Premier Cement

Ratios 2018 2,019 2020 2021 2022

Liquidity Ratios
Current ratio 1.02 1.02 1.17 1.50 1.17

Acid test ratio 0.68 0.65 0.80 1.09 0.84

Activity ratios
Inventory turnover 6.73 5.26 4.78 5.46 5.23

Average age of inventory 54.22 69.34 76.38 66.82 68.82

Average collection period 54.99 60.01 54.92 14.62 12.57

Average payment period 113.28 137.77 162.45 153.27 169.99

Total asset turnover 0.47 0.49 0.44 0.47 0.53

Debt Ratios
Debt Ratio 42.06 39.83 34.06 33.18 38.87

Times interest Ratio 2.45 2.84 5.84 5.10 6.24

Profitibility Ratios
Gross profit margin 32.72 34.05 39.65 47.79 54.62

Net profit margin 6.70 9.74 14.56 18.90 18.84

Earnings per share 1.0 1.5 2.0 3.3 3.8

Return on asset 4.15 6.45 9.01 13.10 15.34

Return on equity 7.16 10.73 13.66 19.61 25.10

DU pont ROE 7.16 10.73 13.66 19.61 25.10

Market ratios
Price Earning Ratio
 Time Series Analyses
Liquidity Ratio

Liquidity Rati os
1 0.86
0.8 0.764
0.8 0.718
0.61
0.6 0.51 0.55 0.519
0.398 0.402
0.4
0.2
0
30 June 2022 30 June 2021 30 June 2020 30 June 2019 30 June 2018

Current Ratio Quick Ratio (Acid-Test Ratio)

Current Ratio:
 In 2022, The current ratio has decreased, reaching 1.17. This may indicate a balance of
indicates that the company is well-positioned to cover its short-term obligations.
 In 2021, A drastic increase happened in 2021. The current ratio of 1.50 indicates
indicating a healthy liquidity position but the company is not efficiently using its current
assets or may have excess inventory.
 In 2020, Another a slight increase from the previous year (1.02 in 2019) suggesting the
company is more than able to cover short term liabilities.
 In 2019, the current ratio remained the same as 2018 which was 1.02 indicating stability
in covering the short-term liabilities of the company.
 In 2018, the current ratio 1.02, indicating that, at this point, the company's short-term
liabilities were covered by its current assets.
Quick Ratio:
 In 2022, The quick ratio has decreased, reaching 0.84. This suggests potential challenges
in meeting short-term obligations without reliance on the inventory.
 In 2021, a significant increase is seen by becoming 1.09. which is often considered a
healthy level of liquidity. This improvement could be attributed to various factors such as
increased cash holdings, improved receivables management, or reduced reliance on
inventory
 In 2020, there was a slight increase as it became 0.80. This suggest an incline in the
ability to cover short-term obligation without relying on inventory.
  In 2019, a slight decrease happened in 2019 and quick ratio 0.65, indicating a decline in
the ability to cover short-term obligations without relying on inventory.
 In 2018, The quick ratio is 0.68, A quick ratio of 0.68 might be considered relatively low,
and it could imply that the company relies heavily on inventory or has slower.

25
Acti vity Ratios

20 19.52

15
12.4412.87
11.21 10.73 11.14
10 8.51 8.49
7.56
5.73
5

0.47 0.075 0.74 0.081 0.6 0.135 0.73 0.193 0.66

0.048
0
30 June 2022 30 June 2021 30 June 2020 30 June 2019 30 June 2018
Asset Turnover Ratio Inventory Turnover Ratio
Accounts Payable Turnover Ratio Accounts Payable Turnover Ratio
receivables.collections. Activity Ratio

Asset Turnover Ratio:

 30 June 2018, Asset Turnover Ratio 0.193. It indicates that, the company generated sales
equivalent to 19.3% of its total assets during the year.
 30 June 2019, Asset Turnover Ratio 0.135. It was decrease from 2018 to 2019, indicating
a decline in the efficiency of asset utilization for generating sales. The company
generated sales equivalent to 13.5% of its total assets in 2019.
 30 June 2020, Asset Turnover Ratio 0.081. Another decrease in the Asset Turnover Ratio
from 2019 to 2020, suggesting further challenges in efficiently using assets to generate
revenue. The company generated sales equivalent to 8.1% of its total assets in 2020.
 30 June 2021, Asset Turnover Ratio 0.075. The trend of decreasing asset turnover
continues in 2021, indicating ongoing challenges in optimizing asset utilization. The
company generated sales equivalent to 7.5% of its total assets in 2021.
 30 June 2022, Asset Turnover Ratio 0.048. The Asset Turnover Ratio sees a significant
decline in 2022, reaching 4.8%.
Inventory Turnover Ratio:
 30 June 2018, Inventory Turnover Ratio 12.44. The company had a high inventory
turnover, indicating efficient management of its inventory. The ratio of 12.44 suggests
that the company sold and replaced its inventory 12.44 times during the year.
 30 June 2019, Inventory Turnover Ratio 11.14. While the ratio decreased in 2019, it still
remained relatively high, suggesting that the company continued to manage its inventory
efficiently. The ratio of 11.14 implies that the company sold and replaced its inventory
11.14 times during the year.
 30 June 2020, Inventory Turnover Ratio 7.56. The Inventory Turnover Ratio saw a
significant decrease in 2020, indicating a potential slowdown in the sales and
replacement of inventory. The ratio of 7.56 suggests that the company sold and replaced
its inventory 7.56 times during the year.
 30 June 2021, Inventory Turnover Ratio 8.51. There was a slight increase in the
Inventory Turnover Ratio in 2021, but it remained lower than the ratios in 2018 and 2019.
The ratio of 8.51 implies that the company sold and replaced its inventory 8.51 times
during the year.
 30 June 2022, Inventory Turnover Ratio 11.21. The Inventory Turnover Ratio increased
significantly in 2022, suggesting a faster turnover of inventory. The ratio of 11.21 implies
that the company sold and replaced its inventory 11.21 times during the year.

Accounts Payable Turnover Ratio:

 30 June 2018, Accounts Receivable Turnover Ratio 0.66. The company turned over its
accounts receivable 0.66 times during 2018, indicating that, on average, it collected
outstanding receivables 0.66 times during the year.
 30 June 2019, Accounts Receivable Turnover Ratio 0.73. The ratio increased in 2019,
suggesting a slight improvement in the collection of receivables. The company turned
over its accounts receivable 0.73 times during the year.
 30 June 2020, Accounts Receivable Turnover Ratio 0.6. There was a decrease in the ratio
in 2020, indicating a longer time to collect receivables. The company turned over its
accounts receivable 0.6 times during the year.
  30 June 2021, Accounts Receivable Turnover Ratio 0.74. The ratio increased again in
2021, suggesting an improvement in receivables management. The company turned over
its accounts receivable 0.74 times during the year.
 30 June 2022, Accounts Receivable Turnover Ratio 0.47. The ratio decreased
significantly in 2022, indicating a longer collection period for receivables. The company
turned over its accounts receivable 0.47 times during the year.

Accounts Receivable Turnover Ratio:

 30 June 2018, Accounts Payable Turnover Ratio 12.87. The company turned over its
accounts payable 12.87 times during 2018, suggesting it paid its accounts payable almost
13 times during the year.
 30 June 2019, Accounts Payable Turnover Ratio 8.49. The ratio decreased in 2019,
indicating a slower turnover of accounts payable. The company turned over its accounts
payable 8.49 times during the year.
 30 June 2020, Accounts Payable Turnover Ratio 5.73. There was a further decrease in the
ratio in 2020, suggesting an even slower turnover of accounts payable. The company
turned over its accounts payable 5.73 times during the year.
 30 June 2021, Accounts Payable Turnover Ratio 10.73. The ratio increased in 2021,
indicating a faster turnover of accounts payable. The company turned over its accounts
payable 10.73 times during the year.
 30 June 2022, Accounts Payable Turnover Ratio 19.52. The ratio increased significantly
in 2022, suggesting a much faster turnover of accounts payable. The company turned
over its accounts payable 19.52 times during the year.
 Debt Ratio

Debt Ratio
3.5
3
2.5
2
1.5
1
0.5
0
30 June 2022 30 June 2021 30 June 2020 30 June 2019 30 June 2018

Debt ratio:
 In 2018, the ratio was 1.98, indicating that around 1.98% of the company's assets were
financed by debt.
 In 2019, it increased to 2.7, suggesting a higher reliance on debt for financing.
 In 2020, there was a further increase to 3.11, indicating an even higher level of debt.
 In 2021, the ratio decreased to 2.16, suggesting a reduction in the reliance on debt.
 In 2022, there was a notable increase to 3.08.
 Profitability Ratio

Profi tability Ratios

100.00%
80.00%
60.00%
40.00%
20.00%
0.00%
30 June 2022 30 June 2021 30 June 2020 30 June 2019 30 June 2018
-20.00%
-40.00%
-60.00%
-80.00%
-100.00%

Gross Profit Margin Operating Profit Margin Net Profit Margin

Return on Assets (ROA) Return on Equity (ROE)

Gross Profit Margin:

 30 June 2018, Gross Profit Margin 11.70%. The gross profit margin was 11.70% in 2018,
indicating that for every dollar of revenue, the company retained $0.117 as gross profit.
 30 June 2019, Gross Profit Margin: 17.40%. The gross profit margin increased in 2019,
suggesting improved efficiency in the cost of goods sold. The company retained $0.174
as gross profit for every dollar of revenue.
 30 June 2020, Gross Profit Margin 16.60%. The gross profit margin slightly decreased in
2020, indicating a minor reduction in the efficiency of cost management. The company
retained $0.166 as gross profit for every dollar of revenue.
 30 June 2021, Gross Profit Margin 19.30%. The gross profit margin increased in 2021,
reaching 19.30%. This suggests improved efficiency in managing the cost of goods sold.
The company retained $0.193 as gross profit for every dollar of revenue.
 30 June 2022, Gross Profit Margin 16.40%. The gross profit margin decreased in 2022,
suggesting a reduction in the efficiency of cost management. The company retained
$0.164 as gross profit for every dollar of revenue.
Operating Profit Margin:
 30 June 2018, Operating Profit Margin 66.20%. The operating profit margin was 66.20%
in 2018, indicating that 66.20% of the company's revenue was retained as operating
profit.
 30 June 2019, Operating Profit Margin 75%.The operating profit margin increased in
2019, reaching 75%. This suggests improved operational efficiency. The company
retained 75% of its revenue as operating profit.
 30 June 2020, Operating Profit Margin 69%. The operating profit margin slightly
decreased in 2020, indicating a minor reduction in operational efficiency. The company
retained 69% of its revenue as operating profit.
 30 June 2021, Operating Profit Margin 72.70%. The operating profit margin slightly
decreased in 2021 but remained high at 72.70%. The company retained 72.70% of its
revenue as operating profit.
 30 June 2022, Operating Profit Margin 49.20%. The operating profit margin decreased
significantly in 2022, indicating a substantial reduction in operational efficiency. The
company retained 49.20% of its revenue as operating profit.

Net Profit Margin:

 30 June 2018, Net Profit Margin 29.10%. The net profit margin was 29.10% in 2018,
indicating that 29.10% of the company's revenue was retained as net profit after all
expenses.
 30 June 2019, Net Profit Margin 35.80%. The net profit margin increased in 2019,
reaching 35.80%. This suggests improved overall profitability. The company retained
35.80% of its revenue as net profit.
 30 June 2020, Net Profit Margin: 18.10%. The net profit margin decreased in 2020,
indicating a reduction in overall profitability. The company retained 18.10% of its
revenue as net profit.
 30 June 2021, Net Profit Margin 33.90%. The net profit margin increased in 2021,
reaching 33.90%. This suggests a rebound in overall profitability. The company retained
33.90% of its revenue as net profit.
 30 June 2022, Net Profit Margin -88.50%. The net profit margin turned negative in 2022,
indicating a substantial loss. The company had a net loss of 88.50% of its revenue.
Return on Assets (ROA):
 30 June 2018, ROA 4.29%. The return on assets was 4.29% in 2018, indicating that the
company generated a return of 4.29% on its total assets.
 30 June 2019, ROA 3.23%. The ROA decreased in 2019 but remained positive at 3.23%.
The company generated a return of 3.23% on its total assets.
 30 June 2020, ROA 1.11%. The ROA further decreased in 2020, indicating a decline in
the overall efficiency of asset utilization. The company generated a return of 1.11% on its
total assets.
 30 June 2021, ROA 1.99%. The ROA increased in 2021, suggesting a slight improvement
in the efficiency of asset utilization. The company generated a return of 1.99% on its total
assets.
 30 June 2022, ROA -2.75%. The ROA turned negative in 2022, indicating that the
company incurred a loss greater than its total assets' value. The company had a negative
return of 2.75% on its total assets.

Return on Equity (ROE):

 30 June 2018, ROE 4.87%. The return on equity was 4.87% in 2018, indicating that the
company generated a return of 4.87% on its shareholders' equity.
 30 June 2019, ROE 8.11%. The ROE increased in 2019, suggesting improved returns for
shareholders at 8.11%.
 30 June 2020, ROE 2.64%. The ROE decreased in 2020, indicating a decline in returns
for shareholders at 2.64%.
 30 June 2021, ROE 9.84%. The ROE increased in 2021, suggesting improved returns for
shareholders at 9.84%.
 30 June 2022, ROE -14.89%. The ROE turned negative in 2022, indicating that the
company incurred a loss greater than its shareholders' equity. Shareholders experienced a
negative return of 14.89%.
 Market Ratio

Market Rati os
25

20

15

10

0
30 June 2022 30 June 2021 30 June 2020 30 June 2019 30 June 2018
-5

-10

Price to Earnings (P/E) Ratio Price to Book (P/B) Ratio

Price to Earnings (P/E) Ratio:

 30 June 2018, P/E Ratio 10.34. The P/E ratio was 10.34 in 2018, indicating that investors
were willing to pay 10.34 times the company's earnings per share for its stock.
 30 June 2019, P/E Ratio 8.31. The P/E ratio decreased in 2019, suggesting a decrease in
investor confidence or expectations for future earnings. Investors were willing to pay
8.31 times the company's earnings per share for its stock.
 30 June 2020, P/E Ratio 19.49. The P/E ratio increased significantly in 2020, suggesting
increased investor optimism or expectations for future earnings growth. Investors were
willing to pay 19.49 times the company's earnings per share for its stock.
 30 June 2021, P/E Ratio 12.93. The P/E ratio decreased in 2021, indicating a potential
adjustment in investor expectations. Investors were willing to pay 12.93 times the
company's earnings per share for its stock.
 30 June 2022, P/E Ratio -7.73. The P/E ratio turned negative in 2022, which is unusual
and may suggest a net loss for the company. A negative P/E ratio could also be a sign of
financial distress or other issues. Investors might be cautious, and this ratio requires
careful analysis.
Price to Book (P/B) Ratio:
 30 June 2018, P/B Ratio 0.9. The P/B ratio was 0.9 in 2018, indicating that investors
were willing to pay 0.9 times the company's book value per share for its stock.
 30 June 2019, P/B Ratio 1. The P/B ratio increased slightly in 2019, reaching 1. Investors
were willing to pay the book value per share for the company's stock.
 30 June 2020, P/B Ratio 0.74. The P/B ratio decreased in 2020, suggesting a potential
decrease in investor confidence or a revaluation of the company's assets. Investors were
willing to pay 0.74 times the company's book value per share for its stock.
 30 June 2021, P/B Ratio 2.4. The P/B ratio increased significantly in 2021, indicating
increased investor confidence or a higher valuation of the company's assets. Investors
were willing to pay 2.4 times the company's book value per share for its stock.
 30 June 2022, P/B Ratio 1.23. The P/B ratio decreased in 2022, suggesting a potential
revaluation or decreased investor confidence. Investors were willing to pay 1.23 times the
company's book value per share for its stock.
 Du-point

Du-point
15.00%

10.00%

5.00%

0.00%
30 June 2022 30 June 2021 30 June 2020 30 June 2019 30 June 2018
-5.00%

-10.00%

-15.00%

-20.00%

Return on Assets (ROA) Return on Equity (ROE)

Return on Assets (ROA):

 30 June 2018, ROA 4.29%. The return on assets was 4.29% in 2018, indicating that the
company generated a return of 4.29% on its total assets.
 30 June 2019, ROA 3.23%. The ROA decreased in 2019 but remained positive at 3.23%.
The company generated a return of 3.23% on its total assets.
 30 June 2020, ROA 1.11%. The ROA further decreased in 2020, indicating a decline in
the overall efficiency of asset utilization. The company generated a return of 1.11% on its
total assets.
 30 June 2021, ROA 1.99%. The ROA increased in 2021, suggesting a slight improvement
in the efficiency of asset utilization. The company generated a return of 1.99% on its total
assets.
 30 June 2022, ROA -2.75%. The ROA turned negative in 2022, indicating that the
company incurred a loss greater than its total assets' value. The company had a negative
return of 2.75% on its total assets.
Return on Equity (ROE):
 30 June 2018, ROE 4.87%. The return on equity was 4.87% in 2018, indicating that the
company generated a return of 4.87% on its shareholders' equity.
 30 June 2019, ROE 8.11%. The ROE increased in 2019, suggesting improved returns for
shareholders at 8.11%.
 30 June 2020, ROE 2.64%. The ROE decreased in 2020, indicating a decline in returns
for shareholders at 2.64%.
 30 June 2021, ROE 9.84%. The ROE increased in 2021, suggesting improved returns for
shareholders at 9.84%.
 30 June 2022, ROE -14.89%. The ROE turned negative in 2022, indicating that the
company incurred a loss greater than its shareholders' equity. Shareholders experienced a
negative return of 14.89%.