ITC

In 2009 operating ratio was less as compare to 2010 which affected the
financial position of the company. In 2010 ratio was less that is why
profit goes up.

Gross profit ratio of 2010 was more than the previous year and hence
company got more profit over sales.

Net profit of 2010 was higher and cost of good sold was less. This shows
company is in good position than last year.

Equity ratio of both the companies were same. So, ther wre no
diference between both the years.

Total debt equity is also same of both the years.

Fixed assets were more hence the ratio went up. The funds of company
utilized for the acquisition of long term assets in 2010.

Current ratio of 2010 and 2009 as per the financial rule should be 2:1
but in both the years it was not satisfying the same . hence, the higher
ratio year has more profit.

Super quick ratio of 2010 was more so company was in better

condition.
 Hul
Operating ratio was more in 2010 hence company was not in better
position.

Net operating profit per share was less this shows company earned
more profit.

Gross profit was more in 2010 that means company earned higher
profit.

Return on capital employed ratio was less in 2010 this shows company
has less effectiveness and utilization of assets.

Current ratio was less in 2010 this shows company was not in good
position.

Quick ratio was 0.46 in 2010 which is lesser than 2009. Hence, company
was not in good position in 2010.

Debt equity ratio is not mentioned in 2010. Hence, we can’t calculate

the financial position of that year.

Long term debt-equity is nil in both the years.

Fixed assets turnover ratio for the year 2010 is 5.35 which is less than
2009. This shows company did not utilized funds for acquisition of long
term assets.
 Colgate & pamolive
Operating profit is not mentioned in year 2010. We cannot analyze it.

Gross profit is also not mentioned for the year 2010.

Net profit is more in 2010 i.e. 20.7 so company is better position than
2009.

Return on capital employed is not mentioned in 2010.

Current ratio is more in 2010. Hence, company has more assets and
liabilities in 2010.

Quick ratio of 2010 shows company is in better position than 2009.

Debt equity ratio is more in 2009, company has less debts in 2010.

Fixed assets turnover ratio is not mentioned.

Inventory turnover ratio is also not mentioned.

Debtors turnover ratio is more in 2010 which is 187.53, company is in

profit than 2009.
 Marico
Operating profit ratio is more in 2010, this shows it is not in better
position than that of 2009.

Gross profit ratio is more in 2010. Hence, company got more profit
over salesin 2010.

Net profit is more in 2010. Hence, company got more profit over sales
in 2010.

Return on capital employed is less in 2010. Company did not utilized

capital in acquiring assets.

Current ratio is less than 2009, which is not good for the company.

Quick ratio is less in 2010. Hence, company is not good for company’s
financial position.

Debt equity is less in 2010, which is good for company.

Fixed assets turnover ratio is less in 2010 than 2009 which is not good
for company.

Inventory turnover ratio is less in 2010 than 2009 which is bad for
company.

Debtors turnover ratio is 25.73 in 2010 which is lesser than 2009. This
shows it is not good for company.
 Procter & gamble hygiene
Operating profit ratio is same for both the years.

Gross profit is more in year 2009 by .09 %, this shows company was in
good profit position.

Net profit is more in year 2009, which shows company got more profit
than 2008.

Return on capital employed is less than last year. Hence, company less
utilized its funds for acquisition of assets.

Current ratio is more in 2009. Hence, company is in better financial

position.

Quick ratio says higher the position of company in 2009. Ratio is higher
than 2008.

Debt equity ratio is nil in both the years.

Inventory turnover ratio is nil in both the years.

Fixed assets turnover ratio is more in 2009, this shows company is in

good position.
Analysis of financial conditions of 5 companies

Here we have done analysis of five companies by considering

their balance sheet, profit & loss account and cash flow
statement. We found out ratios from such financial statements.