ANKUR Pro Report Marketing

ANKUR Protein Industries Ltd.
A PROJECT REPORT ON FINANCIAL RATIO ANALYSIS
OF
In
Practical Fulfillment The Requirement For BBA Programme
Submitted To: (NORTH GUJARAT UNIVERSITY) HNSB COLLEGE OF MANAGEMENT STUDIES, HIMMATNAGAR. (S.K)
SUBMITTED BY:RAVAL KRUNAL .K ROLL NO:- 81
GUIDED BY:PROF NILESHBHAI PATEL
Sit No:TYBBA [2008-2009]
PREFACE
Individual visit is a necessary part of BBA programme. This visit is useful for BBA student. In this programme I study in TY BBA & I have to visit the company for practical training during the date 3rd November to 29th November, 2008.
I have selected ANKUR Protein Industries Ltd. For training. Which is well famous in Edible Oil Market. There is an only industry which can gets constant stand in the Edible Oil Market. We all know that the profit margin of company is very high. I have visited ANKUR Protein Industries Ltd. It
was a very good experience for me to look at the practical side of the business.
This report shows the General Information & Financial performances through Ratio Analysis Of the company.
I have to prepare report of the ANKUR Protein Industries Ltd. Company.
ACKNOWLEDGEMENT
Practical training is one of the highlights of BBA course. I here by take the opportunity to thankful all of them specially. I also thankful to the company for their guidance and assistance sparing their valuable time discussing the several aspect of Management.
First of all I would like to thank our honorable principal Mr. SAMIRBHAI VORA who will provide me the permission for the industrial visit for practical training. I would also like to thank our kind professor namely PROF.NILESHBHAI PATEL, who helped me a lot normally and provided me with all academic and other information.
And lastly, I also express my heart felt thank to some of my related member & classmates, who were a constant source of encouragement to me.
Thanking you,
RAVAL KRUNAL ROLL NO:- 81 Sit No:TYBBA [2008-2009]
INDEX
SUB.NO . A. B.
SUBJECT
UNIT AT A GLANCE INTRODUCTION OF FINANCIAL FUNCTION
PAGE NO .
C. D. E.
EXECUTIVE SYNOPSIS FINANCIAL RATIO ANALYSIS FINDINGS
F. G. H. I.
SUGGESTION LIMITATION CONCLUSION APPENDIX
J.
BIBLIOGRAPHY
INDEX OF CHART & TABLE
TABLE & CHART No.

*
SUB. NAME
PAGE No.
TABLE CHART
*LIQUIDITY RATIO*
D:-2.1
Current Ratio
D:-2.2 D:-2.3 * D:-3.1 D:-3.2 D:-3.3 D:-3.4
Liquid Ratio
Quick Ratio *LEVERAGE RATIO*
Proprietary Ratio Debt- eq. Ratio Capital gearing Ratio FixCap.&FixAss.Ratio
* D:-4.1 D:-4.2 D:-4.3 D:-4.4 D:-4.5 D:-4.6
*PROFITABILITY*RATIO
Goss Profit Ratio Net Profit Ratio Operating Profit Ratio

Rate of return on invst.Ratio Rate of return on Eq.Ratio Return on Cap.Emp.
D:-4.7 * D:-5.1 D:-5.2 D:-5.3 D:-5.4 D:-5.5
Return on Sh.Holders Funds Ratio *TURNOVER RATIO*
Total Ass. T.R Net Fix Ass. T.R Net working Cap. T.R Inventory T.R Debtors T.R
* D:-6.1 D:-6.2 D:-6.3
*VALUATION RATIO*
Earning Per Share Dividend Payout Ratio Book Value per Share
A)...Unite At a Glance
INDEX
SUB.N O A:-1 A:-2 A:-3 A:-4
Sub. NAME Name of the Company Establishment of the Unit Address Of the Company E-Mail Address Of the Company
PAGE NO.
A:-5 A:-6 A:-7 A:-8 A:-9 A:-10 A:-11
Registered Office Of the Company Marketing Office Of the Company Size Of the Unit Classification Based on Ownership Total Area of the Unit Purpose of the Unit Classification Based on Nature
A:-12 A:-13 A:-14 A:-15 A:-16 A:-17
Factor for Selecting Above Production Site Numbers & Name Of Department Name Of Products Numbers of Employees Working Shift & working time Utilities Of the Unit
A:-18 A:-19 A:-20 A:-21 A:-22 A:-23 A:-24
Organisation Structure Bankers of the company Competitors of the Unit Brand Name Of the Company Suppliers Of the Row materials Name of Row materials Storage & Warehousing facilities
A:-25
Other Information
(A:-1):- Name of the COMPANY:-
(A:-2):- Establishment of the unit : The unit is established Since
1992.
(A:-3):- Address of the company :-
ANKUR Protein Industries Ltd. Panchratna Estate, Sarkhej-Balva Highway, Opp. Bhagyoday Hotel, Changodar -382210. TA: - Sanand Dist: -Ahmedabad,
Gujarat [India.]
(A:-4):- E-mail Address :
ankur_pro@hotmail.com ankurpltd@yahoo.com
(A:-5):- Registered office :-
ANKUR Protein Industries Ltd. Panchratna Estate, Sarkhej-Balva Highway, Opp. Bhagyoday Hotel, Changodar -382210. TA: - Sanand Dist: -Ahmedabad,
Gujarat [India.]
(A:-6):- Marketing Office : ANKUR Protein Industries Ltd. Panchratna Estate,
Sarkhej-Balva Highway, Opp. Bhagyoday Hotel, Changodar -382210. TA: - Sanand Dist: -Ahmedabad, Gujarat [India.]
(A:-7):- Size of the unit :
Classification Based ON size of This Company is Large Scale Unit.
It has different type of assets and fixed capital investment.
(A:-8):- Classification Based ON Ownership :ANKUR Protein Company is PUBLIC LIMITED Company.
(A:-9):- Total Area of the Unit:-
Total area occupies of the unite are 414582 Sq. Ft.
(A:-10):- Purpose of Establishment :Provide Best Quality Edible Oil. Prompt Delivery with Moderate Price to satisfy to the customers & their clients.
& Development of The company.
(A:-11):- Classification Based on Nature :-
This company's business is based on production (manufacturing) & marketing of Good Quality Edible Oil in the Market.
(A:-12):- Factor for selecting above Production Site :-
Because of good location & easy available of utilities like, electricity, Transportation facilities, Raw materials etc.
(A:-13):- No. & Name Of departments of unit:
There are four (4) departments in this unit A). Production Department Oil Mill Solvent Extra Plant Refinery B). Personnel Department C). Marketing Department
D). Finance Department
(A:-14):- Name of The Products :-
Ankur Edible Oil : A). Cotton Seeds Oil.
B). Soybean Oil. C). Ground Nut Oil.
(A:-15):- Numbers Of Employees: Total Employees in the Company are :- 39 On PERMENANT Base:- 13 On Contract Base :- 26
(A:-16):- Working Shifts :1). 1st Shift :- 8:00 am TO 4:00 pm 2). 2nd Shift :- 4:00 pm TO 12:00 am 3). 3rd Shift :- 12:00 am TO 8:00 am
There are Three Shifts in Production Department :
Working Time : Working Hours :- 8 hours / Shifts
- 1 hours / Recess
7 hours / Shifts
In Other departments, there is 1 (one) Shift
(A:-17):- Utilities of the Unit :-
Humidity
Control with static discharge floor, Water supply,
Electricity
(Provide By UGVCL), Free Air-conditioned Area ,
(A:-18):- Organization Structure :Chairma n
Managing Director Manager
Accountant CASHIER
SUPERVISER
WORKERS
(A:-19):- Bankers of the Company :-
The KALUPUR Com. Co.Op.Bank. HDFC Bank Ltd.
(A:-20):- Competitors of The Unit : Maruti Edible Oil, Tirupati Edible Oil, Gulab Edible Oil, Ganesh Edible Oil,
Fortune Edible Oil. Etc
(A:-21):- Brand Name Of The Company :-
Slogan for the Product of the Company In Gujarati Language Halka Fulka Parkhu Chahako Ni Viswasniy Pasand Pasand Privar Hal-Pal Tyohar Swasthya Bharyu Tel Ankur tel Swad ka Jadu
(A:-22):- Suppliers Of Raw materials: Raw materials Transportation Done by Road Way. Suppliers:1). Vishram Oil Industries. 2). Prabhat
3). Gajanand 4). Hari Krishna Oil Industies At&Ta :- MANSA Dist :- Gandhinagar. 5). Tarul Oil Industries 6). Ragukul Oil Industries 7). Rushikesh Oil Industries
8). Sakti Oil Industries at:Ranasan Ta:-Vijapur Dist:Maheshana.
(A:-23):- Name Of Raw materials: Raw materials are: Cotton Seeds (cotton Crush Raw Oil)
Soyabean (soyabean Crush Raw Oil) Groundnut (Groundnut Crush Raw Oil)
(A:-24):- Storage & Warehousing Facilities: Companys Storage & Warehousing Facilities done at Production site in Big Tanks.
(A:-25):- Other Information :1). Mission Of The Company:-
The Company's Aim is to Quality, Prompt delivery with Moderate price to Satisfy its Customers & Clients. Maximum Development. To obtain high Efficiency & Productivity. To Train & Motivate Human Resources.
To carry on Continuous Modernization & Technology up Gradation. To reach at with Employment Opportunities.
2).Operations:-
During the Year 2007-08, The Company has refined 11070.37 MT of Cotton seed oil (previous year 2006-07, 8550.326 MT) in its refinery. Company also purchased & Packed 4703 MT refined Cottonseed / Refined Soyabean oil & Groundnut oil for resale.
3). Listing of Securities: The Securities of the company are listed on the Stock Exchange at Ahmedabad & Mumbai. The stock code allotted by the Stock Exchange is 519471_Mumbai. & 38011_Ahmedabad.
4).Industrial Relations:-
The relations between the employees & the Management have remained cordial through the year.
5).Auditors of the Company:
M/S Agrawal & Mandowara.
B)...Introduction of
Financial Function INDEX
SUB.NO B:-1 B:-2 B:-3
Sub. NAME Introduction Finance Management Org. Structure of Fin. Department Other Information Related F.Dep.
PAGE NO.
(B:-1):- Introduction of Financial Management: Financial

Management is the art and science of managing money or Finance
Finance may be defined as the art and science of managing

money. The major areas of finance are:
(1)...Financial services (2)...Managerial management. finance/corporation finance/financial
(1). Financial services: Financial services are concerned with the design and
delivery of advice and financial products to individuals, business and governments.
(2). Managerial finance/corporation finance/financial

management:-
Financial management is concerned with the duties of the

financial manages in the business firm.
Financial mangers actively manage the financial affairs of

any type of business, namely, financial and non-financial,
privet and public, large and small, profit seeking and notfor-profit.
Finance is most important of every company. Because every

company wants earning maximum profit. Profits depend upon the all-financial information. So financial information define the company position.
So we also call Finance is very important for running of

any Business like the Blood which is play very important
role for our Life .without Blood our life is not possible that way without finance the Life of Business is not possible.
In Short FINANCE means: F for functioning of Fund. I for Investment Decision. N for Net Value of Money.
A for Avocation of Fund. N for Null & Avoidance of loss. C for Choice of Project. E for Earn Profit.
(B:-2):-Organisation Structure of Financial Department:-
Finance Manager (Mr. Vinodbhai Patel)

Accountant(Mr. Kanubhai Shah) Clerks (Mr.Harshbhai Panchal) Cashier (Mr.Dhirajbhai Shah)
(B:-3):- Other Information :-
(1).Sub-Department of the Finance Department:
There are four sub-department in the Finance Department: 1). Account Department. 2). Govt.Audit Department.
3). Internal Audit Department. 4). Computer Department.
(2).Bankers Of the Company:The Kalupur Com. Co. Op. Bank. HDFC Bank Ltd.
Ankur Prot. Industries Ltd makes its Finance Department with the following matter: 1). Capital, 2). Sources of capital, 3). Liability, 4). Loan,
5). Assets, 6). Total turnover, 7). Depreciation, 8). Profit, 9). Loss,
(3).Financial Calendar Of the Company : The financial calendar of the company is From: - 1st April to 31st March.
(4). Listing Of the Securities:The Securities of the Company are listed on the Stock Exchange at Ahmedabad & Mumbai. The Stock Code allotted by the Stock Exchanges in 519471-Mumbai & 38011-Ahmedabad.
5).Auditors of the Company: M/S Agrawal & Mandowara.
C)...Executive Synopsis
INDEX
SUB.NO C:-1 C:-2 C:-3 C:-4
Sub. NAME Subject of Study Objective of Study Research Methodology & Data Collection Research Application & Tools of
PAGE NO.
Analysis
(C:-1):- Subject of Study:The Subject of Project Report is Financial Ratio Analysis of Ankur Protein Industries Ltd.
The Subject is concern with study & Analysis of Ankur Protein Industries Ltd.
(C:-2):- Objective of Study:The Objective of Study are as under:-
1). To Analysis the present Financial Position of the Company. 2). To Find out different Ratio of the Company. 3). To Know the Value of the Company.
(C:-3):- Research Methodology & Data Collection:-
Research Methodology is Financial Ratio Analysis which are: 1). Liquidity Ratio,
2). Profitability Ratio, 3). Leverage Ratio, 4). Assets turnover Ratio, 5). Valuation Ratio. In Project Report, I have some specific information to collection secondary data.
One of the most useful is by source which suggests the classification of Internal & External data.
(C:-4):- Research Application & Tools of Analysis:-
1). Liquidity Ratio, 2). Profitability Ratio, 3). Leverage Ratio,
4). Assets turnover Ratio, 5). Valuation Ratio. This all Ratio define, calculate, interpretation & uses chart to understand in this Report.
D)...Financial Ratio
Analysis INDEX
SUB.NO D:-1 D:-2 D:-3 D:-4 D:-5
Sub. NAME Introduction Liquidity Ratio Leverage Ratio Profitability Ratio Turnover Ratio
PAGE NO.
D:-6
Valuation Ratio
(D:-1):- Introduction: The output of financial accounting is the financial

statements viz. profit and loss account and balance sheet. These statements represent various item as individual items like advertisement expenses or as group items like current assets. The purposes of these
statements are to show profit or losses during a particular period and the financial condition on a particular point of time. However it fails to convey the following aspects of the business in which all stock holders are interested: (1). The relationship of two relevant items
(2). As per the provision of the companies act, 1956 the

companies are required to give the preceding years figures for every item of the profit and loss account and balance sheet.
There are different ratio of the finance as

following:-
Liquidity Ratio, Leverage Ratio, Profitability Ratio, Turnover Ratio, Valuation Ratio.
(D:-2):- Liquidity Ratio: Liquidity means the ability of the firm to meet its
short-term current obligation or liabilities as & when they become due for payment.
Liquidity of a firm can be assessed with the help of

liquidity ratios, which measure the ability of a firm to meet its short-term obligations & show the short-term financial strength/solvency of a firm. These are following: 1). Current Ratio, 2). Liquid Ratio,
3). Quick Ratio.
(1):- Current Ratio:
C.R= Current Assets / Current liability
[Table:-D:-2.1] Particulars:Current Assets Current Liabilities 2007

86678429 24981338
2008
101803748 34580216
Ratio (%)
3.47
2.94
Chart:-D:2.1
3.6 3.4 Ratio 3.2 3 2.8 2.6 2007 2008 Year Ratio [%]
[Chart:-D:-2.1]
The companys Current Ratio is Year-2007:-3.47 %

& 2008:-2.94%. The Current Ratio decrease in current year 2008 compare to 2007. Ratio shows decrease in liquidity of the Company. This is good for the Company. Here its ratio has decreased. However it is decrease than general norm of 2:1.
(2):- Liquid Ratio: L.R= Liquid Assets / Liquid liabilities
[Table:-D:-2.2]
Particulars:Current Assets Current Liabilities Ratio (%)
2007
55907340 24981338
2008
54169388 34580216
2.24
1.57
Chart:-D:2.2
2.5 2 1.5 Ratio 1 0.5 0 2007 2008 Year
[Chart:-D:-2.2]
Ratio [%]
Liquid ratio to be defines the companys liquidity. It compared liquid assets to liquid liabilities. The Ankur Prot.Ind.Ltds liquid ratio is year 2007:-2.24 & In 2008:1.57. We see that companys liquid ratio in current year decrease. Present year 2008 is good compare to year 2007.
(3):- Quick Ratio: Q.R= Quick Assets / C.L-BOD
[Table:-D:-2.3]
Particulars:Quick Assets C.L-BOD Ratio (%)
2007
55907340 24981338
2008
54169388 34580216
2.24
1.57
Chart:-D:2.3
2.5 1.5 1 0.5 0 2007 2008 Year Ratio [%]
[Chart:-D:-2.3] 2
Ratio
The companys quick ratio is year 2007:- 2.24 & 2008 is 1.57. Compare with previous year the company ratio to be decrease so liability easy payable. So we can say that present year is good compare to year 2007.
(D:-3):- Leverage Ratio:Leverage Ratio is also known as Capital Structure Ratio. Many parties are interested in financial statement of a firm. So long term creditors, like
debenture holders, financial institution etc. are more concerned with the firms long-term financial strength. To judge long-term financial position of the firm, Leverage or Capital structure ratios are calculated. There are: (1). Proprietary Ratio,
(2). Debt-Equity Ratio, (3). Capital Gearing Ratio, (4). Fixed Capital fixed Assets Ratio.
(1):- Proprietary Ratio:-
P.R= Net worth / Total Capital employed. [Table:-D:-3.1] Particulars:Net worth 2007
70500000
2008
70500000
Total Capital employed Ratio (%)
171986895
168617282
0.41
0.42
Chart:-D:3.1
Ratio 0.41 0.405 Ratio [%] 2007 2008 Year 0.42
[Chart:-D:-3.1]
0.415
The companys proprietary ratio in year 2007:-0.41 & In year 2008:-0.42. Proprietary ratio increase in 2008, company dependence on equity Fund or use of Long term debt. So it is better for the Company because company pay low interest. If this ratio is strong then we can say the financial position of the Company is also strong.
(2):- Debt Equity Ratio:
D.E.R= Total Long Term Debt / Net Worth
[Table:-D:-3.2]
Particulars:Total Long Term Debt Net Worth Ratio (%)
2007
101486895 70500000
2008
98117282 70500000
1.44
1.39
Chart:-D:3.2
1.44 1.42 Ratio
[Chart:-D:-3.2]
1.4 Ratio [%] 2007 2008 Year
1.38 1.36
Above information we easy understood that present year 2008 Debt Equity ratio is decrease compared to 2007. So Company decrease dependence on debt funds this situation is better for the Company.
(3):- Capital gearing Ratio:-
C.G.R= Fixed Int.bearing Fund
/Eq.Sh.Holders fund
[Table:-D:-3.3] Particulars:2007 2008
Fixed Int.bearing Fund
101486895 69000000
98117282 69000000
Eq.Sh.Holders fund
Ratio (%)
1.47
1.42
Chart:-D:3.3
1.48 1.46 Ratio 1.44 1.42 1.4 1.38 2007 2008 Year
[Chart:-D:-3.3]
Ratio [%]
Above Data Companys Capital gearing Ratio is year 2007 is 1.47% & 2008 is 1.48%. Companys presently gearing Ratio is decrease so we can say it is better for the company because the fixed payment of the company is reduced.
(4):- Fixed Capital Fixed Assets Ratio:-
F.C.F.A.R= Long term Fund /Fixed
Assets
Long term Fund(F.C)
Fixed Assets
Ratio (%)
70500000 63431872
70500000 59724478
1.11
1.18
Chart:-D:3.4
1.18 1.16 1.14 Ratio 1.12 1.1 1.08 1.06
[Chart:-D:-3.4]
Ratio [%] 2007 2008 Year
Above information the Companys Fixed Capital Assets Ratio are in 2007 is 1.11 % & in 2008 is 1.18 %. The Companys Ratio in present year is increase. This Ratio therefore, shows the relationship between fixed Capital & fixed Assets the Ratio must be 1:1 or more is better for the Company but fixed Capital is less then fixed Assets the Business would be put to trouble & create
many problems in Company but here companys current year Ratio is 1.18%, so it is good for the company.
(D:-4):- Profitability Ratio:-
Profit is the difference between total revenues & total expenses over a period of time. Therefore, profitability
Ratio is an important tool to evaluate the efficiency of a business in terms of Profit. These are:(1). Gross Profit Ratio, (2). Net Profit Ratio, (3). Operating Profit Ratio, (4). Rate of Return on Investment Ratio,
(5). Rate of Return on equity Ratio, (6). Return on Capital Employed, (7). Return on Sh.holders fund Ratio.
(1):- Gross Profit Ratio:-
G.P.R= Gross Profit /Sales *100 [Table:-D:-4.1]
Particulars:-
2007
2008
Gross Profit
Sales
Ratio (%)
10985861 718223936
6944947 1074119107
1.52
0.65
Chart:-D:4.1
2 1.5 Ratio
[Chart:-D:-4.1]
1 Ratio [%] 2007 2008 Year 0
0.5
Above information we know that the Companys Gross Profit Compare with previous year decrease higher profitability shows improved performance but to be reducing so Company losses its performance. The Companys low Ratio indicate that the Company is not able to buy a reasonable price or cost of production so here in present compare to previous year it is decrease so
it purchase high cost Raw materials & other operating expanses.
(2):- Net Profit Ratio:
N.P.R= Net Profit /Sales *100
[Table:-D:-4.2] Particulars:2007
2163896 718223936
2008
3508441 1074119107
Net Profit
Sales
Ratio (%)
0.33 0.32 Ratio 0.31
Chart:-D:4.2
0.30
0.33
0.3 [Chart:-D:-4.2] 0.29 0.28 2007 2008 Year
Ratio [%]
Net Profit Ratio of Ankur in year 2007 is 0.30% & in 2008 is 0.33% that means it is good to have a higher Net Profit Ratio Compare with previous year for the Company because it will indicate higher Profitability for the company. Some improvement in Net Profit Ratio of the Company.
(3):- Operating Profit Ratio:
O.P.R= Operating Profit /Sales *100 [Table:-D:-4.3]
Particulars:Operating Profit
2007
326215 718223936
2008
13561388 1074119107
Sales
Ratio (%)
0.05
1.26
Chart:-D:4.3
1.4 1.2 1 0.8 Ratio 0.6 0.4 0.2 0
[Chart:-D:-4.3]
Ratio [%] 2007 2008 Year
Ankur Pro.Companys Ratio in 2007 is 0.05% & in 2008 is 1.26%. Operating Ratio that shows relationship between Costs of good sold plus Operating expanses include administration & selling & distribution expanses. High Operating Ratio is not desirable as it leaves a small portion of income to meet other nonoperating expanses. Low Ratio is better because it reflects the efficiency of Management. So in compare
the previous year the Companys Current Ratio is high which is not desirable.
(4):- Rate of Return on Investment Ratio:
R.R.I.R= EBIT /Total Assets *100
2175636 150130309
2008
3527720 161750341
EBIT
Total Assets
Ratio (%)
2.5 1.5 1 0.5 0 2007 2008
Chart:-D:4.4
1.45
2.18
2 [Chart:-D:-4.4] Ratio
Ratio [%]
Year
Rate of Return on Investment of Ankur Prot. Company in year 2007 is 1.45% & in year 2008 is 2.18%. Here Companys rate of return on investment ratio of two year is increase. Here profit before interest is considered because the fund with the help of which total assets have been purchased include funds provided by debenture holder & other long term loans in additional to equity Share Capital. In compare previous year, the Companys
current year ratio is increase so it is increase so it is good for the Company.
(5):- Rate of Return on Equity Ratio:-
R.R.E.R= Profit for the Eq. /Net worth
*100
Profit for the Eq.
Net worth
5 4 Ratio (%) Ratio 3 2 0
Chart:-D:4.5
2149896 70500000
3505161 70500000
3.04
4.97
Ratio [%]
[Chart:-D:-4.5] 1
2007 2008 Year
The Companys Ratio in 2007 is 3.04% & in 2008 is 4.97%. This Ratio measures the profitability of the Capital committed to the Business by Equity Share Holders. The Companys Current Ratio is increase in compare the previous year Ratio means the Profitability of Capital committed to the business by Equity Share Holders is high.
It determines the earning power of eq. share capital. It reflects on the character of the management, the probable demand for the Companys products, industrial condition & so on.
(6):- Return on Capital Employed Ratio:-
R.C.E.R= Operating Profit /Capital
Employed *100
[Table:-D:-4.6] Particulars:-
2007
326215
2008
13561388
Operating Profit
Capital Employed
10 Ratio (%) 8 Ratio 6 [Chart:-D:-4.6] 4 2 0 2007 2008
171986895
168617282
Chart:-D:4.6
0.19
8.04
Ratio [%]
Year
Return on Capital employed of the Company in year 2007 is 0.19% & in year 2008 is 8.04%. Here to compare with previous year, the current years ratio is to be increase. It is very good for the Company. Because this ratio defines to the Company use its fund properly & not. Here this ratio increases so companys fund to be use properly & this benefit to the Company.
(7):- Return on Sh.Holders fund Ratio:
R.S.F.R= Net Profit /Sh.Holders
Fund *100
[Table:-D:-4.7]
Particulars:Net Profit
2007
2163896 69000000
2008
3508441 69000000
Sh.Holders Fund
Ratio (%)
6 5 4 Ratio 3 2 1 0
Chart:-D:4.7
3.14
5.08
[Chart:-D:-4.7]
Ratio [%] 2007 2008 Year
Return on Share Holders fund of the Company in 2007 is 3.14% & in 2008 is 5.08%. Here year 2008 ratio compared to 2007 is increase. This ratio to measure the Company how many return to give its Share Holder by his investment.
(D:-5):- Turnover Ratio:-
Turnover Ratio means Activity Ratios, to analysis for measuring the movement of current Assets, it is necessary for Short term creditors to focus their attention
on the analysis of policy for collection of debtors & turnover of stock These are: (1). Total Assets turnover Ratio, (2). Net Fixed Assets turnover Ratio, (3). Net Working Capital Turnover Ratio, (4). Inventory Turnover Ratio, (5). Debtors Turnover Ratio.
(1):- Total Assets turnover Ratio:
T.A.T.R= Sales /Total Assets
718223936 150130309
2008
1074119107 161750341
Sales Total Assets
Ratio (Times)
4.78
6.64
Chart:-D:5.1
7 6 5 4 Ratio 3 2 1 0
[Chart:-D:-5.1]
Ratio [Times] 2007 2008 Year
Help of the funds used in Business are employed in both fixed assets & Current Assets both & Profit is earned with help of both. Here in 2007 is 4.78 time compare with 2008 Ratio is 6.64 time mean the total Assets of Rs. 5 the sales is 6.64. This is also good for the compay.
(2):- Net Fixed Assets turnover Ratio:-
N.F.A.T.R= Sales /Net Fixed Assets [Table:-D:-5.2]
Particulars:-
2007
2008
Sales Net Fixed Assets

Ratio (Times)
718223936 63431872
1074119107 59926585
11.32
17.92
Chart:-D:5.2
20 15 Ratio 10 5 0 2007 2008 Year Ratio [Times]
[Chart:-D:-5.2]
Fixed Assets Turnover Ratio of the Company is in year 2007 is 11.32 times & in 2008:-17.9 times we show that this ratio to be increase in 2008.This Ratio defines Company use maximum resources. Here this ratio is increase so Company uses maximum resources it is good for the Company.
(3):- Net Working Capital turnover Ratio:
N.W.C.T.R= Sales /Net Working [Table:-D:-5.3]
Particulars:-
2007
718223936 61697091
2008
1074119107 67223532
Sales Net Working

Ratio (Times)
11.64
15.97
Chart:-D:5.3
16 14 12 10 Ratio 8 6 4 2 0
[Chart:-D:-5.3]
Net Working Capital turnover Ratio of the Company in 2007 is 11.64 times & in 2008 is 15.97 times. A high working capital & quick turnover of current Assets like stock & debtors. A low Ratio indicates low turnover of the assets that means the Companys Working Capital Turnover Ratio is high compare the previous year.
(4):-Inventory turnover Ratio:
I.T.R= Cost of Goods Sold /Avg.
Inventories
[Table:-D:-5.4]
Particulars:-
2007
707238075 30771089
2008
1067174160 47634360
Cost of Goods Sold Avg. Inventories
Ratio (Times)
23
Chart:-D:5.4
22.98
22.40
22.8 Ratio 22.6 22.4 22.2
[Chart:-D:-5.4]
22
Inventory turnover Ratio of the Company in year 2007 is 22.98 times & in 2008 is 22.40 times. This is good for the Company because this Ratio is very important in judgment the ability of management with which it can move the stock. The higher ratio the more profitable the Business. A low Stock Turnover indicates over investment in stock which may resul in locking up Capital, rent of the space. It means that the firm should
not have either too high stock turnover or too low turnover.
(5):- Debtors turnover Ratio:
D.T.R= Credit Sales /Avg. Debtors
718223936 35194866
2008
1074119107 41496720
Credit Sales Avg. Debtors
Ratio (Times)
30 25 20 Ratio 15 10 5 0
Chart:-D:5.5
20.40
25.88
[Chart:-D:-5.5]
2007 2008 Year
Ratio [Times]
Debtor turnover Ratio of the Company in 2007 is 20.40 times & in 25.88 times. Debtors ratio also increase in present year this is not good for the Company because the higher the ratio, arise the more unsatisfactory position it show. Here this ratio is high so company needs more money. This bad for the company.
(D:-6):- Valuation Ratio:-
These are: (1). Earning Per Share Ratio, (2). Dividend Pay-out Ratio,
(3). Book Value per Ratio,
(1):- Earning Per Share Ratio:-
E.P.R= Net profit for Equity Share/
No.of Eq.Share
Net profit for Eq. Sh. Chart:-D:6.1 No.of Eq.Share

0.7 0.6 0.5 0.4 Ratio 0.3 0.2 0.1 0
2149896 5750000
3505161 5750000
EPS [Chart:-D:-6.1]
2007 2008 Year
0.37
0.61
Ratio
EPS ratio of the Company in year 2007 is 0.37 & in year 2008 is 0.61. EPS is increase in current year, we show that the above information. This ratio measured the above information. This ratio measured the profit availability to equity Share Holders on per
Share basis. It is not the actual amount paid to Share Holders as dividend but is the maximum that can be paid to them. The Ankur Protein Industries Ltd, EPS ratio is increase it is good for the Company. This ratio shows the profitability of the Company.
(2):- Dividend Payout Ratio:-
D.P.R= [Dividend per Share /
Earning per Share] *100

Dividend per Share. Earning per Share

Ratio [Times]
--0.37
--0.61
---
---
[Chart:-D:-6.2]
The Company has not Declares the Equity Share Dividend.
(3):- Book Value Per Share Ratio:B.V.P.S.R=
Eq. Capital +R/s M.E
No. Of equity share
Net Worth No.of Eq.Share

Ratio (Rs.)
70500000 5750000
70500000 5750000
12.26
12.26
[Chart:-D:-6.3]
14 12 10 8 Ratio 6 4 2 0
Chart:-D:6.3
Ratio [Rs.] 2007 2008 Year
Book value per Share of the Company in year 2007 is 12.26 Rs. & in 2008 is 12.26 Rs. The Ratio is constant. It means that the Company not return to its Share Holders.
E)...Findings
I completed my Project & giving the following findings of the Report.
(1):- Liquidity Ratio:-
(1).Current Ratio: In 2008, the Current Ratio of the Company is [2.94%] which is good then the previous year 2007 Ratio [3.47%].
(2).Liquid Ratio: In 2008, the Liquid Ratio of the Company is [1.57%] which is good then the previous year 2007 Ratio [2.24%]. (3).Quick Ratio:-
In 2008, the Quick Ratio of the Company is [1.57%] which is good then the previous year 2007 Ratio [2.24%].
(2):- Leverage Ratio:(1).Proprietary Ratio:-
In 2008, the Proprietary Ratio of the Company is [0.42%] which is better then the previous year 2007 Ratio [1.44%].
(2).Debt-eq. Ratio: In 2008, the Debt-eq. Ratio of the Company is [1.39%] which is better then the previous year 2007 Ratio [1.44%].
(3).Capital gearing Ratio: In 2008, the Capital gearing Ratio of the Company is [1.42%] which is better then the previous year 2007 Ratio [1.47%]. (4).Fixed Capital Fixed Assets Ratio:-
In 2008, the Fixed Capital Fixed Assets Ratio of the Company is [1.18%] which is good then the previous year 2007 Ratio [1.11%].
(3):- Profitability Ratio:(1).Gross Profit Ratio:-
In 2008, the Gross Profit Ratio of the Company is [0.65%] which is decrease then the previous year 2007 Ratio [1.52%]. So the Company losses its performance it is bad for the Company.
(2).Net Profit Ratio:-
In 2008, the Net Profit Ratio of the Company is [0.33%] which is good then the previous year 2007 Ratio [0.30%]. (3).Operating Ratio:-
In 2008, the Operating Ratio of the Company is [1.26%] which is not desirable then the previous year 2007 Ratio [0.05%] so it is bad for the Company.
(4).Rate of Return on Equity Ratio:-
In 2008, the Rate of Return on Equity Ratio of the Company is [4.97%] which is high then the previous year 2007 Ratio [3.04%].
(5).Rate of Return on Investment Ratio: In 2008, the Rate of Return on Investment Ratio of the Company is [2.18%] which is good then the previous year 2007 Ratio [1.45%]. (6). Return on Capital Employed Ratio:-
In 2008, the Return on Capital Employed Ratio of the Company is [8.04%] which is benefited (good) then the previous year 2007 Ratio [0.19%].
(7). Return on Share Holders Fund Ratio: In 2008, the Return on Share Holders Fund Ratio of the Company is [5.08%] which is increase then the previous year 2007 Ratio [3.14%].
(4):- Turnover Ratio:(1).Total Assets Turnover Ratio:-
In 2008, the Total Assets Turnover Ratio of the Company is [6.64 Times] which is good then the previous year 2007 Ratio [4.78 Times].
(2).The Net Fixed Assets Turnover Ratio: In 2008, the Net Fixed Assets Turnover Ratio of the Company is [17.92 Times] which is good then the previous year 2007 Ratio [11.32 Times].
(3).The Net Working Capital Turnover Ratio: In 2008, the Net Working Capital Turnover Ratio of the Company is [15.97 Times] which is high then the previous year 2007 Ratio [11.64 Times]. (4).The Inventor Turnover Ratio:-
In 2008, the Inventory Turnover Ratio of the Company is [22.40 Times] which is good then the previous year 2007 Ratio [22.98 Times].
(5).Debtors Turnover Ratio: In 2008, the Debtors Turnover Ratio of the Company is [25.88 Times] which is high then the previous year 2007 Ratio [20.40 Times].
(5):-Valuation Ratio:-
(1)The Earning Per Share Ratio: In 2008, the Earning per Share Ratio [EPS] of the Company is [0.61] which is increase then the previous
year 2007 Ratio [0.37]. It is good for the Company which is showing the Companys profitability.
(2).Dividend Pay Out Ratio: The Company has not declares the Equity Share Dividend. (3)The Book Value Per Share Ratio:-
In 2008, the Book Value per Share Ratio of the Company is [12.26 Rs] which is equal then the previous year 2007 Ratio [12.26 Rs]. It means the Company not returns to its Share Holders.
F)...Suggestion
On the basis of my Financial Ratio Analysis Project Report :-
The Companys Gross Profit Ratio is low so, the Company must improve this Ratio for the long life. The Company improves the Operating Ratio as well. The Company is not collect money on time from the Debtors. So the Company must be strick about collection of payment from the debtors.
The Company is not give Dividend to Share Holders in this time, so that may be possible that the Company will not get enough money expansion. If the Company follow my above suggestion then he definitely going to in benefit.
G)...Limitation
There are facing some difficulty when making the Report like time period...Etc.
In this Report use of past Financial statement & so there are no indicators of features. The Finance Management is pass such information because our training period was during working period of the Company. I have face some problem can be solved after collection information & Data.
H)...Conclusion
I visited the Ankur Protein Industries Ltd. A response from even Department to collect information helped me lot. To quit experience old well as a management student
& I am very much thankful to Ankur Protein Industries Ltd Company for courtly extended to me for getting information from various departments ex:- production, personnel,& mainly in Finance etc. The main purpose of this visit is to develop among student practical experience of industrial activity, which may not be gained by only through books. I am any can thankful to the entire department managers.
Company very beneficial for the consumers.& also There is good combination between all the departments of the Company.& I found by my research that the Companys all over the Financial condition is wealthy.
I)...Appendix
***Balance Sheet as At 31st March 2008***

*Particular*
Amt as At 31/03/08 [Rs.] Amt as At 31/03/07 [Rs.]
*Sources of Funds:-
1]. Share Holders Funds:Share Capital:Capital Investment Subsidy:2]. Loan Funds:Secured Loans:Unsecured Loans:-
69,000,000 1,500,000 46,760,274 41,357,008
69,000,000 1,500,000 42,208,112 49,278,783
3]. Dealers Security Deposit:-
10,000,000 168,617,28 2
10,000,000 171,986,895
*Application of Funds:4]. Fixed Assets:-
Gross Block: 112,533,846 (Less) Depreciation: 52,809,368 Net Block: 59,724,478 Capi.Work in Progress: 202,107 5]. Investment:6]. Current Assets, Loan, & Advances:59,926,585 20,008
111,254,100 47,822,228 63,431,872 000000000 63,431,872 20,008
Inventories:Sund. Debtors:Cash& Bank Balance:Loans,Adv& Deposit:(Less) Cur.Liab.& Provision:Net Current Assets:7]. Miscellaneous Exp.:-
47,634,360 41,496,720 6,284,584 6,388,084 34,580,216 67,223,532 16,940,936
30,771,089 35,194,866 16,010,178 4,702,296 24,981,338 61,697,091 18,823,262
(To the extent not written of or Adjusted) 8]. Profit & Loss A\c:-
24,506,221 168,617,28 2
28,014,662 171,986,895
Total (Rs.):-
***P & L A\c for the Year Ended on 31st March 2008***
*Particular*
Amt as At 31/03/08 [Rs.]
Amt as At 31/03/07 [Rs.]
*A]. Income:Income from Operations:1,074,119,10 7 718,223,936
Other Income:Increase/Decrease in Stock:Total Rs. [A]:-
3,053,110 17,377,744 1,094,549,96 1
2,262,363 2,937,399 723,423,698
*B]. Expenditure:-
Cost of Material Consumed & Manufacturing:* Expenses:Payment to & Provision for Employees :General, Administrative & Selling Exp.:Interest & Financial Charges:-
1,067,174,16 0 1,481,259 4,494,695 11,002,661
707,238,075 1,561,266 2,660,016 4,915,158
Depreciation:Deferred Revenue Exp.Written off.:Total Rs. [B]:-
4,987,140 1,882,326 1,091,022,24 1 3,527,720
4,873,547 000000 721,248,062
Profit/ (Loss) for the Period
2,175,636
Before Tax. :Less) Provision:Less) Provision for Fringe Benefit Tax.:Add) Excess Provision of Earlier Year:-
000000 22559 3,505,161 3,280
000000 25740 2,149,896 14,000
Prior period Adj.:Net Profit(Loss) for the Year:Profit (Loss) brought Forward From Pre.Year:-
00000 3,508,441 [28014662] 24506221
00000 2,163,896 [30,178,558] 28,014,662
Balance of Profit (Loss)
Carried to B/sheet:Earning per Share [EPS]:0.61 0.37
J)...Bibliography: Principles & Practice of Accountancy:-
10th Revised Edition. By:- R.L.Gupta & V.K.Gupta Part F[6] => [Ch:-2] Ratio Analysis Pg No:-
F11
Advance Financial Management: Edition.
By:- Arunkumar & Rachna Sharma. [Ch:- 32] Financial Analysis Pg No:-584
Appendix of Balance Sheet & P & L A/c of the Companys Annual Report of 2007-08:-
E-mail Address: ankur_pro@hotmail.com ankurpltd@yahoo.com

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ANKUR Protein Industries Ltd.

A PROJECT REPORT ON FINANCIAL RATIO ANALYSIS

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

Practical Fulfillment The Requirement For BBA Programme

ANKUR Protein Industries Ltd.

SUBMITTED BY:RAVAL KRUNAL .K ROLL NO:- 81

GUIDED BY:PROF NILESHBHAI PATEL

ANKUR Protein Industries Ltd.

Sit No:TYBBA [2008-2009]

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

I have to prepare report of the ANKUR Protein Industries Ltd. Company.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

RAVAL KRUNAL ROLL NO:- 81 Sit No:TYBBA [2008-2009]

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

EXECUTIVE SYNOPSIS FINANCIAL RATIO ANALYSIS FINDINGS

ANKUR Protein Industries Ltd.

SUGGESTION LIMITATION CONCLUSION APPENDIX

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

INDEX OF CHART & TABLE

ANKUR Protein Industries Ltd.

TABLE & CHART No.

ANKUR Protein Industries Ltd.

D:-2.2 D:-2.3 * D:-3.1 D:-3.2 D:-3.3 D:-3.4

Proprietary Ratio Debt- eq. Ratio Capital gearing Ratio FixCap.&FixAss.Ratio

ANKUR Protein Industries Ltd.

* D:-4.1 D:-4.2 D:-4.3 D:-4.4 D:-4.5 D:-4.6

Goss Profit Ratio Net Profit Ratio Operating Profit Ratio

ANKUR Protein Industries Ltd.

D:-4.7 * D:-5.1 D:-5.2 D:-5.3 D:-5.4 D:-5.5

Return on Sh.Holders Funds Ratio *TURNOVER RATIO*

ANKUR Protein Industries Ltd.

* D:-6.1 D:-6.2 D:-6.3

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

SUB.N O A:-1 A:-2 A:-3 A:-4

ANKUR Protein Industries Ltd.

A:-5 A:-6 A:-7 A:-8 A:-9 A:-10 A:-11

ANKUR Protein Industries Ltd.

A:-12 A:-13 A:-14 A:-15 A:-16 A:-17

ANKUR Protein Industries Ltd.

A:-18 A:-19 A:-20 A:-21 A:-22 A:-23 A:-24

ANKUR Protein Industries Ltd.

(A:-1):- Name of the COMPANY:-

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

(A:-2):- Establishment of the unit : The unit is established Since

(A:-3):- Address of the company :-

ANKUR Protein Industries Ltd.

ANKUR Protein Industries Ltd.

(A:-4):- E-mail Address :

(A:-5):- Registered office :-

Return on Sh.Holders Funds Ratio TURNOVER RATIO