Vidyasagar
University.

I confirm that I have identified and declared all possible conflicts that I may have.

Date :

Signed and submitted

USIN : 2211112C08047
 Acknowledgements

The internship to Rashmi Metaliks, at Kharagpur was a significant learning experience. I am

indebted to the esteemed members of faculty of the Department of Business Administration,
Vidyasagar University, for organizing the internship program and giving us an opportunity to
witness the processes of running and administering a manufacturing facility. I would like to
specially thank Prof. (Dr.) Tarak Nath Sahu, Prof. (Dr.) Debasish Biswas, Prof. (Dr.) Sudin
Bag, and Prof. (Dr.) Dipa Banerjee for help accompanying the team during the internship.

The internship program was successfully completed with the support of the administration of
Rashmi Metaliks. I would like to thank Mr. Sourav Roy Chief Accountant.

Finally, I express my sincere thanks to my Parents, Friends and all the Staff of MBA department
of VU for their valuable suggestions in completing this Project Report.
PREFACE

The Internship programs for 2nd semester students of MBA, Vidyasagar University, was
conducted on May, 2nd , 2023 to Jun 15th 2023 at Rashmi Metaliks Ltd. Kharagpur.

This report summarizes the learnings from the internship program.

TABLE OF CONTENTS

Chapter No. Chapter Page No. Chapter Page No.

1 1.1 Introduction 8-10

1.2 Industry profile
1.3 Company Profile
1.4 Vision, Mission
1.5 Future growth and prospects
2 2.1 Balance sheet 10-12
2.2 Profit And Loss
3 3.0 TITLE OF STUDY 13-16
3.1 Statement of the problem
3.2 Need of the study
3.3 Objectives
3.4 Scope of the study
3.5 Research methodology
3.6 Limitations
4 17-41
Data Analysis And Interpretation

5 Findings 42-44
Conclusions
Suggestion
6 Four year balance sheet 46-48
 LIST OF GRAPHS AND TABLE

Table no. Particulars Page No.

1 Comparative Income Statement 21-22
2 Comparative Balance Sheet 23-25
3 Common Size Income Statement 27-28
4 Common Size Balance Sheet 29-31
5 Current Ratio 32-33
6 Liquidity Ratio 34
7 Debt Equity Ratio 35-36
8 Assets Turnover Ratio 36-37
9 Inventory Turnover Ratio 38
10 Net Profit Ratio 39
11 Net Operating Ratio 40-41

 
EXECUTIVE SUMMARY

 This internship report contains four chapters in the following order:

information about the organization, Management of the internship exercise, Findings/Observations during internship, Conclusions, Recommendations and way forward of the  internship
attachment. The organization was suitable for internship attachment because it has trained and qualified personnel additionally they are so interactive and willing to be consulted. I
learnt the following skills during field attachment: entering Purchase order, entering local and foreign purchase bills in computer system using ERP, SAP, preparation of party
reconciliation statements, and filing of various important documents systematically in their respective files .
It Is advisable that students who will carry out future field attachment should be willing and interested to learn more to enhance their preparation of their respective career.

IMPORTANT OF THE SUMMER INTERNSHIP-

Internship Programme at Vidyasagar University is a highly rigorous programme that

aims to impart meaningful commitment leading to significant takeaways, for all students
as well as the organization concerned.

VISION-

Simultaneous to providing credible value addition to customers, employees and

shareholders; being recognized by society as a responsible corporate citizen. In
addition achieving operational excellence along with caring for environment
protection.

MISSION OF THE COMPANY-

The mission is to achieve business excellence through delivering superior value
to their customers, shareholders, employees and society at large. They are
committed to work in the true spirit of entrepreneurship by making optimum
utilization of resources, using environment friendly procedures and practices,
maintaining highest work ethics, hiring the best people and providing them with
a safe and healthy working environment.

Their aim to achieve leadership status in Iron & Steel, Cement, Power ,Ferro,
Green hydrogen etc.
INTRODUCTION
As partial fulfilment of MBA, summer project for 45 DAYES has been completed
as internship in RASHMI MATELIKS Pvt Ltd. With esteem to that this project
report on A Study on financial analysis with reference to Rashmi . is based on
understanding the past, present and future of the company. So this helps in
understanding how practically the health IT industry works. The study explains in
brief and provides financial information about the organized study done for the
industry. The objective of study is to analyse the performance and regulation of
the company to meet its current obligations. This applies to those enterprises to
implement business solutions with certain attributes for giving advantages for the
entity as well as the employees. There are many kinds of roles and responsibilities
that an intern has to face during the internship period. Students get a lot of benefits
and it also helps them for personal grooming and building selfconfidence
whenever they join a corporation in the future. Financial statement analysis is a
technique of revising and analysing an organisation’s accounting reports or
financial reports so as to considered its previous, present or upcoming execution.
This process of reviewing the financial statements takes into concern better
financial decision making. After arrangement of financial report, analysing the
financial summaries with the assistance of various tools, for example, similar
explanation, common size statement, Ratio investigation. In this procedure a
significant relationship set up between at least two accounting figures for
correlation. This project is tied in with examining the budget reports by utilizing
comparative statement/common size statement and ratio analysis

COMPANY PROFILE
Rashmi Group is a fast growing, multidimensional business conglomerate
spread within India and across Asia. Its diversified businesses deliver
products and services in the areas of Iron & Steel, Cement, Power, Ferro
Alloys, Dredging and Infocom. Continuing over fifty years, it has boldly
embraced the toughest challenges, made several path-breaking
initiatives, cemented several laurels and milestones and grown
organically to deliver nothing but the best on multiple fronts.
Rashmi metaliks Private Limited is a Private fused on 2004. It is sorted as Non
government Company and is enlisted at Registrar of Companies, kolkata. It is
incorporated into other PC related exercises . rashmi Private Limited's Annual
General Meeting (AGM) was held on 30 September 2022 and as showed by
records from Ministry of Corporate Affairs (MCA), its bookkeeping report was
as of late archived on 31 March 2023. We give reference information, choice
help arrangements, news and figuring out how to networks of all inclusive
professionals, authority specialists, drug specialists, attendants and patients
transversely 13 nations. We produce a scope of centered media including
information rich indexes, electronic and online items, diaries and eye to eye
gatherings. The notable and believed notoriety of our brands implies that a huge
number of them are inserted in the even work method of the human services
networks they serve.
Today, Rashmi Group proudly stands as a significant contributor to India’s
industrial growth. Its products find acclamation both nationally and
internationally.

FUTURE GROWTH AND PROSPECTUS

KOLKATA: Rashmi Group, which manufactures steel, sponge iron, pig iron,
TMT, cement and ductile iron pipes, has lined up Rs 1000 crore worth of
investment in Odisha and Madhya Pradesh.
While it has firmed up plans of establishing an iron ore beneficiation plant along
with a pellet plant in Odisha, the group will also set up a ferro alloy and power
plant in Madhya Pradesh. The company is also investing Rs 130 crore in setting
up a ferro alloy plant in Jhargram and another 18 MW power plant, which is
already under implementation.
The group is also in the process of setting up a 1.5 million tonne beneficiation
plant, a 1.2 million ton pellet plant, and a 1.2 lakh tonne wire rod unit and 12
MW power plant in Kharagpur with an investment of around Rs. 300 crore
within the next one year.
Rashmi group is also keen to set up a manufacturing facility at Jamuria in
Bengal's Burdwan district with an initial investment of around Rs 500 crore.
These projects will create employment for around 2000 people directly and
indirectly.
 2.1 RASHMI METALIKS LIMITED
BALANCE SHEET AS ON 31ST MARCH,2022 &21

31-03-2021 31-03-2022

A. EQUITIES AND LIABILITIES

Equity Share Capital 914.82 914.82

Other equity 1548.66 2017.11

Total Share Capital 2463.48 2931.93

B.NON-CURRENT LIABILITIES

Long Term Borrowings 0.64 0.64

Long Term Provisions 29.57 30.06

Deferred Tax Liabilities [Net] 166.88 156.76

Other Long Term Liabilities 1.32 1.32

TOTAL NON CL. 198.40 188.77

C. CURRENT LIABILITIES
Short Term Borrowings 112.19 121.94

Trade Payables 0.87 0.16

Total Outstanding 101.23 109.32

Other Current Liabilities 121.15 189.69

Short Term Provisions 0.34 0.41

Creditors 9.46 22.99

TOTAL CURRENT LIABLITIES 345.23 444.51

TOTAL LIABILITIES =A+B+C 3007.12 3565.21

A. NON-CURRENT ASSETS

Fixed Assets 1123.06 1054.99

Capital Work-In-Progress 16.50 73.79

Investments In subsidiaries 2.98 27.97

Non-Current Investments 309.74 514.12

Others assets 1.26 1.22

Non-Current tax Assets 5.63 9.86

Other Non-Current Assets 58.34 63.21

TOTAL NON CA. 1517.50 1745.16

B. CURRENT ASSETS

Inventories 445.64 480.93

Current Investments 45.59 0

Trade Receivables 260.75 271.12

Cash And Cash Equivalents 86.46 65.19

Bank balance 165.35 130.49

Loan 2.23 2.54

Other Financial Assets 27.08 19.23

Other Current Assets 456.53 850.55

TOTAL CA. 1489.63 1820.05

TOTAL ASSETS =A+B 3007.12 3565.21

2.2 PROFIT AND LOSS SHEET

For the year ended For the year ended

30-03-2022 30-03-2021
INCOME

Revenue from Operations 4700.72 4099.01

(Gross)
Revenue from Operations 4700.72 4099.01
[Net]
Other Income 35.95 32.88
Total Revenue 4,736.67 4,131.88
EXPENSES
Operating and Direct 3124.84 1853.07
Expenses
Stock-in-trade 414.24 827.00
Changes In Inventories (129.73) 39.98
Employee Benefit Expenses 99.30 87.80
Finance Cost 16.77 66.23
Depreciation 129.44 140.91
Other Expenses 694.08 444.74
Total Expense 4348.94 3459.74

3. TITLE OF STUDY
A Study on Financial Statement Analysis with reference to Rashmi metaliks ltd.

3.1STATEMENT OF THE PROBLEM

The centrality of a legitimate money related investigation in any modern concern
 can't be overemphasized. Under the present inflationary condition, investigation
of funds is maybe more essential than even administration of benefit and this
requires most extreme consideration and endeavors of the account administrator.
It needs watchful consideration as every one of its segments require diverse kinds
of treatment and it tosses steady consideration on exercise of aptitude and
judgment, mindfulness of monetary pattern and so forth., because of earnestness
and complicacy the fundamental significance of the examination. The counter
inflationary measure taken up by the Government, making a tight cash condition
has set investigation of the funds in the most testing zone of the board and it
requires a one of a kind ability for its administration. Today, the issue of
overseeing Cash has the acknowledgment of discrete substance, so its
examination and the board is of significant significance to both interior and
outside expert to pass judgment on the present position of the business concerns.

3.2 NEED FOR THE STUDY

Financial summary examination is used to find the examples and associations
between spending report things. Both inside organization and outside the
organization (demonstrate as inspectors, leasers, government and examiners) of
the financial reports must to figure/find an association's productivity, liquidity,
and dissolvability. The most broadly observed techniques used for cash
correlated clarification examination are design examination, common size
verbalizations, and extent examination. These strategies fuse tallies and
examinations of the results to recorded association data, contenders, or industry
midpoints to choose the relative quality and execution of the association being
researched.

3.3OBJECTIVES OF THE STUDY

1 To analyze the earning capability or profitability of the company.
2 To analyses and compare the financial position of the company for every two
year.
3 To measure the short term as well as long term creditworthiness position of
the firm.
4 To determine the liquidity position of the company based on the turnover.

3.4 SCOPE OF STUDY

The degree is to drive noteworthy utilization of hypothesis for genuine usage. As
the examination is focusing on distinguishing the present capability of the
organization money related administration techniques and points, we recognize the
best budgetary investigation strategy to be conveyed to improve the organization's
approach to decide their benefit. This examination offers knowledge to the
administration of high esteem things and low esteem things. This investigation
additionally gives the thought regarding modern exertion and addressable towards
keeping up the viable money related examination measures.

3.5 RESEARCH METHODOLOGY RESEARCH

Research is a strategy in which the analysts wish to discover the final product for a
given issue & along these lines the arrangement helps in forecasting game-plan.
The examination has been all around characterized as “A cautious report or
enquiry particularly through scan for new realities in part of information”

3.6 RESEARCH DESIGN

The examination configuration utilized in this task is Analytical/intelligent in
nature the technique utilizing, which analyst needs to utilize certainties, data
officially accessible, and investigate these to make a basic assessment of the
execution.

TYPES OF RESEARCH

DATA COLLECTION
• SECONDARY DATA
• From the annual reports maintained by the organization/company such as
Statement of the profit and loss Balance sheets
• Books and journals pertaining to the topic.
• Data are collected from the company website.

LIMITATIONS.
NOT A SUBSTITUTE OF JUDGEMENT
An examination of fiscal report can't occur of quality choice. It is just a way to
achieve ends/results. At last, the choices or judgment are taken by a participated
individual or examiner on his/her knowledge and expertise.

BASED ON HISTORICAL DATA

Just past data of bookkeeping data is combined into the finance reports, which
are dissected. The future cannot be much the same as past. Consequently, the
study of fiscal reports can't give a premise to planning, upcoming gauge,
foreseeing, and arranging.

PROBLEM IN COMPARABILITY
The measure of business concern is changing as per the volume of exchanges.
Hence, the figures of various budget reports lose the normal for similarity.

RELIABILITY OF FIGURES
Some of the time, the segments of the fiscal summaries are changed by window
dressing. Provided that this is true, the examination of budget summaries results
in false or inane.

DIFFERENT PROCEDURES OF ACCOUNTING AND

FINANCING
The end heap of rough material is resolved at purchase cost. The end heap of
finished things is a motivation at market cost or cost esteems whichever is less.
At the point when all is said in done, the end stock is regarded at expense or
market esteem whichever less is. It suggests that the end heap of unrefined
material is regarded at expense or market esteem whichever less is. So; an expert
should keep in view these concentrations while making examination and
illumination by and large the results would bamboozle.

CHANGE IN ACCOUNTING METHODS

There should be uniform accounting techniques and frameworks for
number of years. In case there are ordinary changes, the fig of different periods
will be unprecedented and uncommon. In such a case, the examination has no
regard and sense.

CHANGES IN THE VALUE OF MONEY

The procuring impact of money is diminished from one year to other year on
account of extension. It produces issues in relative examination of monetary
outlines of different years.

LIMITATIONS OF THE TOOLS APPLICATION FOR

ANALYSIS
There are diverse instruments utilized by an investigator for an examination.
Despite the fact that, the use of a specific instrument or procedure depends on the
aptitude and routine with regards to the examiner. In the event that an
inadmissible gadget or strategy is connected, absolutely, the outcomes are
misdirecting.

NO VALUATION OF MANAGERIAL ABILITY

The aftereffects of the investigation of fiscal reports ought not to be taken as an
suggestion of fortunate or unfortunate administration. Subsequently, the
administrative capacity can't be estimated by examination.

CHANGE OF BUSINESS SITUATION

The circumstances and conditions of one firm can never be like another firm.
Also, the business condition and conditions of one year to resulting can never be
comparable. Subsequently, it is hard for investigation and correlation of one firm
with another.

DATA ANALYSIS AND INTERPRETATION

4
HOW TO WRITE A COMPANY S FINANCIAL ANALYSIS?
Composing an organization's money related examination can be important to
decide if to put resources into the organization. There is no particular strategy for
doing as such and introduction styles with shift, yet key segments ought to be
incorporated into any budgetary examination. Simply after cautiously updating
every one of the segments can an end be drawn with respect to the organization's
monetary wellbeing and execution?

FINANCIAL STATEMENT
The initial step to making a budgetary investigation of any organization is to
acquire something like three years of fiscal reports, albeit five years' value is
inert. Budget summaries can be effectively gotten from the organization's yearly
report or SEC filling through the EDGAR database (See assets). Contingent upon
the size ,idea of the organization, an assortment of fiscal reports might be
accessible. All organizations ought to have their asset report and pay
proclamation: - be that as it may, greater organizations additionally may have an
income articulation just as investor's value explanation for audit. Get all
announcement, If conceivable. Survey all announcements and searched for any
immense changes, developments or anomalies. Peruse the joined notes, if
accessible, for clarifications.

ACCOUNTING REPORT AND INCOME STATEMENTS

As the name infers, the accounting report demonstrates the harmony between the
organization's advantages, liabilities and investor value. When making a
budgetary investigation, give explicit consideration to any noteworthy moves in a
critical position. For instance, did the organization's obligation rate rise
recognizably or resources decay as of late? The pay proclamation is for the most
part the organization's benefit and misfortune articulation. An organization whose
exhibition is well and is monetarily solid should demonstrate a predictable
upward pattern on the pay proclamation.

HOW OFTEN SHOULD I PREPARE A FINANCIAL

ANALYSIS?
 How frequently you dissect will rely upon the conditions of your business and
where it is position in the business life cycle. In the event that you are wanting to
begin a business, you will build up a yearly budgetary examination as a piece of
your achievability concentrate to demonstrate that the business is practical.
Month to month or Weekly investigation might be essential when the business is
simply beginning 30 or if the business is encountering challenges or fast
development. Visit investigation enables you to intently screen your figures and
create techniques to redress any issues before they become a noteworthy issue.
Moving month to month or quarterly figure might be progressively suitable for a
steady, develop business. You ought to consistently quantify and screen the
execution of your business and contrast your money related investigation and the
real as they become accessible. In the event that vital, modify your examination
to mirror the changes.

COMPARATIVE FINANCIAL STATEMENT

The Comparative budget summary demonstrates the budgetary circumstance of
various timeframe. The substance of money related position are appeared in a
similar structure in order to give thought of monetary position at least 2 periods.
Two budget reports (accounting report and salary articulation) are set up in a
relative structure for money related examination purposes or for correlation.
These announcements permit an inside and out investigation of money related
position working outcomes. The comparative statement can show:
1. Complete figures (rupee sums).
2. Adjustments in total figures i.e., increase or decline in total figures.
3. Total information as rates.
4. Rise or decline regarding rates. Similarly, near figures will demonstrate the
pattern and heading of money related position and working outcome.

COMPARATIVE INCOME STATEMENT:

Comparative Financial Statement examination gives data to survey the method for
change in the business. Budget summary are exhibited date for a specific date for a
specific timeframe. The budget summary Balance Sheet determines the monetary
position as toward the finish of a bookkeeping period and the fiscal summary. Pay
Statement demonstrates the working and non – working results for a period. Yet,
cash related supervisors and top administration are additionally keen on knowing
whether the business is moving in a great circumstance or a negative heading. In
dissecting along these lines near budget report are orchestrated. Relative Financial
Statement Analysis is also recognized as Horizontal examination. The
Comparative Financial Statement gives data around at least multi year's figures
just as any ascent or decay from the earlier year's figure and its level of increment
or diminishing. This sort of examination helps in knowing the real quality and
shortcomings. The pay proclamation tells net benefit or total deficit by virtue of
activities. A relative salary 31 explanation will show the supreme figures for at
least two periods. The supreme change starting with one period then onto the next
and whenever wanted. The adjustment regarding rates. Since, the figures for two
additional periods are appeared; the peruser can rapidly determine whether deals
have risen or diminished, regardless of whether cost of offers has expanded or
diminished and so on.

COMPARATIVE BALANCE SHEET:

Comparative accounting report as on at least two unique dates can be utilized
for correlation of advantages and liabilities and discovering any expansion or
decrease in those things. In this manner while in a solitary monetary record
accentuation is on current position. It is on change or adjustment in the near
monetary record. Such monetary record is exceptionally valuable in examining
the patterns and development in an endeavor. There are two principle kinds of
advantages: current resources and non-current resources are to be spent or
changed over into money inside one business cycle – normally treated as a
year. Three huge current resources things found on the monetary record are
speculators typically are pulled in to organizations with a lot of money on their
accounting reports. All things considered, money offers insurance against
tough occasions, and it additionally gives organizations more choice for future
improvement. Creating money holds regularly flag solid organization
execution. Certainly, it demonstrates that money is amassing so rapidly that
administration doesn't have sufficient energy to make sense of how to make
utilization of it. A declining money heap could be an indication of
inconvenience. All things considered, if loads of money are more utilization of
the organization's monetary record. Financial specialists need to inquire as to
why the cash isn't being put to utilize. Money could be there in light of the fact
that administration has come up short on speculation risks or is excessively
short – located to recognize how to manage the money. Commitments the firm
should pay inside a year, for example, installment inferable from venders. Non-
current liabilities, then, clarified what the association owes in a year or
additional time. You for the most part need to see an administration measure of
obligation. At the point when obligation levels are diminishing, that is a decent
sign.

COMPARATIVE INCOME STATEMENT

AS ON 31-3-2021 & 31-3-2022 ( IN CRORE)
 31-03-2021 31-03-2022 Increase / % Increase /
Decrease Decrease

INCOME
Revenue from 4099.01 4700.72 601.71 12.80
Operations (Gross)
Revenue from 4099.01 4700.72 601.71 12.80
Operations [Net]

Other Income 32.88 35.95 3.07 8.53

Total Revenue 4,131.88 4,736.67 604.79 12.76

EXPENSES
Operating and 1853.07 3124.84 1271.77 40.70

Direct Expenses
Stock-in-trade 827.00 414.24 -414.76 -100.12

Changes In 39.98 (129.73) 89.75 -69.18

Inventories
Employee Benefit 87.80 99.30 11.5 11.58

Expenses
Finance Cost 66.23 16.77 -49.46 -294.93

Depreciation 140.91 129.44 -11.47 -8.86

Other Expenses 444.74 694.08 249.34 35.92

Total Expense 3459.74 4348.94 889.2 20.44

Profit/Loss before Tax 672.15 387.73 -284.42 -73.35
Total Tax expenses 243.74 99.95 -143.79 -143.86
Profit/Loss from 428.40 287.78 -140.62 -48.86
Continuing
Operations
Profit/Loss for The 428.40 287.78 -140.62 -48.86
Period

GRAPH STATING COMPARITIVE INCOME STATEMENT

AS ON 31-3-21 & 31-3-22
 COMPARATIVE INCOME STATEMENT
5000

4500 4736.67
4348.94
4000 4131.88

3500
3459.74
3000

2500

2000

1500

1000

500

0
Total Revenue Total Expenses

Year-21 Year-22

ANALYSIS AND INTERPRETATION -

The total profit/loss to income statement was 428.40 cr in the year 2021 and in
the year 2017, the profit was 278.78 were in 2022 profit is decreased to (Rs) -
140.62. Thus the profit to balance sheet is decreased. Comparative Income
statement reveals that the sales have increased by Rs 601.71cr i.e. 12.80%. The
total expenditure is increased by Rs 889.2 i.e. 20.44%.

TABLE STATING COMPARATIVE BALANCE SHEET AS

ON 31-3-2021 & 31-3-2022
RASHMI 31-03-2021 31-03-2022 Increase/ %

METALIKS LTD. Decrease Increase/

Decrease
A. EQUITIES AND
LIABILITIES
Equity Share Capital 914.82 914.82 0 0
Other equity 1548.66 2017.11 468.45 23.22
Total Share Capital 2463.48 2931.93 468.45 15.97%
B. NON-CURRENT
LIABILITIES
Long Term Borrowings 0.64 0.64 0 0
Long Term Provisions 29.57 30.06 0.49 1.63
Deferred Tax Liabilities 166.88 156.76 -10.12 -6.45
[Net]
Other Long Term 1.32 1.32 0 0
Liabilities
TOTAL NON CL. 198.40 188.77 -9.63 -5.10%
C. CURRENT
LIABILITIES
Short Term Borrowings 112.19 121.94 9.75 7.99
Trade Payables 0.87 0.16 -0.71 -443.75
Total Outstanding 101.23 109.32 8.09 7.40
Other Current 121.15 189.69 68.54 36.13
Liabilities
Short Term Provisions 0.34 0.41 0.07 17.07
Creditors 9.46 22.99 13.53 58.85
TOTAL CURRENT 345.23 444.51 99.28 22.33
LIABLITIES
Total =A+B+C 3007.12 3565.21 558.09 15.56%

ASSETS

A. NON-CURRENT
ASSETS
Fixed Assets 1123.06 1054.99 -68.07 -6.45
Capital Work-In- 16.50 73.79 57.29 77.63
Progress
Investments In 2.98 27.97 24.99 89.34
subsidiaries
Non-Current 309.74 514.12 204.38 39.75
Investments
Others assets 1.26 1.22 -0.04 -3.27
Non-Current tax Assets 5.63 9.86 4.23 42.90
Other Non-Current 58.34 63.21 4.87 7.70
Assets
TOTAL NON CA. 1517.50 1745.16 227.66 13.04%
B. CURRENT
ASSETS
Inventories 445.64 480.93 35.29 7.33
Current Investments 45.59 0 -45.59 0
Trade Receivables 260.75 271.12 10.37 3.82
Cash And Cash 86.46 65.19 -21.27 -32.62
Equivalents
Bank balance 165.35 130.49 -34.86 -26.71
Loan 2.23 2.54 0.31 12.20
Other Financial Assets 27.08 19.23 -7.85 -40.82
Other Current Assets 456.53 850.55 394.02 46.32
TOTAL CA. 1489.63 1820.05 330.42 18.15%
TOTAL ASSETS 3007.12 3565.21 558.09 15.56%
=A+B

GRAPH STATING COMPARATIVE BALANCE SHEET AS ON 31-3-

2021 & 31-3-2022
 COMPARATIVE BALANCE SHEET
3600

3500

3400

3300

3200

3100

3000

2900

2800

2700
2021 2022

Total Capital & Liabilities Total Assets

ANALYSIS AND INTERPRETATION-

The overall of the corporate was Rs. 3565.21 cr with the year 2022 and Rs.
3007.12 cr with the year 2021. There is a rise of Rs. 558.09cr i.e. 15.56%.

COMMON SIZE FINANCIAL STATEMENT-

A typical size budget report demonstrates all things as rates of a typical base
figure instead of as supreme numerical figures. This kind of budget report is
simple examination between organizations or between timespans for a similar
organization. The qualities on the basic size explanation are passed on as
proportions or rates of an announcement part, for example, income.

COMMON SIZE INCOME STATEMENT-

The pay proclamation (otherwise called the benefit and shortfall "P&L"
articulation) gives an outline of streams of offers, costs, and total compensation
amid the revealing time frame. The salary proclamation condition in deals,
short costs and modifications, rises to total compensation. In this way, the
regular size salary proclamation characterizes all things as a level of offers.
Regular Size term is frequently utilized while investigating components of the
pay proclamation, yet the accounting report and the income explanation can
likewise be communicated as a typical size articulation.

COMMON SIZE BALANCE SHEET STATEMENT-

The monetary record gives a depiction rundown of the company's benefits,
liabilities and investors’ value for the revealing time frame. A typical size
accounting report is set up with a similar rationale as the regular size pay
articulation. The accounting report count is resources breaks even with
liabilities in addition to investors' value.

Subsequently, experts characterize the accounting report as a level of

advantages. Another adaptation of the regular size monetary record indicates
resource details as a level of all out resources, liabilities as a level of all out
liabilities and value as a level of all out investors' value.

TABLE STATING COMMON SIZE INCOME STATEMENT

AS ON 31-3-2021 & 31-3-2022
 31-03-2021 % change 31-03-2022 % change

INCOME
Revenue from 4099.01 100 4700.72 100

Operations (Gross)
Revenue from 4099.01 100 4700.72 100

Operations [Net]
Other Income 32.88 0.80 35.95 0.76

Total Revenue 4,131.88 100.80 4,736.67 100.74

EXPENSES
Operating and Direct 1853.07 45.20 3124.84 66.47

Expenses
Stock-in-trade 827.00 20.17 414.24 8.81

Changes In Inventories 39.98 0.97 (129.73) -2.75

Employee Benefit 87.80 2.14 99.30 2.11

Expenses
Finance Cost 66.23 1.61 16.77 0.35

Depreciation 140.91 3.43 129.44 2.75

Other Expenses 444.74 10.84 694.08 14.76

Total Expense 3459.74 84.40 4348.94 92.51

Profit/Loss before 672.15 16.39 387.73 8.24

Tax

GRAPH STATING COMMON SIZE INCOME STATEMENT

AS ON 31-3-16 & 31-3-2017
 COMMON SIZE INCOME STATEMENT

5000
4500
4000
3500
3000
2500
2000
1500
1000
500
0
Total Revenue Total Expenses Profit/Loss Before Tax

2021 2022

ANALYSIS AND INTERPRETATION

From the above table we can analyses that in the year 2022 total revenue fund
has 100.74 % and total expenses are 92.91 %. Profit /loss are 8.24% .
Common size income statement reveal how much percentage of total revenue
and how much is total expenses clearly.

TABLE STATING COMMON SIZE BALANCE SHEET AS ON

31-3-2021 & 31-3-2022
31-03-2021 chang 31-03-2022 change
 e in % in %
A. EQUITIES AND
LIABILITIES
Equity Share Capital 914.82 37.13 914.82 31.39
Other equity 1548.66 62.86 2017.11 68.79
Total Share Capital 2463.48 81.91 2931.93 82.23
B.NON-CURRENT
LIABILITIES
Long Term Borrowings 0.64 0.32 0.64 .33
Long Term Provisions 29.57 14.90 30.06 15.92
Deferred Tax Liabilities [Net] 166.88 84.11 156.76 83.04
Other Long Term Liabilities 1.32 0.66 1.32 .69
TOTAL NON CL. 198.40 6.59 188.77 5.29
C. CURRENT
LIABILITIES
Short Term Borrowings 112.19 32.49 121.94 27.43
Trade Payables 0.87 0.25 0.16 0.03
Total Outstanding 101.23 29.32 109.32 24.59
Other Current Liabilities 121.15 35.09 189.69 42.67
Short Term Provisions 0.34 0.09 0.41 0.09
Creditors 9.46 2.74 22.99 5.17
TOTAL CURRENT 345.23 11.48 444.51 12.47
LIABLITIES
TOTAL LIABILITIES 3007.12 100 3565.21 100
=A+B+C
A. NON-CURRENT
ASSETS
Fixed Assets 1123.06 74.00 1054.99 60.45
Capital Work-In-Progress 16.50 1.08 73.79 4.22
Investments In subsidiaries 2.98 0.19 27.97 1.60
Non-Current Investments 309.74 20.41 514.12 29.45
Others assets 1.26 0.08 1.22 0.06
Non-Current tax Assets 5.63 0.37 9.86 0.56
Other Non-Current Assets 58.34 3.84 63.21 3.60
TOTAL NON CA. 1517.50 50.46 1745.16 48.94
B. CURRENT ASSETS

Inventories 445.64 29.91 480.93 26.42

Current Investments 45.59 3.06 0 0
Trade Receivables 260.75 17.50 271.12 14.89
Cash And Cash Equivalents 86.46 5.80 65.19 3.58
Bank balance 165.35 11.10 130.49 7.16
Loan 2.23 0.14 2.54 0.13
Other Financial Assets 27.08 1.81 19.23 1.05
Other Current Assets 456.53 30.64 850.55 46.73
TOTAL CA. 1489.63 49.53 1820.05 51.05
TOTAL ASSETS =A+B 3007.12 100 3565.21 100

GRAPH STATING COMMON SIZE BALANCE SHEET AS

ON 31-3-2021 & 31-3-2022
 COMMON SIZE BALANCE SHEET
3500
2931.93
3000
2463.48
2500
2000 1745.16
1517.5
1500
1123.061054.99
1000
500 345.23 444.51
198.4 188.77
0
ds tie
s
tie
s ts ts
un ili ili se s se
s F
ab ab As tA
er L i Li xe
d n
old nt nt Fi rre
eh rr e rr e _ Cu
har Cu l Cu 02
l S 02_ ta x00
ta 00 To n_
To _x No
n l
l No ta
ta To
To

2021 2022

ANALYSIS AND INTERPRETATION

From the above table we can analyses that in the year 2017 shareholders fund
has 72.20% and loan funds are 16.96%. Fixed assets are 24.11% and current
assets are 6.25%. Common size balance sheet reveals how much percentage of
total assets is invested in fixed assets and current assets.

PROPORTION ANALYSIS
Proportion examination is one of the practices for monetary investigation
where proportions are used as a measuring stick for calculating the money
related condition and performance of association. Proportion examination was
spearheaded by Alexander divider who offered an arrangement of proportion
investigation in the year 2019.
CURRENT RATIO / PROPORTION
Is a marker of strong promise to meet its transient liabilities. Current
proportion is clarified as ‟ monetary security since it demonstrates the degree
of the working capital which is the advantages surpasses the present liabilities.
As expressed before a higher current proportion would demonstrate in
adequate work of assets while a poor present proportion is a hazard flag the
administration. It demonstrates the business is deals previous its sources. The
thought proportion is 2:1.
Current ratio = Current Assets / Current Liabilities.

TABLE STATING CURRENT RATIO

YEAR CURRENT ASSETS CURRENT LIABILITIES RATIO

2019 136384.28 97894.60 1.39

2020 211625.53 153324.28 1.38

2021 1489.63 345.23 4.31

2022 1820.05 444.51 4.09

GRAPH STATING CURRENT RATIO

 CURRENT RATIO

4.5

3.5

2.5

1.5

0.5

0
2019 2020 2021 2022

Total

INTERPRETATION:
The perfect current proportion is 2:1
From the above figuring it is induced that present resources for recovering
current liabilities are all the additional amid the year 2019 and later begins
expanding amid the year 2020. However, later it begins diminishing amid the
year 2021 and 2022 which demonstrates that present resources are more than
current liabilities.

LIQUID RATIO OR CASH RATIO

Fluid Ratio is likewise called Acid test proportion. This is the proportion of
fluid liabilities and fluid resources. The fluid resources are the advantages that
are changed into money and contain money adjusts, charges receivables,
Debtors and momentary ventures. (Stock) and prepaid costs are excluding in
fluid proportion.
Fluid risk incorporates all obligations barring bank overdraft the perfect
proportion is 0.5:1.
Liquid Ratio = Quick Assets / Current Liabilities.

TABLE STATING LIQUID RATIO

YEAR LIQUID ASSETS CURRENT LIABILITIES RATIO

2019 38196.86 97894.60 0.39

2020 60133.56 153324.28 0.39

2021 347.21 345.23 1

2022 336.31 444.51 0.75

GRAPH STATING LIQUID RATIO

LIQUID RATIO
1.2

0.8

0.6

0.4

0.2

0
2019 2020 2021 2022

Total

INTERPRETATION
The perfect fluid proportion is 1:1
From the above said table uncovers that the fluid proportion amid the year
2021-2022 for the most part demonstrates expanding pattern yet in 2022 it
begin diminishing. Fluid resources are sufficient to meet the present liabilities.
This demonstrates the fluid position of benefits is observed to be exceptionally
great.

DEBT EQUITY RATIO

This proportion is decide long haul dissolvability position of an organization.
Obligation value proportion is otherwise called "outside inner value
proportion". The proportion is determined to gauge the overall part of
pariahs/outside assets and investors" reserves put resources into the
organization. The best value proportion demonstrates the long haul money
related position of an association. A lower obligation value proportion shows
that an organization as a superior ability to meet in duties.
Obligation Equity Ratio = Long-Term Debts/Shareholders Funds.

TABLE STATING DEBT EQUITY RATIO

YEAR LONG PERIOD DEBTS SHAREHOLD FUNDS RATIO
2019 183.67 170784.64 1.07

2020 195.54 198749.45 9.83

2021 233.34 2463.48 0.09

2022 311.63 2931.93 0.10

GRAPH STATING DEBT EQUITY RATIO

 DEBT EQUITY RATIO
12

10

0
2019 2020 2021 2022

Total

INTERPRETATION :
A perfect obligation value proportion is "1" From the above figuring it is seen
that obligation value proportion is steady amid the year 2019 and later it begins
diminishing amid the year 2021-2022 and finally it expanded in the year 2020.
This uncovers the obligation is less when looked at the proprietors finance in
the year 2022.

ASSETS TURNOVER RATIO

Resource turnover (all out resource turnover) is money related proportions that
figure the proficiency of an establishment's utilization of its advantages for
item deals. It is a proportion of how well administration is utilizing the assets
available to its to advance deals. The proportion computes the profitability of
an organization's benefits
Assets Turnover = Revenue or net sales / Average Total Assets OR In Days =
365 / Assets Turnover.
TABLE STATING ASSETS TURNOVER RATIO
YEAR NET SALES TOTAL ASSETS RATIO
2019 336956.20 282037.93 1.19
2020 451836.24 362547.34 1.24

2021 4099.01 3007.12 1.36

2022 4700.72 3565.21 1.31

GRAPH STATING ASSETS TURNOVER RATIO

ASSETS TURNOVER RATIO

1.4

2021; 1.36
1.35

2022; 1.31
1.3

1.25
2020; 1.24

1.2
2019; 1.19

1.15

1.1
2019 2020 2021 2022

INTERPRETATION
From the above table it is obtained that the ratio during the year 2019, it is rise
during the year 2020 and the next year 2021 but 2022 it starts to decreasing
which indicates that there is an inefficient utilization of resources of a business
concern.

INVENTORY TURNOVER RATIO

Inventory turnover is a ratio show in what way several times a company has
traded & substituted inventory during a given period.
Calculating inventory turnover can help industries make better choices on
pricing / trade/marketing.

TABLE STATING INVENTORY TURNOVER RATIO

YEAR COST OF GOOD SOLD AVERAGE INVENTORY RATIO
2019 336956.20 24652.82 13.66
2020 451836.24 52153.02 8.66
2021 4099.01 445.64 9.19
2022 4700.72 480.93 9.77

GRAPH STATING INVENTORY TURNOVER RATIO

INVENTORY TURNOVER RATIO

16

14

12

10

0
2019 2020 2021 2022

Total

INTERPRETATION
From the above calculation it is examined that the ratio during the year 2019, it
is decreasing during the year 2020 and the next year 2021 but 2022 it begins
increasing which shows that there is an efficient use of stock of company.
NET PROFIT RATIO
Net profit is a popular profitability ratio that explain the relationship between
net profit after tax and net sales. It is computed by dividing the net profit (after
tax) by net sales.
Net profit ratio = (Net income after tax / Net sales) × 100
It is stated in percentage. Higher the net profit ratio, more is the profitability of
the business.

TABLE STATING NET PROFIT RATIO

YEAR NET PROFIT AFTER TAX NET SALES RATIO
2019 18453.54 336956.20 5.47
2020 21440.74 451836.24 4.74
2021 672.15 4099.01 16.39
2022 387.73 4700.72 8.24

GRAPH STATING NET PROFIT RATIO

NET PROFIT RATIO

18

16

14

12

10

0
2019 2020 2021 2022

Total

INTERPRETATION
From the above calculation it is obtained that the ratio during the year 2019, it
is decline during the year 2020 due to which company suffer from loss and the
next 2021 it starts increasing which shows that there is an efficient utilization
of resources of a business concern and sales start increasing. But it is decline
during the year 2022 due to company suffer from loss again.

NET OPERATING RATIO

The operating ratio indicate the effectiveness or productivity of company’s
management by comparing the total operating expenses of company to net
sales.
The operating ratio shows in what way is at keeping costs low while generating
revenue or sales.
Operating Ratio =Operating Expenses + Cost of Goods sold / Net Sales.

TABLE STATING NET OPERATING RATIO

YEAR OPERATING EXPENSES NET SALES RATIO

2019 198966.43 336956.20 1.59

2020 194031.06 451836.24 1.42

2021 1853.07 4099.01 1.45

2022 3124.84 4700.72 1.66

GRAPH STATING NET OPERATING RATIO

 NET OPERATING RATIO
1.7

1.65

1.6

1.55

1.5

1.45

1.4

1.35

1.3

1.25
2019 2020 2021 2022

Total

INTERPRETATION
From the above table it is obtained that the ratio during the year 2020, it is
raised during the year 2021 and the next year 2022 it begins increasing which
directs that there is an efficient utilization of properties of a business concern
as well as efficient a company’s management.
FINDINGS
 Very short and Quick solvency of the company is above the standard
and satisfactory. They have excessive Cash and Bank balances in hand
which are not generating any income to the company.

 Return on total resources is increased in all years fluctuate.

 Working capitals are not utilized-properly due to It results in lower

revenue.

 Return on total resources is increased in all 3 years and it has reached

the satisfactory level of the company.

 Fixed assets turnover ratio is not satisfactory due to reduction of

investment in fixed assets therefore company fails to generate
satisfactory income from fixed assets.

 Fixed assets are decreased by -6.450% but shareholder fund is not

utilized for the purchase of the fixed assets.
 Total Current assets is increased by 16.31and current liabilities is
increased by 22.33% it means liquidity position of a company is not
good.

 The total assets of the company in 2021 is 3700.72 which is increased in

2022 by 15.56%.
SUGGESTIONS
•The company has to issue new shares and it should accept the deposits from
the public.
•Management must achieve the targets by utilizing the current assets and
reducing the current liabilities.
•The company may increase its liquidity position through investing in readily
marketable securities there by maintaining sufficient working capital.
•Management needs to make an effective management of cash and they need to
invest the excessive cash in their hand to income generating activities.
•The company should try to improve and maintain its efficiency regarding to
the management of investors.
•Management should give more importance towards the raise in investments in
fixed assets by way of acquiring from the available excessive cash and bank
balance and other working capital assets.
•Company need to improve their present stock turnover ratio by way of
conducting more promotional activities for their products and need to give
effective training and development program to their sales executives and staffs.
•Management needs to improve their income generating capacity by way of
discarding the old assets which are not giving any income and to acquire the
new assets and technology which are having high potentiality in production.
CONCLUSION
In the light of findings of the study, the following some important conclusions
arc drawn from the available data of the company.

The company has increasing trend of cash and bank balances, which in incline
with the increase requirement of working capital for increasing as the
percentages of cash and bank balances.

The liquidity position of the company is not adequate.

Management should take the corrective action towards the reduction of

operating activities coast and indirect expenses of the company they are
burdening the operating and financial risk of the company. The company have
to make optimum utilization there funds there is a rise in reserves and surplus
to satisfy future and uncertainties.

The overall financial position of the company is not satisfactory due to

shortage of funds for long term assets and excessive investment in working
capital assets and accumulated losses. Financial performance is also not
satisfactory due to the uncontrolled indirect expenses and operating expenses
and operating expenses will lead to reduction in the percentage of income and
also leads towards the loss.
 ANNEXURE

BALANCE SHEET ( IN CRORE)

30-03-2022 30-03-2021 30-03-2020 30-03-2019
 ASSETS

A. NON-
CURRENT
ASSETS
Fixed Assets 1054.99 1123.06 118645.89 103614.21
Capital Work-In- 73.79 16.50 3572.52 22471.27
Progress
Investments In 27.97 2.98 687.81 186.83
subsidiaries
Non-Current 514.12 309.74 21727.57 11166.39
Investments
Others assets 1.22 1.26 145.89 145.19
Non-Current tax 9.86 5.63 259.04 2374.91
Assets
Other Non- 63.21 58.34 5883.09 5693.86
Current Assets
TOTAL NON 1745.16 1517.50 150921.81 145653.66
CA.
B. CURRENT
ASSETS
Inventories 480.93 445.64 52153.02 24652.82
Current 0 45.59 6301.18 1850.89
Investments
Trade Receivables 271.12 260.75 56528.96 36351.19
Cash And Cash 65.19 86.46 3640.60 1845.67
Equivalents
Bank balance 130.49 165.35 12147.74 9461.76
Loan 2.54 2.23 249.15 219.27
Other Financial 19.23 27.08 2860.72 3332.76
Assets
Other Current 850.55 456.53 77780.16 58669.92
Assets
TOTAL CA. 1820.05 1489.63 211625.53 136384.28
TOTAL ASSETS 3565.21 3007.12 362547.34 282037.93
=A+B
A. EQUITIES
AND
LIABILITIES
Equity Share 914.82 914.82 91482.27 91482.27
Capital
Other equity 2017.11 1548.66 107267.18 79302.37
Total Share 2931.93 2463.48 198749.45 170784.64
Capital
B.NON-
CURRENT
LIABILITIES
Long Term 0.64 0.64 63.70 63.70
Borrowings
Long Term 30.06 29.57 2967.45 2674.62
Provisions
Deferred Tax 156.76 166.88 7310.60 10500.41
Liabilities [Net]
Other Long Term 1.32 1.32 131.84 119.97
Liabilities
TOTAL NON 188.77 198.40 209223.06 184143.33
CL.
C. CURRENT
LIABILITIES
Short Term 121.94 112.19 64404.66 47736.87
Borrowings
Trade Payables 0.16 0.87 4.82 0
Total Outstanding 109.32 101.23 4.82 7.16
Other Current 189.69 121.15 74058.97 33704.06
Liabilities
 Short Term 0.41 0.34 9.88 29.67
Provisions
Creditors 22.99 9.46 14845.95 16416.85
TOTAL 444.51 345.23 153324.28 97894.60
CURRENT
LIABLITIES
TOTAL 3565.21 3007.12 362547.34 282037.93
LIABILITIES
=A+B+C