The ratio analysis is very important to investors, creditors and financial analysts as it helps in decision making.
In Bangladesh, GSK can get labors at a very cheap cost. So, the firms should be much analytical and attentive when to take higher debts. This is the ratio of market value to EPS. So, it means the growth is lowering day by day. So, the firms should be much analytical and attentive when to take higher debts.
Higher debt can lead to both higher gain and risk, so firms should be very careful while taking financial leverage. High fixed asset turnover means that less money is allocated to the fixed asset portion, where as too low fixed asset turnover means that additional fixed asset investment has been made which is unnecessary.
If the ratio is lower, the leverage of the firm is also lower. Although the figure is no so violent but if it is below. So, it often takes only long term debts instead of total liabilities.
In this case, the quick ratio will be lower but despite of that the firm is risk free as there is no hurry of payments. On the other hand if the current ratio is too high then it indicates that the firm is not efficient to utilize its short term financing facilities.
Any quick ratio less than 1 means that the firm can not pay back its current debts.
This ratio is also known as interest coverage ratio. Here I have presented both mine and the departmental job responsibilities. So, by doing ratio analysis we can judge the various financial aspects of a firm. Opportunities GSK as a multinational company has opportunity for expand its investment and has potential growth in Bangladeshi market.
In the sales growth was much higher than and in this trend was maintained. On the other hand, if the ratio is less than 1 then it means that the firm is not achieving much profit to meet up the debt obligations. When the inventory level is very high then the ratio will be low which means the inventories are kept idle in the warehouse so definitely it is bad for future growth.
Sometimes, it happens that higher debt leads the firm to gain higher debt as cost of debt is lower than the cost of equity but it is not good for the firm to always apply this technique because if the firm fails to meet up the obligations of debts ten the firm can reach even in the stage of the bankruptcy.
It helps to cut cost by presenting that cost is relatively low or high than the revenues. Project Analysis and Findings Ratio Analysis Ratio Analysis is done to measure the financial performance of the company and to understand that in which track the company is going in the future.
This ratio finds out that the firms have excess current assets over the current liabilities or not.
GSK has a very little amount of long term debt GSK earns a significant amount every year, its current ratio and turnover ratios are satisfactory which indicates that GSK is performing well. Generally, a company with high inventory turnover ratio is assumed as strong one.
Net working capital is also known as working capital and working capital ratio. GSK has enormous production capacity but it is not fully utilizing this opportunity and it is not producing cheaper products than the competitors. GlaxoSmithKline's financial ratios grouped by activity, liquidity, solvency, and profitability.
Operating performance ratios describe the relationship between the GlaxoSmithKline PLC's level of operations and the assets needed to sustain operating activities.
Long-term Debt and Solvency Analysis. Established in the year in India GlaxoSmithKline Pharmaceuticals Ltd. (GSK Rx India) is one of the oldest pharmaceuticals company and employs over people. Globally, GSK is a £ billion, leading, research-based healthcare and pharmaceutical company.
In India, it is one of the market. the organization’s overall performance. Then starts the main analysis part of my report where I have analyzed 22 ratios of consecutive five years.
Here I have presented the result and according the result, I have interpreted the financial condition of GSK Bangladesh Ltd. Performance Appraisal Process of GlaxoSmithKline (GSK) Bangladesh Limited. of Endorsement The Internship Report entitled GSK’S Financial Performance Trend Analysis has been submitted for partial fulfillment of the requirements for the degree of Bachelor of Business Administration, Major in Marketing & Finance Faculty of BRAC.
program in the GlaxoSmithKline Bangladesh Limited, under the Secretarial & Legal department. The title of the report is “Financial Ratios Analysis of GlaxoSmithKline Bangladesh Limited”. This report has been prepared to fulfill the requirement of my internship program at my assigned organization, GlaxoSmithKline Bangladesh Limited.
CONTENTS CORPORATE GOVERNANCE BUSINESS REVIEW FINANCIAL STATEMENTS BUSINESS ACTIVITIES & DETAILS 32 53 71 13 Key Performance Indicators Analysis of Sales Revenue (NTO) Value Added Statement Shareholding Information to GlaxoSmithKline Bangladesh Limited and to.Financial performance analysis of glaxosmithkline bangladesh limited