A Project Report on Ratio Analysis in Parul

SARVOTTAM DAIRY

CHAPTER:-1

GENERAL

INFORMATION

SARVOTTAM DAIRY

1.1 COMPANY PROFILE

Company :- Shree Bhavnagar District Co-operative Milk Producer’s

Union Ltd., SARVOTTAM DAIRY

Founded :- 21st November, 2004

Registration :- 27th June, 2001

Registered no. :- REDG / 28701

Founder :- 1. Mr.H.R.Nandva and

2. Mr.M.P.Pandya

Type of Business :- Co-operative Union

Headquarter :- Sarvottam Dairy,

Bhavnagar-Rajkot Highway road, Shihor.

Chairman :- Mr. Mahendrabhai Panot

Key peoples :- 1. Mr. H.R.Nandva (The M.D. & G.M.)

2. Mr.M.P.Pandya (The Joint G.M.)

Competitors :- B.D.P.L. and SUGAM

Area of operation :- Local Level (Limited up to Bhavnagar District)

Employees :- Only 83 employees are There

Products :-Milk, Butter and Butter milk

Source of raw material :- From Buffalos and Cows of the District

Annual turn over :- 5,00,00,000 Liter Milk, 1,80,00,00,000 Rs. (2010-2011)

Net profit :- 28,69,768Rs. (2010-2011)

Future plan :- Sweets, Cheese, Chocolates, Ice-cream etc.

Objective :- Reduction of Privatization by Increase in Co-operation

SARVOTTAM DAIRY

1.2 INTRODUCTION

Sarvottam Dairy was established in 21st November, 2004 by The Bhavnagar District co-

operative Milk Producer’s Union Ltd. under the Regd. No Sec. REDG/28701 and Regd Date 27-

06-2001 at present Mr. Mahendrabhai Panot is the chairman of Sarvottam Dairy. The dairy

was started with few employees. At present, the dairy has 83 employees. It is producing milk and

buttermilk products.

The Head Office and Plant of Sarvottam Dairy is Located at Bhavnagar Highway Road, Sihor. It

is a unique dairy in Sihor a very lovely greenish atmosphere in 20 acres. Sarvottam Dairy was

concern with Uttam Dairy Ahemdabad. It has an E.T.P facility. It has ISO 9001:2000 Marko.

The main objective of Sarvottam Dairy is to decrease privatization and increase co-operation.

They want to give most benefits to the rural area and want to develop rural area. They want to

take revolution as Amul Dairy has given.

SARVOTTAM DAIRY

1.3 THE HISTORY OF SARVOTTAM DAIRY

In 1974, Gujarat Dairy Development Corporation (G.D.D.C) had established Bhavnagar

dairy, which was running by The Bhavnagar Milk Union. Bhavnagar Dairy was selling milk and

ghee in the Bhavnagar district by the brand name “Sauras”. By co-operative members of the

district sell their milk to the Union and after the processing on the milk they sold it under the

name of Bhavnagar dairy. In the year 1989 the highest milk is purchased from the co-operative

members is 42500 liters and they sell all the purchased milk to the different areas of the districts.

But somehow the years are passes the dairy’s production is going to the down. And after some

crises government close the Bhavnagar Dairy on the date of 24/12/1999.

The Union was also enabling to do anything for the crisis of Bhavnagar dairy. When the Union is

established in 1974 they take the responsibilities to solve the problems of their co-operative

members, but somehow there are no action taken by them or may be there are not proper

response from the government to save the Bhavnagar dairy and to help the small milk producers

will.

Because of Bhavnagar dairy’s crises the producers of milk of the whole district are comes into

financial crises because they hadn’t any option to sell their milk. After sometime the producers of

the milk made a meeting in Jilla Panchayat’s ground and the majority of the producers give the

responsibilities of reestablishment of Union to Mr. H. R. Nandva and Mr. M. P. Pandya. With the

support of the political bodies like Mr. Rajendrashinh Rana and Mr. Mahendrabhai Panot of

Bhavnagar district. Mr.H.R.Nandva and Mr.M.P.Pandya send an application to the Gujarat Govt.

for the reestablishment of Union in the district. But on the temporary basis government thigh up

producers of milk of Bhavnagar district with the Uttam Dairy, Ahemdabad. And government also

form a government body under the president ship of Mr. V.C.Joshi to take care the

responsibilities of Bhavnagar districts producer and Uttam Dairy, and work as mediator between

these two.

SARVOTTAM DAIRY

1.4 SIZE AND NATURE OF UNIT

.

There are three types of industry.

I. Small Scale Industries

II. Medium Scale Industries

III. Large Scale Industries.

According to the industrial policy 1991, on the bases of investment, type (size) of industry can

be explained as follows:

Type Investment

Small Scale Unit less than Rs.75 lacks.

Medium Scale Unit Rs.75 lacks but not more than 100 lacks.

Large Scale Unit exceeds Rs.100 lacks.

SARVOTTAM DAIRY

Bankers of the dairy:

A. Bhavnagar District Co-operative Bank, Bhavnagar.

B. I.D.B.I. Bank, Bhavnagar.

C. State Bank of India, Sihor.

Auditor:

Mr. Jagdishbhai Mehta.

(Charted Accountant)

Selection of a suitable form of organization to a very important phenomenon is very necessary. A

businessman has to select a suitable form of business organization according to his requirements

and availability of managerial personnel.

Depending upon the ownership of business, the business organization can be classified into three

forms and three forms are presented hereby.

1. Public Ltd.

2. Private Ltd.

3. Company in Corporation

The Sarvottam dairy is co-operative company. Because here, all the co-operative societies are the

main and basic part of this dairy. All the co-operative societies are made by co-operative

members.

SARVOTTAM DAIRY

1.5 MANUFECTURING PROCESS OF MILK

Manufacture process plays a very important role for making any product. A product can become

finished goods only when it has gone under a several procedure. We have to take up most care of

it.

Every firm or unit tries that its manufacturing process is simple, short less costly and less time

consuming. The sarvottam dairy tries to make its products by latest technology and with good

quality of raw material.

Sarvottam Dairy is a consumer goods production sector. Milk is essential ingredient in our life.

In Every stage of life milk is useful to develop and maintain our body.

The whole process of manufacturing milk and other products of milk in the sarvottam dairy are

very simple. But, it is time consuming and very costly. The following are different stages of

manufacturing the different category of milk.

The whole process of milk can be charted out as under.

SARVOTTAM DAIRY

1.6 The Process of Getting Milk

Grading (Testing)

Chilling

Milk Tank (Storage)

General sampling

Standardization and separation

Pasteurization

Store in process tank

Receive milk from co-operative Society of milk

Packaging

Dispatch to Distributor

SARVOTTAM DAIRY

The process can briefly mentioned as under,

Received milk from members of co-operative society:

Basically the Union itself says that it is a joint effort of the milk producers. There are 10 routs of

milk producers. These routs are covering almost all the villages of milk producers. The dairy

only accepts the milk from that producer who is its member in co-operative society. Jesar,

Gadhada, Timana, Neswad, Tarsara, Vallbhaipur, Goriyali, Gopnath, Bagdana, and Mahuva

these are the routs and every route allotted specific time for carrying down their milk to the dairy.

Milk Tank:

In the milk tank they storage the milk for the process. The milk gets the steady temperature in the

tank before the process is starts. We can also say that the different process on milk is starts from

this tank.

Taking general FAT and S.N.F.:

The dairy do the FAT and Solid Net Fat (S.N.F.) test for the payment to co-operative members

because as the FAT and S.N.F. high the member get higher amount of his milk. The part of FAT

in the milk is getting to know by using the “SULPHURIC ACID”. And because of heat the FAT

part is come out in the liquid form. After that a “SANTRIFUSE” is come out which is measured

by “LITEROMETER”.

S.N.F. is measured by using “LACTOMETER”. In the boiled milk they put the lactometer in the

milk and after using the formula given below they get to know about S.N.F. figure;

S.N.F = LACTOMETER NUMBER +0.21 FAT + 0.36

4

There is a certain standards are there for S.N.F. and FAT. They are,

The milk of buffalo must contain 6% S.N.F. and 9% FAT

The milk of cow must contain 8.5% S.N.F. and 3.5% FAT

SARVOTTAM DAIRY

Standardization:

There are certain standards are set for the milk. Each standard have their own S.N.F. and FAT. It

is then decided that what should be the price of the milk. There are four standards,

Full cream: This standard contains 6% FAT and 9% S.N.F. this is the highest or rather say very

good standard.

Standard : 4.5% FAT and 8.5% S.N.F containing in this standard. This is a general standard.

Toned: This standard contains 3% FAT and 8.5% S.N.F.

Double toned: This standard contains 1.5% FAT and 9% S.N.F.

Pasteurization:

On the name of the founder of this process it is called pasteurization. Louie Pasteur is the founder

of this method. He found this process to save the liquor of king from the spoiling out. To save the

milk from the bacteria they boiled the milk on certain temperature and quickly down the

temperature.

In the old process they emptied the milk into big utensils and after that they boiled the milk up to

63 degree Celsius temperature for 30 minutes and after that they cool down the temperature for

30 minutes. This method is very time consuming and improper.

In the modern era the H.T.S.T. method is used for pasteurization. H.T.S.T. means high

temperature short time method. In this method they boiled the milk up to 72 degree Celsius for

16 seconds and after this they quickly level down the temperature up to 5 degree Celsius.

They use “GASKET PLATES” for these methods. Gasket plates are adjusted by a specific way

that the milk is passing from one gasket to another gasket. The first gasket had hot water in its

both the side and the milk is in the middle plate so because of heat from the both the side the

milk is boiled out up to 72 degree Celsius and after 16 seconds milk is pass to another gasket

which contain cold water in its both the side here the temperature of milk is level down to 5

degree Celsius.

Test of Pasteurization: Because of pasteurization the milk is become bacteria free. To see that the

milk is free from bacteria or not there is one test namely “PHOSPHATE TEST”. In this test they

set the temperature on 72 degree Celsius. On 72 degree Celsius all the bacteria is fade away and

also phosphate enzyme is fade away from the milk. After that they do a test for phosphate

SARVOTTAM DAIRY

enzyme if the phosphate enzyme is still there in the milk the color of milk is become yellow

which shows that the pasteurization is not done properly and if there is no change in the color

than it is proved that the milk can use for the general purpose.

Packaging:

For the packaging they use the machine of R.M.C.Packaging System Pvt. Ltd. It costs more than 50,000

Rs. The machine can fill 160 pouch of milk in a minute. There are two machines in the dairy for the

packaging and the machines are fully automatic, once you set the program and there is rarely any problem

arises.

Dispatch:

There are total 31 distributors in the district. From the 31 distributors 17 distributors are only in

Bhavnagar city and rest of the distributor are in the different Taluka. The distributors’ vehicles come to

the dairy in the early morning and they get their carats of milk as per requirement. The distributor must

book their order before the evening of previous day, and then they get the milk in next morning.

H R MANAGER

MARKETING MANAGER

PRODUCTION MANAGER

FINACEL MANAGER

HEAD OF ENGINEER DEPARNEMT

C.D. OFFICER Quality Officer

Preepeak Operator

Plant Operator

Dock supervisor

C.D. Supervisor

Account Offi.

Clerk

Electrician

Helper

Workers Workers Workers

MANAGING DIRECTOR(Mr.H.R.Nandva)

BOARD OF DIRECTORS

GENERAL MANAGER(Mr. H.R.NANDVA)

JOINT GENERAL MANAGER(MR.M.P.PANDYA)

Com. Operator

Store keeperBoiler Operator

Refrigerator Operator

Laboratory Ass.

CHAIRMAN(MR.MAHENDRABHAI PANOT)

SARVOTTAM DAIRY

1.7 ORGANIZATIONAL STRUCTURE

SALESMAN

Workers Workers

SARVOTTAM DAIRY

1.8 OBJECTIVES

The Sarvottam Dairy is a best dairy with bright future prospects. The dairy has an excellent management

qualified techniques' it has been achieving good reputation the dairy has no doubt bright future' its

management is Progressive' The Sarvottam Dairy is making milk & buttermilk products' The Sarvottam

Dairy is satisfying needs of consumers' From the be ginning, Sarvottam. Dairy has .one of the unique

features of having complete production facilities. it has laboratory and engineering department separator,

Machines , Cold storage facility, An ETP plan, electric fate machine, garbar machines, generator,

condescend etc.

The Main Objectives Are,

» Development of rural areas

» To increase co-operation

» Decreasing privatization

» Commitment to excellent

» continuous updating technology

Sarvottam dairy is having good goodwill in market. And its selling is also very good. But they should

increase advertisement, so that they can make their marketing powerful.

Now a days ,the Sarvottam dairy is only one dairy in Gujarat which gives milk rate Rs 300.allthe

competitors of Sarvottam dairy has closed down but even though they have to keep more concentration on

selling of their products.

The Sarvottam dairy is giving medical facility to all the animals of Bhavnagar district.

SARVOTTAM DAIRY

CHAPTER:-2

RATIO

SARVOTTAM DAIRY

2.1 INTRODUCTION

Ratio analysis is one of the analytical method of specified the inter relationship between a set of

relate figures. It is expressed in percentage, times and in ratio such as 1:1, 2:1 etc. The financial

statement is prepared and presented annually are of little are guidance to prospective investors,

creditors and even management. If the relationship between various related items given in the

trading account, profit and loss account, profit and loss appropriation account and balance sheet

can be established them they can provides useful clues to measure accurately the financial

health and ability of business to make operating profit. A ratio is therefore one number

expressed in terms of another, the ratio shows the trend of the financial profit and profitability of

the enterprise. They help in forecasting the future trends.

“Ratio is an expression of quantitative relationship between two related items of financial

statement”

Financial ratio is key pointer to any company’s performance. While absolute values help judge

the performance a particulars parameter form a comparative static point, ratio helps analyze

performance from a dynamic stand point.

SARVOTTAM DAIRY

2.2 METHODS OF RATIO’S ANALYSIS

Ratio classified in to two types

A. Traditional classification

B. Functional classification

[A]. TRADITIONAL CLASSIFICATION :-

The traditional classification also divided in to three groups’ category. It is also called group

analysis which figures are taken from the balance sheet of the unit.

(A)Revenue statement :

These are the ratio basis of item taken from revenue statement. e.g. Profit and loss account, net

profit. Ratio is computed by dividing net profit by sales. These both the item profit and sales are

item appearing in profit and loss account.

(B) Balance sheet ratio:

When two item or group item of appearing in the balance sheet are compared the ratio so

obtained is a balance sheet ratio, E.g. Ratio establishing relationship between the current assets

and current liability is a balance sheet ratio.

(C)Composite ratio:

A ratio showing relationship between one item of balance sheet and other from the profit or loss

account is a composite ratio or a combined ratio know as balance sheet and revenue statement

ratio a return on capital employed and it is a composite ratio.

SARVOTTAM DAIRY

[B]. FUNCTIONAL CLASSIFICATION :-

Ratio are also grouped in accordance with certain test and on this bases, there are four categories

of ratios.

(A) Liquidity ratio:

It is very important information about the liquidity of the unit or the industry whether the unit is

capable to meet the short term obligation from its short term resources. E.g. Current ratio show

the capability of a firm to meet it current liabilities as and when they mature E.g. (1) Current ratio

(2) Quick ratio (3)Acid test ratio.

(B) Profitability ratio:

There are number of ratio shows the profitability of the business and are grouped into the

category of profitability ratio (1) Gross profit (2) Net profit ratio (3) Expense ratio (4) Operating

ratio (5) Return on capital employed ratio (6)Return on shareholder’s fund ratio (7) Debt

coverage ratio.

(C) Leverage ratio:

These ratios give information about the proportion of owner’s capital and capital. Which

borrowed from the outsiders is reflected by leverage ratio. For Ex. Preference capital and

ordinary capital is leverage ratio (1) Proprietary ratio (2) Debt equity ratio (3) Gearing ratio (4)

Fixed assets ratio.

(D) Efficiency ratio:

These ratio shows effectiveness use of resources in the business. It also shows the efficiency of

the manager E.g. (1) Stock turnover ratio is an active ratio showing the number of time the

average stock is turnover during the year (2) Debtors turnover or ratio (3) Creditors or turnover

ratio (4) Total assets turnover ratio (5) Fixed assets turnover ratio etc.

SARVOTTAM DAIRY

2.3 CLASSIFICATION OF RATIO

NO. RATIOS USEFULNESS

A.

1.

Revenue statement

G.P. ratio

To know whether selling price has been properly fixed and to know the profitability

2.

Net profit ratio To have an idea of an profitability

3. Operating

To ascertain the extent of operating expense

4. Expenses ratio To know the proportion of each type of expenses to sales

5.

Stock turnover

To know the efficiency of sales

SARVOTTAM DAIRY

B. Balance sheet ratio

6. Current ratio To know the liquid position of the working capital position of the business

7. Liquid ratio To have better idea of the liquid position of the business

8. Acid test ratio To know whether the firm will be able to pay current liabilities immediately

9. Proprietary ratio To ascertain the proportion of owner fund in the total fund employed

10. Debt equity ratio To know the proportion of long-term liabilities in relation to owners funds.

11. Gearing ratio To know the proportion of fixed dividend (or interest) bearing securities to equity capital

12. Long term funds to fixed assets.

To see whether are fixed assets have been purchase form the long term funds

SARVOTTAM DAIRY

C. Composite Ratio

13. Return on capital employed

To know the profitability of business.

14. Return on shareholder’s funds

To know the profitability from the view point of shareholders.

15. Return on equity share capital

To know the profitability form view point of equity shareholders.

16. Debtors ratio To know the average period of credit to ascertain the efficiency of credit department.

17. Creditors velocity To know the average period within which we make payment for credit purchase.

18. Total assets turnover

To know the efficiency with which total assets are utilized in the business.

19. Debt service coverage ratio

To know how many times the profit covers the amount payable towards principal installment and yearly interest.

SARVOTTAM DAIRY

CHAPTER:-3

RATIO ANALYSIS

3 .RATIO ANALYSIS

3.1 PROFATIBILITY RATIO:

SARVOTTAM DAIRY

3.1.1 GROSS PROFIT RATIO:

It is ratio expressing relationship between gross profits earned to net sales. It is a

useful indication on the profitability of business.

The gross profit margin reflects the efficiency with which management produces each

unit of product. This ratio indicates the average spread between the COGS and the sales

revenue.

Gross Profit ratio = Gross Profit / sales

= Sales – Material Cost – Manufacturing Cost/Net Sales * 100

= 94, 45, 88471 – 62, 88, 15470- 14, 98, 30265/ 94, 45, 88471*100

= 17.56%

Comments:

There is minor change in the gross profit margins of the company as it has remained almost

same as compared to the last year’s ratio.17.56 %

Years Gross Profit Sales

2011 16,21,68,200 92,68,54,962

2012 16,59,42,736 94,45,88,471

SARVOTTAM DAIRY

3.1.2 NET PROFIT RATIO :

The ratio is valuable for the purpose of ascertaining the overall profitability of business and shows the efficiency or other wise of operating the business. It is the reserve of the operating ratio.

It indicates management efficiency in manufacturing, administering and selling the products. It also indicates firm’s capacity to withstand adverse economic condition.

Profit ratio = PAT / Net Sales*100

= 7, 37, 02704 / 94, 45, 88, 471*100

= 7.80%

Comment:

The net profit margin of the company has reduced may by 1% in comparison to last years profit margin of 7.80 % due to hike in oil prices, raw material prices and other such expenses.

Year Net profit Net sales

2011 77,541,866 92,68,54,962

2012 73,702,704 94,45,88,471

SARVOTTAM DAIRY

3.1.3 MATERIAL COST RATIO:-

It is ratio showing relationship between material cost and net sales. It show’s the

efficiency of the management.

Material Cost Ratio = Material cost / Net Sales * 100

= 628,815,470 / 94, 45, 88, 471*100

= 66.57 %

Comment:

This ratio show’s company’s organization efficiency about the production to selling process, 2012 which is situated at 66.57 %

year Material Cost Net sales

2011 574,418,860 92,68,54,962

2012 628,815,470 94,45,88,471

SARVOTTAM DAIRY

3.1.4 EXPENSES RATIO:-

It is ratio showing relationship between expenses and net sales. It shows the efficiency

of the management.

Material Cost Ratio = Material cost / Net Sales * 100

= 841,663,488/ 94, 45, 88, 471*100

= 89.10 %

Comment:

This ratio show’s company’s organization efficiency about the expenses to net sales, 2012 which is situated at 89.10 %, it is very high.

year Expenses Net sales

2011 836,269,806 92,68,54,962

2012 841,663,488 94,45,88,471

SARVOTTAM DAIRY

3.2 LIQUIDITY RATIO:

3.2.1 CURRENT RATIO:

This most widely used ratio shows the proportion of current assets to current

liabilities. It is also known as working capital ratio. At it is a measure of working capital

available at a particular time.

Current Ratio, in a way, is a measure of margin of safety to the creditors. The higher

is the current ratio, the larger is the amount of rupee available per rupee of current liabilities.

Current Ratio = Current Assets / Current Liabilities

= 82, 82, 10595 / 242,758,559

= 3.41 : 1

Comment:

The standard current ratio is 2:1; the actual ratios of SARVOTTAM DAIRY in all the years. are low which indicates that the current asset to pay current obligation is in very low proportion.

Year Currents Assets Current liabilities

2011 592,390,492 172,815,171

2012 828,210,595 242,758,559

SARVOTTAM DAIRY

3.2.2 QUICK RATIO :

It is a measurement of firm’s ability to convert its current assets quickly into cash

in order to meet its current liabilities.

Quick Ratio = Current Assets - Inventory / Current Liabilities

= 82, 82, 10595 – 25, 23, 01172 / 24, 27, 58559

= 2.37:1

Comment:

The quick ratio enables us to understand that even if the co. is not able to sell

its inventories in Current year , and have to pay all its CL, the co. wont find it difficult

to repay all CL as the other CA except inventory are sufficient to meet up the CL.

Year Quick Assets Current liabilities

2011 36,99,98,512 172,815,171

2012 57,59,09,423 242,758,559

SARVOTTAM DAIRY

CHAPTER:-4

SUGGESTION

&

CONCLUSION

4.1SUGGESTIONS

SARVOTTAM DAIRY

After making this project I would like to give some suggestions to SARVOTTAM DAIRY.

The suggestions are as mentioned below.

The net profit ratio is low as compared with selling and investment. So, company should

try to get more income by proper planning and utilize funds properly.

The total expenses ratio is not very high. Company is going to make more profit by

decreasing expenses. So, the firm should try to sales more and more.

The company’s current ratio is very low with comparison of standard ratio. So, the

company should maintain this ratio by increasing its current assets.

Liquid ratio is also low with the comparison of standard ratio. So, the company should

increase the liquid assets.

Acid -test of the company is increasing their quick assets. So, the company is more

comfortable.

Proprietary ratio of the company is very low with comparison of standard ratio. So, I am

suggesting that the company should increase their proprietary fund by issuing the shares.

Long term fund to fixed assets is very low. So, the company should invest more money in

fixed assets.

Debt equity ratio is very low. So, the SARVOTTAM DAIRY should decrease the debt

funds and increase owners’ capital.

Return on capital employed ratio is very good with the calculation of average capital

employed. So, the company should also maintain this ratio for long period of time.

SARVOTTAM DAIRY

4.2 CONCLUSION

During my industrial training in SARVOTTAM DAIRY, I had a great opportunity to meet

experienced people in all the department finance, H.R. and marketing. All the accounting

ratios studies over preceding pages, clearly give picture of the performance over three years.

All ratios like net profit ratio, expenses ratio current ratio liquidity ratio, acid text ratio,

proprietary ratio, long term funds to fixed assets ratio, debt-equity ratio, return on capital

employed ratio, debtors turn over ratio etc. all proves that the performance of SARVOTTAM

DAIRY is highly satisfactory and the further, future planning would prove that the company

would be still in better condition.

This training gives me an insight into practical world of management. Moreover, I come to

know about the new strategy of finance so that successfully managed. It is well set up and

modernize and also fast growing unit. The prospect of the company is very bright. I am proud

to get training in such a nice firm.

SARVOTTAM DAIRY

CHAPTER:-5

BIBLIOGRAPHY

SARVOTTAM DAIRY

5.1 BIBLIOGRAPHY

Reference Books And other people:

A. FINANCIAL MANAGEMENT

Edition :- 4th Edition

Authors :- Prin.T.J.Rana and Prof. Naresh Jain

Publisher :- B.S.Shah Prakashan

.

B. ILESHBHAI PATEL

Account Manager

Financial Department

Sarvottam Dairy

Sihor.

SARVOTTAM DAIRY

CHAPTER:-6

BALANCE SHEET

SARVOTTAM DAIRY

6. BALANCE SHEET

Sources Of Fund. No Amount (Rs) As 31st

March 2012Amount

(Rs)As 31st

March 2011

1. Shareholder Fund.

(a) Share Capital [1] 128,133,000 119,785,500

(b) Reserves & Surplus [2] 450,607,729 578,740,729 333,582,430 453,367,930

2.Loan Fund

(a) Secured Loans [3] 223,494,568 236,075,623

(b) Unsecured Loans [4] 32,923,827 256,418,395 21,614,528 257,690,151

TOTAL 835,159,124 711,058,081

Application of Funds

1. Fixed Assets [5]

(a) Gross Block 388,703,193 364,284,586

(b) Less: Depreciation 134,554,842 103,218,986

(c) Net Block 254,148,351 261,065,600

(d) Capital WIP 31,307,438 27,430,681

285,455,789 288,496,281

2. Current Asstes, Laons & Advances.

(a) Inventories [6] 252,301,172 222,391,980

(b) Sundry Debtors [7] 450,376,337 311,769,625

(c) Cash & Bank B/S [8] 25,281,698 24,273,408

(d) Loans & Advances [9] 100,251,388 33,955,479

828,210,595 592,390,492

Less Current Liabilities and provisions.

[10]

(a) Current Liabilities 195,949,104 124,406,290

SARVOTTAM DAIRY

(b) Provisions 46,809,455 48,408,881

242,758,559 172,815,171

Net Current Assets 585,452,036 419,575,321

3. Deferred Tax/Liab.. (35,832,971) (13,542,350)

4. Miscellaneous Exp. [11] 84,720 16,528,829

Total 835,159,124 711,058,081

SARVOTTAM DAIRY

PROFIT & LOSS ACCOUNT

Particulars No Amount (Rs)

Amount(Rs)

2012

Amount (Rs)

Amount (Rs )

2011

INCOME

Sales 944,588,471 926,854,962

Other Income [12] 2,764,516 5,156,710

947,352,987 932,011,672

EXPENDITURE

Material Cost [13] 628,815,470 574,418,860

Mfgring & Other Exp. [14] 149,830,265 190,267,902

Interest/Fin Charges [15] 33,412,705 38,578,037

Depreciation 29,605,048 841,663,488 33,005,007 836,269,806

Profit Before Tax 105,689,499 95,741,866

- Prov For IT -Current

9,000,000 12,085,000

-Deferred 22,290,621 6,115,000

PROFIT AFTER TAX 73,702,704 77,541,866

Add B/s Brght Forward 232,376,046 190,327,893

B/s Available 303,888,750 257,869,759

APPROPRIATIONS

(a) Proposed Dividend 12,813,000 17,973,000

(b) Dividend Tax 1,797,065 2,520,713

(c) Transfer to Gen Res 5,000,000 5,000,000

Balance Carried to Balance Sheet

284,278,385 232,376,046

303,888,750 257,869,759

SARVOTTAM DAIRY

Basic & Diluted Earning Per Share

5.75 6.47

(Equity share of face value of Rs10/- Each)

Number Of Share

Basic & Diluted 12,813,300 11,982,000

A Project Report on Ratio Analysis in Parul

Documents

Transcript of A Project Report on Ratio Analysis in Parul