LIQUIDITY RATIOS

2008 GulAhmed CURRENT RATIO:

Current Assets Current Liabilities

LIQUIDITY RATIOS

6,398,312,000/ 7,085,112,000 0.90 Times Interpretation: It has good current ratio of 4.904 times & the company has very less liabilities with respect to the current assets.

QUICK RATIO:
Current Assets Inventory(Stores, spares & loose tools + stock in trade) Current Liabilities 6,398,312,000 (485,957,000+2,915,550,000)/ 7,085,112,000 0.42 Times Interpretation: The ratio indicates that the company have immediate liquidity of 4.844 times.

CASH RATIO:
(Cash + Marketable Securities) Current Liabilities 69,034,000 + 0/ 7,085,112,000 0.00974 Times Interpretation:

LEVERAGE RATIOS
DEBT RATIO:
Total Debt Total Assets 7,085,112,000 + 2,484,561,000/ 6,398,312,000 + 5,933,390,000 0.776 Times Interpretation: This ratio demonstrates that the company is 0.63 times prone to risk.

DEBT EQUITY RATIO:

Total Debt Total Equity 7,085,112,000 + 2,484,561,000/ 3,118,232,000 3.46 Times Interpretation: The total proportion of debt out of the funds available with, to finance its assets is 1.73 times.

INTEREST COVERAGE RATIO:

Earnings before Interest & Taxes (Profit before Tax + Finance Cost) Interest Charges(Finance Cost) 201,838,000+733,839,000/ 733,839,000 1.27 Times Interpretation: The ratio on which the company has utilized their assets to generate income is 0.14 times.

PROFITABILITY RATIOS

GROSS PROFIT RATIO:

Sales Cost Of Goods Sold (COGS) Sales 11,725,851,000-9,951,072,000/ 11,725,851,000 15.14% Interpretation: The ratio on which the company has utilized their share-holders equity to generate income is 0.14 times.

RETURN ON ASSETS RATIO:

Net Income Total Assets 102,838,000/ 12,331,702,000 0.833 % Interpretation: The ratio on which the company has utilized their share-holders equity to generate income is 0.14 times.

RETURN ON EQUITY RATIO:

Net Income Share-holder Equity 102,838,000/ 2,762,029,000 0.037 Times Interpretation: The ratio on which the company has utilized their share-holders equity to generate income is 0.14 times.

EFFICIENCY RATIOS

TURN OVER RATIO:

Accounts Receivable (Annual Sales/365) 188,965,000/(11,725,851,000/365) 5.882 Times Interpretation: The ratio on which the company has utilized their share-holders equity to generate income is 0.14 times.

INVENTORY TURN OVER RATIO:

Cost Of Goods Sold (COGS) Average Inventory(Stores, Spares & Loose Tools + Stock in Trade) 9,951,072,000 / 485,957,000+2,915,550,000 2.925 Times Interpretation: The ratio on which the company has utilized their share-holders equity to generate income is 0.14 times.