QUANTUM UNIVERSITY

Assignment-1
Program: - MBA Semester:-1

Subject: - Financial Statement Subject Code:-MB4107

Name of Faculty: - Dr. Pushpendra Singh Session: - 2022-23

Max. Marks:- 30

Submitted By:- Sagar Gaur

SAGAR CEMENT LIMITED

Sagar Cements Limited (SCL) is one of India's leading cement manufacturer with an installed
production capacity of 8.25 MTPA. For over three decades, we have been committed to creating
lasting stakeholder value while maintaining a sustainable growth outlook with our robust
foundation and a steady growth focus.

The brand name ‘Sagar’ embodies ‘strength’, ‘endurance’ and ‘progress’. These aspects,
together, inspire us to develop high-quality products customised to customers’ changing needs,
while ensuring the lowest possible carbon footprint. We manufacture Ordinary Portland Cement
(OPC) of grade 53 and 43, Portland Pozzolana Cement (PPC), Sulphate Resistant Portland
Cement (SRPC), Portland Slag Cement (PSC) and Ground Granulated Blast-furnace Slag
(GGBS).

COMPOSITION OF BOARD OF DIRECTRS

S.NO. NAME DESIGNATION

1. K Thanu Pillai Chairman & Ind. Diretors

2. S. Streekanth Reddy Joint Managing Directors

3. John-Eric Bertrand Non Executive Director

4. O Rekha Independent Director

5. N Sudha Rani Nominee Directors

COMPANY’S MISSION AND VISION

MISSION: - To be the India’s most respected and attractive company in our industrie
creating value for all our stakeholder.
Vision: - to provide foundations society’s future.

Highlights of balance sheet of the company

Our Mission
To be the India’s most respected and attractive company in our industry – creating value for all
our stakeholders.
Highlights of the income statement
 Ratio Analysis

(1). Short-term solvency ratio: -

(a). Current ratio: - Current assets

Current liability

As at 31st march 2021

 51140 = 1.01: 1
50429
The company’s current ratio is almost satisfying but it
needs to be improved.

As at 31st march 2022

 55839 = 0.87: 1
63504
The company’s current ratio is not satisfying. Comparing
to previous year it is going down.

(b). Quick Ratio: - Quick assets

Current liability

As at 31st march 2021

 38712 = 0.76: 1
50429
The company’s Quick ratio is not satisfying and need to be
improved.

As at 31st march 2022

 38467= 0.60: 1
63504
The company’s Quick ratio is not so good and much
needed to be improved.
(2). Long-term solvency ratio: -

(a). Debt-Equity Ratio: - Long-term debt

Shareholder’s funds

As at 31st march 2021

38189 = 0.31: 1
119494

The company’s Debt-equity ratio is very good, it can raise

more debt for leveraging its stakeholder’s wealth.

As at 31st march 2022

 76614 = 0.59:1
129411
The company’s Debt-equity ratio is remained same as
previous year but the company need more improvement
for best use of leveraging.
(b). Fixed assets to long-term debt: - Fixed assets
Long-term debt

As at 31st march 2021

 156972 = 4.1: 1
38189

As at 31st march 2022

 213690 = 2.7: 1
76614

(d). Debt to Capital Employed: - Debt

C.E

As at 31st march 2021

  38189= 0.24:1
157683

As at 31st march 2022

 76614 = 0.08: 1
896025

(e). Equity to Capital Employed: - Equity

C.E

As at 31st march 2021

 119494 = 0.75 times

157683

As at 31st march 2022

 129411= 0.14: 1
896025
(3). Activity Ratio OR Turnover Ratio: -

(a). Total assets turnover ratio: - Sales

T.A

As at 31st march 2021

 137488 = 0.66 times

208112

As at 31st march 2022

 156786= 0.58times
269529

(b) Fixed assets turnover ratio: - Sales

Fixed assets
As at 31st march 2021

 137488 = 0.8 times

156972
 As at 31st march 2022

 156786 =0.7times
213690

(c) Inventory turnover ratio and average holding period: -

COGS
INVENTORY

As at 31st march 2020

 47881 =3.8 times

12428

365 = 365 = 96 days

ITR 3.8

As at 31st march 2021

 76935 = 4.4 times

17372
 365 = 82 days
4.4

(d) Debtor turnover ratio and day’s sales outstanding: -

Sales
Average Debtor

As at 31st march 2021

 137488 = 13.6 times

10074
365 = 26 days
13.6

As at 31st march 2022

 156786 = 12.6
12411

365 = 28 days
12.6
(4). Profitability Ratio: -

(a). Gross profit ratio: - GP * 100

Sales

As at 31st march 2021

 896086 * 100 = 65%

137488

As at 31st march 2022

 79851 * 100 = 50%

156786
(b). Net profit ratio: - PAT
Sales

As at 31st march 2021

 18926 * 100 = 13%

137488

As at 31st march 2022

 10378 * 100 = 6%
156786

(d). Return on Equity: - PAT * 100

Shareholder’s funds

As at 31st march 2021

  18926 * 100 = 15%
119494

As at 31st march 2022

 10378 * 100 = 8%
129411